When's the best time to buy or sell a home?

I’m often asked when is the best time of the year to buy or sell a home? My answer is it really depends on your family’s needs. I advise homeowners/homebuyers to avoid getting caught up thinking you’re going to miss the peak timing of the market if you don’t adhere to traditional real estate buying/selling seasons.

Historically, the spring and summer months are the busiest times of the year for the residential real estate market. For families with children, the best time is often at the end of the school year (May/June) and before the new school year begins in the fall (August/September). For others, the summer months are set aside for family vacations, backyard barbecues and weekends at the beach.

The fact is, when we’re in a good market or a market that’s on the rise like the one we’re in now, it really doesn’t matter what month or season it is. The possible exception would be the holiday months (November and December), which are traditionally the slowest because they’re tied primarily to retail sales. That doesn’t mean you shouldn’t consider buying or selling between Thanksgiving and New Year’s Day. It’s a supply-and-demand issue. Savvy sellers will typically face less competition for a still-strong pool of buyers who may find just the right home during this period.

To me the most revealing barometer of peak buying and selling months is new pendings (contracts) because they show immediate market activity as opposed to closings, which are often reflective of contracts that may have been written as much as a year ago or as little as two weeks ago.

I went back several years and found that each year the strongest months for new pendings in Orange and Seminole counties varied, producing no consistent trend. I then narrowed it down to two of the most sought-after residential addresses in Central Florida, Winter Park (32789) and Maitland (32751). Again, no specific trend. In Winter Park (32789) the peak month for new pendings in 2010 was June (57), in 2011 March (46), and 2012 February (72). For the first four months this year, March led the way with 79 new pendings, which is the first time in a long time that new pendings surpassed 75 in a given month.

In Maitland (32751), June was the peak month in 2010 and 2011 with 40 and 52 new pendings, respectively, while May led the way in 2012 with 68.

Over the first four months this year, March and April were the most active with 65 and 64 new pendings, respectively.

The bottom line: when you decide to sell your home or buy a new one should not rely solely on the calendar. What really matters is what time of the year is best for you and your family.

Scott Hillman is president of Fannie Hillman + Associates. He can be reached at 407-644-1234 or at Scott@ fanniehillman.com