Is January the Least Expensive Month to Buy a Home?

Lending Tree says January is the least expensive month to buy a home. And there’s something to that. January has historically offered one of the lowest price-per-square-foot points of the entire year. But the spring? That’s when demand (and prices) usually peak. And that’s not speculation – it’s a well-known trend based on years of market data.

So, how much less? According to the last full year of data, for the typical 1,500 square foot house, buyers who closed on their home in January paid around $23,000 less compared to those who bought in May. And that general trend typically holds true each year.

Now, the number will depend on the price, size, and type of the home you’re buying. But the trend is clear. For today’s buyers, it’s meaningful savings, especially when affordability is still tight for so many households.

When you remove the pressure and frenzy that comes with the busy spring season, it becomes much easier to get the home you want at a price that fits your budget. But if you wait until spring, more buyers will be in the market. So, waiting could actually mean you spend more and you’d have more stress.

Buying in January gives you: less competition, potentially lower prices, and more motivated sellers.

If you’ve been thinking about taking the next step, this season might give you more opportunity than you think. Curious what buying in January could look like for you? Let’s take a closer look at your numbers and the homes that are available in our area.