Considering Moving? Why Now May Be the Best Time

It’s no secret that the real estate market has been a wild ride in recent years. Planning when to move can be tricky if you are trying to decide between when is the best time to buy or sell your home based on conditions in the market. If you have considered moving and want to ensure the timing is right, here are five reasons you should consider planning your move in 2023.

According to a recent article in Business Insider, home prices are finally starting to come down, which could mean that the 2023 market will find homes both more affordable and more available. This is good news for both buyers and sellers, who may have been holding off on moving since interest rates have been a bit unpredictable lately. Some economists predict a drop in home prices by as much as twenty percent, which could be the incentive many buyers have been waiting for.

According to CNBC, rental rates are predicted to increase in 2023. Is it surprising that rent payments exceed mortgage payments for the average U.S. citizen? According to a recent Fannie Mae survey, more than 60% of renters would purchase a home at the end of their current lease. The longer renters put off purchasing a home increases the time they aren’t building equity in a rising market. That means that renters are just buying time, and time is not on their side. Waiting out the market isn’t always the answer if the market continues to go up, and there is no expectation that either housing or rental markets will decrease significantly in the coming year.

As of November 2022, the number of homes for sale on the market is rising by 1% per week, with more than 500,000 homes for sale across the country. As inventory continues to rise, buyers will have more options for finding their dream home without having to compromise because they feel pressure from low inventory or an unstable market. Low inventory and buyers putting off moving due to the pandemic were the two primary reasons the market skyrocketed from 2019-2022. Now that conditions are predicted to stabilize, buyers can feel more secure in their investment.

Summer is universally considered the best time to move. Peak moving season is typically considered to be the months between May and September, with more than 80% of all moves occurring during the summer season. It can be easy to see why summer appears to be the best time. First, if you have children, you won’t disrupt their school schedule by having to relocate during the school year. Second, most people prefer to move during the warmer months to make moving and traveling less challenging.

However, there are a few reasons why more and more home buyers are planning for spring 2023 to be their time to plan their big move. First of all, moving costs may be considerably cheaper. Movers are easier to book and more affordable in their off-season, and nothing is worse than scrambling to find a mover when your movers have accidentally double-booked you or run out of moving vehicles. Rental companies such as North American Moving Services recommend planning four to five months if you are planning a summer move. That is more than double the average time it takes to find and close on a new home.

With market conditions continuously in flux, the reality is that there is never truly a perfect time to buy a home. Chances are that waiting for things to change within one to two years will not significantly impact your long-term outcome. Interest rates, rental rates, and housing inventories will continue to fluctuate, but what drives your need to purchase a home will typically outweigh these factors. After all, when it is time to move, it’s time to move. Most of the time, your situation will dictate when is the best time for you to move. Your financial situation and the value of homes in your area will be more of a deciding factor. If rental rates are rising higher than mortgage payments, it might be a good time to invest and start building equity. With more and more renters trying to become homeowners every month, rental rates and home prices are likely to hold their value or even rise.

A stabilizing market combined with the rising inventory of homes and the changing of the season can all be compelling reasons to start your next home search now instead of putting it off for that perfect moment that might never come.

Finding the right time to move can be challenging, but the good news is that you don’t have to do it alone. An experienced agent who understands your local market can work with you as a partner on your home-buying journey. A good realtor will consult with you to understand your needs and help you find the best time, location, and property when moving. If you are looking at moving soon and you are interested in Leaside, Lawrence Park homes, or Toronto real estate, reach out to local agent Giulia Gallina.