When Is the Best Time of Year to Buy a House?

If you’re in the housing market, you may be thinking, “Is it smart to buy a house right now?” With high economic uncertainty, changing interest rates, and home prices rising precipitously in some markets, this decision can feel overwhelming.

There are numerous factors to consider: mortgage rates, housing market trends, seasonal cycles, and regional variables. It’s challenging to take all the elements into account, but understanding them will help you make an informed decision.

The Best Time of Year to Buy a House

Market conditions vary by season, and each period in the year has pros and cons for both buyers and sellers.

Spring Housing Market Trends

From March to May, home buyers have the widest selection of homes. However, demand is very high at this time of year. Greater demand means higher prices and possible bidding wars. Is spring the best time of year to buy a house? It can be, but buyers need to come in with strong offers and make quick decisions.

Summer Housing Market Trends

June to August are optimal months for families hoping to get into a new home before the new school year starts. Although there are still many homes on the market, and competition is still high, the timing can work for you if you’ve done your research and you’re prepared for a negotiation.

Fall Housing Market Trends

From September to November, sellers are more motivated, and there’s less competition from other buyers. If you’re not worried about school-year timing, fall could be the best time to buy a house for you.

Winter Market Trends

In December, January, and February, inventory is at its lowest level. Although you have fewer houses to pick from and winter conditions make it more difficult to tour properties, you’ll face less competition. Since winter is a less common time to sell a house, anyone who is selling could be highly motivated and more flexible with pricing and terms.

Keep in mind that fewer homes will be on offer during the holidays, and that real estate professionals have less availability. Although winter can be the best time to buy a house for you, you’ll need to be patient when shopping during the holiday season.

How Market Cycles Affect Home Buying

Market cycles are longer than seasonal trends. Market cycles are another layer of trending that you need to understand if you want to time your purchase well.

Buyers’ Markets

In a buyer’s market, inventory is greater than demand. During these periods, buyers have plenty of choice and occupy a strong negotiating position. Trends vary by region, so do your research and find out whether you’re in a buyer’s or a seller’s market locally.

Sellers’ Markets

Seller’s markets favor the seller, with lower inventories and higher demand. Buyers need to act quickly when they see a home they want and come in with strong, clean offers.

Balanced Markets

Balance markets have moderate inventory and moderate demand. Although both buyers and sellers need to be prepared to negotiate, they don’t have to worry about a high-pressure timeline or a long-drawn-out negotiation.

Housing Market Trends in 2025

Buying a home in 2025 offers opportunities and challenges. Interest rates have come down from 2024 highs, making mortgages more affordable and expanding the price range most buyers can consider.

Although home prices are rising in many areas, the rate of increase has slowed. Now could be the best time to buy a house if you’re concerned about future price increases and want to take advantage of potential equity gains.

In many markets, inventory remains tight, leading to more competition among buyers. If you’re buying a home in 2025, prepare strong offers and work with a real estate agent who has a thorough understanding of the local housing market trends.

Regional Market Variations

Not all markets follow national trends; the best time to buy a house varies depending on where you’re looking.

High-Growth Markets

In hot markets, there’s above-average job growth and less inventory than demand. Homes sell quickly, with lots of competition. While tech hubs and cities with historically high prices spring to mind, you might be surprised to discover that states like Omaha and Nebraska¹ and Cities like Kansas City and Buffalo² are high-growth markets in 2025.

Stable Markets

Stable markets are typically established areas with steady, moderate price appreciation and a solid, diverse, economic base. The best time to buy a home in a stable market is anytime.

Emerging and Undervalued Markets

Interested in getting in on the ground floor? Consider markets that are described as emerging³ or undervalued⁴. In these areas, availability is moderate, but demand is growing. You might be able to snap up a great property at an excellent price. The best time to buy a home in these markets is right now.

Is This a Good Time to Buy a House?

Rather than asking “is this a good time to buy a house?” ask if it’s the right time for you to buy a house. Market considerations are important criteria, but the timing of your home purchase also needs to match your goals and your family’s needs.

Here are some questions you can ask yourself to determine if you’re ready to buy a house:

• Is my income stable, and can I present a consistent job history and reliable earnings to potential lenders?
• What’s my credit score? If it’s over 680, you’ll qualify for a range of loan options, and a score of over 740 will get you the best rates available.
• Have I saved enough for a down payment and closing costs? This is ideally 10% to 20% down, plus 2% to 5% for closing costs.
• Is my debt-to-income ratio below 36%?
• Can I stay in one location for at least five years?
• Can I keep working remotely, or will I be required to go into the office?
• Is my family prepared to move, and are they ready for the added responsibilities of home ownership?

The Best Time of Year to Buy a House

The best time of year to buy a house is when you are financially and mentally ready. Market conditions and seasons should weigh into your decision, but only when you’re prepared. If in doubt, consult with an experienced real estate agent and a financial advisor who can walk you through a variety of scenarios, help you assess your readiness, and recommend future steps.