Despite traditional real estate thinking, winter could be a better time to fix and flip than you think. As the weather cools down, the housing market heats up. Home buyers and sellers alike take advantage of the winter months to pursue their real estate goals—and fix-and-flippers are no exception. Here’s why winter is a great time to fix and flip homes.
Fewer Buyers, More Bargains
The winter months bring fewer buyers into the market. This means that there is less competition when it comes to purchasing properties at a bargain price. With fewer buyers in the market, you have less of an issue with bidding wars driving up prices. So, if you’re looking for a deal on a property, then now is the time to start shopping around — as long as you can move quickly and act on opportunities when they present themselves. The data shows that prices for homes dip in the winter months and you can find great deals in a market were traditionally nobody is looking.
Less Time Spent on Repairs
When it comes to fixing and flipping houses, one of the most important parts of the process is repairs. In the summertime, this can be difficult because of both cost (having to pay more for labor) and logistics (trying to get contractors available to complete projects). During winter months though, it’s much easier — contractors tend not to have as many projects going on at once so they may be more willing to negotiate on their rates or put in extra effort when it’s cold outside. Plus, materials costs tend to drop during this season due to decreased demand from builders who aren’t constructing new homes during this time period.
Tax Breaks & Incentives
Finally, there are tax breaks and other financial incentives offered by local governments that make fix-and-flipping homes in winter even more appealing for investors like yourself. These incentives could include anything from accelerated depreciation allowances for energy efficiency improvements made during renovation projects or waivers from certain building codes or ordinances that would normally apply during different times of year (e.g., having gutters installed before spring thaw). It pays off big time for investors who take advantage of these offers — which makes winter an especially attractive season for those looking for ways to save money while rehabbing a home investment project.
All in all, there are numerous reasons why winter is an ideal time for fix-and-flipping homes — from finding bargains due to less competition in the housing market; taking advantage of lower labor and material costs; benefiting from tax breaks offered by local governments, or simply having more control over timing due to reduced demand from other buyers/sellers. If you have been considering investing in your first fix-and-flip project but have been putting it off until springtime arrives.