The housing market is subject to change due to various external factors, some of which wax and wane throughout the year, making certain seasons more advantageous to invest during than others. The rental market is cyclical, which means knowing when to strike can help you get the most out of your investment. If you want to learn more, this article will review the best time to invest in a rental property and the factors that affect these seasonal trends.
When Do Rental Searches Begin To See an Uptick?
Rental searches and actual movement are two different things. Typically, rental searches and viewings began to rise at the end of one year and the beginning of the next (December and January). This is because people tend to have more time to look for rentals and view them in person during the holidays. Families with school-age children, or people in school themselves, likely won’t up and move at the end of the year but will begin to prepare for movement during this time. While the actual demand for rental properties during this time of year is soft, it’s when interest begins to rise. Additionally, there will likely be fewer buyers on the market, making it easier to negotiate prices, especially with sellers looking to get rid of a property.
When Do People Begin To Move?
People will not actually begin to move until the spring for several reasons. The demand will start to rise as the weather improves. Again, people in school or people with children in school can start fresh in the new semester. Additionally, home inspections, cosmetic improvements, and structural issues are much easier to pinpoint and tackle as the snow clears. But be aware that competition will begin to pick up during this time.
When Should I Invest in Rental Property?
Ultimately, the best time to invest in a real estate property depends on how quickly you want things to progress. If you’re looking to take advantage of the seasonal increase during the spring, you may have to buy property for a little more, but you can increase rent due to demand. However, you can also take advantage of the slowdown during the winter, as you’ll likely be able to get a nicer property for less. Remember that you probably won’t fill the unit until the spring, but it does allow you to save money and make time to get the property rent-ready for the spring.
Excalibur Homes is here any time of year if you need help leasing or managing your rental property. We’re a property management group in Orlando that can help market or show your property, schedule repairs, collect rent, and much more. We’re here to make your life as a property owner easier and to help you get the most out of your investment.
