It’s no secret that the real estate market is cyclical and tends to follow the weather. When it cools outside, the market cools, and so forth. So why is Q4 the best time to buy?

1. Less buyer competition. Obviously. If you’ve lived in Dallas more than 5 minutes, you know that the spring and summer markets are breeding grounds for the dreaded “Multiple Offer Situation.” Once fall starts and kids are back in school, there are less buyers on the market and therefore competition naturally slows.

2. Tax advantages. If you are buying your primary residence, it’s a HUGE tax advantage to get in before the end of the year, and therefore qualify for the Homestead Exemption for 2018 (this is 20% off your taxable valuation guys). Here are the qualifications:

a. owned the property on January 1st*

b. occupied the property as your principal residence on January 1st

c. the homeowner or their spouse have not claimed a residence homestead exemption on any other property

3. Banks unload holdings by EOY. Investors have opportunity to buy foreclosures (yes, they still exist) at even bigger discounts because banks are unloading properties off the books.

* For most buyers using financing, it will take around 30 days to close, which means now is the time to start looking in order to close before YE.