Do I have to buy a house in the spring? Can I wait til fall?? (mortgage, mortgage)

[nep321]

I am currently renting an apartment and my lease ends on Nov 15th. A mortgage lender has advised me and created a sense of urgency that I should buy a house NOW in the spring time because that's when the "best" houses pop up on the market. He said that by the time school starts, the housing market is full of leftovers that no one wanted to buy, and so I'll be stuck with not-so-good options.

However, if I am to break my lease, it would cost me a fee of two months of rent, which would amount to $2,028! I was hoping to simply wait until Sep/Oct to buy a house (or condo) because it's close to the expiration of my lease and I wouldn't have to pay the $2K in fees. I would rather use that $2K toward the down payment on the house!

I have some doubts about what the mortgage lender guy told me though. Is it true that by September, the housing market is full of crappy leftover homes?? I thought maybe I could get a good deal at that time because school would have begun and there would be less competition with other buyers and maybe some sellers would be willing to cave in price a bit. Maybe??

I'm also expecting a potential pay raise and bonus in May. That would help my affordability and budget.

My budget would be up to $230K here in Jacksonville. But if I get the raise and bonus, then I could probably comfortably go up to $250K.

What should I do?

[AZ8]

I’d wait. We bought our house in December! Lol

Yes, there are more house during the “selling season”, but it’s a crap shoot really.

[MikeJaquish]

Are you going to be working with a buyers agent?
Market analysis and knowledge are the agent's job.
Houses sell all year.
Often the best deals are in December, as people want rid of the house before it rolls into the next tax year.

Sounds like your lender needs a payday. You might remind him that HIS whole job is to bring the money. When you tell him to.
Or, you might shop for another lender.

[LifeIsGood01]

You can buy a house at any time, in fact you may get a better deal after the big push of buyers once the kids are back and school and people want to sell before winter. Just start looking earlier so you know what's out there, because if the house falls thru for any reason are you still going to move out or sign another year lease? Normally the process takes 45 days. You don't want to cut it so close that you have to wait another year. Plus paying one extra month if you have to gives you time to move stuff into the new home when you want after closing.

[Spedteach17]

There may be less inventory but the sellers will be serious about selling. We also bought and sold a house in December. It just depends on how picky you want to be or an unusual features, specific location, etc. you might want in a home.

[nep321]

Originally Posted by LifeIsGood01

You can buy a house at any time, in fact you may get a better deal after the big push of buyers once the kids are back and school and people want to sell before winter. Just start looking earlier so you know what's out there, because if the house falls thru for any reason are you still going to move out or sign another year lease? Normally the process takes 45 days. You don't want to cut it so close that you have to wait another year. Plus paying one extra month if you have to gives you time to move stuff into the new home when you want after closing.

That wouldn't be an issue. My lease would automatically go month to month unless I sign a full year contract again.

[LifeIsGood01]

Originally Posted by nep321

That wouldn't be an issue. My lease would automatically go month to month unless I sign a full year contract again.

Oh then it's much better to wait than to throw 2 months rent away. Mid winter you may find better deals and prices going down or even near the end of winter and then you have 45 days after that to close.

[Nov3]

So you consider spending 20k more on a house worth the wait..but losing 2k is a problem ?
I see 20k with interest to be more wasteful.
Look now and start the knock out list. Be it for location ...condition,or value.

[JonathanLB]

I have heard the same kind of thing again and again and realize even when you don’t have or ever want kids, the little goblins still exert their force on the world. We have no choice but to wait until late summer to sell, and by sell I mean list, closing date has to be after October 1. I wouldn’t even care if I got an all cash offer or something and they need me out sooner, though luck, our wedding is September 6 so we need to stay in town with our stuff up until that point then we’re gone shortly after. I’m more worried that it’ll be hard to find what we want after we move to a new state. We are extremely particular about exactly what kind of house we want and its layout, not to mention at higher budget ranges there are already fewer listings. I just think you have to figure the same thing about houses as my dad used to say when I was discouraged about girls - “All it takes is one, son.” You’ll find something.

As a seller though I admit I wouldn’t give any discount just because it’s selling in a certain month. We’ll be renting and if indeed options are scarce in the winter, we’ll rent until spring and find something then. Renting for us is so cheap it’s not a money thing, it’s just not the quality of life I want but for the short term, well worth it to be patient and find just the right place.

[AnotherTouchOfWhimsy]

In Florida, it seems like lots of people sell during the cooler months. I wouldn't work with a lender who was trying to convince me to buy at a time that wasn't good for me. Remember that they are just trying to drum up business and aren't necessarily looking out for your best interest.