Why Winter is Great for Real Estate Investing

Now is the chance for investors to be looking, before typical home buyers start getting back into the mix.

Jan 29, 2014 at 12:35PM


When you're a home buyer, winter real estate shopping can be hit or miss, even in warmer climates that don't see snow. After the holidays have ended, many people are simply looking to get back into the usual groove of things. In January, most people with children don't want to move because it is still the middle of a school year.

When you're an investor, though, winter real estate shopping can be a blast. The typical seasonal wisdom of buying a home is thrown out the window when it comes to the purchase of commercial and residential rental properties. Because the owner of the property is changing hands, and not necessarily the occupier, there are far fewer concerns about mid-school-year-moving. And when building owners get back into the post-holiday groove, one of the new year tasks at the top of their lists could be selling an investment property.

Read on to learn why winter is great for real estate investing.

Low Interest Rates
The Fed has been helping to keep interest rates low with quantitative easing, and though it plans to pull back this year, interest rates are still at historically low levels. For real estate investors that may be utilizing a mortgage, now is a great time to move forward, before QE3 begins to significantly really taper off. Mortgage interest rates could be higher if you wait even a few months.

Priced to Sell
It's the middle of winter, so many of the residential buildings and houses that are on the market now are likely there because the owner has to sell. Often that means the seller will be willing to negotiate on a price, simply so they can get the building off their balance sheet. There may also be buildings in need of repair that could sell quickly and for cheap, as long as you're willing to put in the time, money and effort to fix any issues.

Minimal Buyer Interest
With the holidays having just passed, the new year started and winter still in full swing, many people have their heads down, unburying themselves from the work that accumulated while they were having holiday fun. Not as many people are thinking about buying, as compared to warmer months. Now is the chance for investors to be looking, before typical home buyers start getting back into the mix.

Of course, real estate markets and real estate investing is highly local. In warmer climates in the U.S., home sales barely slow down in the winter, compared to summer months. It's best to gather information on your local market to determine whether pricing and buyer interest could impact your real estate investment purchase.

Winter is a great time to buy this top stock
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.

This article is copyright of BiggerPockets.com

For 12 years, Ken Horst has driven positive results through Internet marketing for businesses of all sizes, from solo real estate agents to well-known brands. His MLS Maps website helps people find real estate and connects agents with clients. Check out the MLS MapsBlog for more tips and advice.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.


Compare Brokers