TheRedPin.com

TheRedPin.com

January 18, 2016 09:30 ET

Real Estate Study: Tomorrow is the Day to Buy a Home and Save $30K; Brokerage Declares Tomorrow, January 19th the Best Day to Buy of The Year

TORONTO, ONTARIO--(Marketwired - Jan. 18, 2016) - If you're on the hunt for your dream home, research shows that January 19th could be your lucky day. As we continue to see year-over-year record smashing increases in real estate pricing, research shows that the tables get turned in January, turning briefly from a seller's market to a buyer's market.

Toronto Brokerage TheRedPin.com crunched the numbers and determined that buyers looking to buy the right home at the best price of the year are most likely to succeed early in the new year, with January 19 reigning as the day to deal on real estate purchases.

"The numbers once again show that January is by far the cheapest month to buy, and the gap keeps widening," said Rokham Fard, Co-Founder and CMO of TheRedPin.com. "The largest month to month price increase occurs between January and February, with average costs increasing $31,166* from the first to second month of the year. Is waiting a couple of weeks worth over $30,000?"

While inventory tends to be lower in January, so too are prices and competition. Traditionally prospective buyers play it safe and wait for the spring real estate blitz to make a move. But according to Fard, brave buyers willing to face winter weather are rewarded with better prices and can likely avoid bidding wars.

A full breakdown of best buying date research is here.

TheRedPin.com's research points to a number of strong reasons for buying on January 19th:

  • January Sellers Need to Make a Deal
    Sellers choosing to list in January, rather than wait it out until the more lucrative spring, are generally doing so out of need, not want. This fact gives buyers leverage in the negotiating process.
  • New Year's Resolution
    The average cost of a home bought in January is $43,000 less than the average home price in a calendar year, and almost $60,749 less than the average cost of a home bought in May, the most expensive month.
  • Save More Toonies on Tuesdays
    TheRedPin.com Realtors® generally agree - and historical data confirms - that Tuesdays are the best day of the week to make an offer on a property. Why? Simply because most listings go off the market on Tuesdays (as a result of being sold) so there is a higher average of accepted offers on that day of the week.
  • Bad Weather = Good Prices
    Cold weather, slushy streets, and holiday debt mean that big purchases are not generally on most people's radar in January. Those willing to don a parka can spare themselves the trouble of much-hated bidding wars. This year weather has been mostly mild so slushy streets aren't even a factor at this point.
  • Embrace the Slow Sales Cycle
    On average, homes take 38% longer to sell in January than during the peak Spring season (29 days vs 18 days). Purchasers can therefore take some time to make a decision, rather than rush the process for fear of losing out to other buyers.
  • Act Now or Regret Later
    With interest rates stagnant for years, many have been biding their time on buying a home. But the increase in rates in the US (December of 2015) might signal an upcoming change in Canada's rates, a signal that may spur prospective buyers into action earlier than previously planned.

* TheRedPin reviewed over 530,000 home sales across the GTA from 2010-2015, with December, 2015 data assuming a conservative 4% year-over-year price gain.

About TheRedPin:

TheRedPin connects people, data and technology. Our platform carries the largest database of active residential listings in the Greater Toronto Area, with plans to expand nationally. We are a challenger brand, with a unique business model that streamlines the real estate journey, and provides exceptional end-to-end services and benefits, not found at other traditional brokerages.

Founded in 2010, four friends recognized that the real estate industry might be the only sector not influenced by technology. The four saw this as an opportunity to reinvent the way people bought and sold properties, more specifically the way homes were searched. Today, TheRedPin is much more than that.

We are a tech startup that doesn't answer to the industry, we answer to our clients and ourselves.

Contact Information