The Best & Worst Time to Sell a House in 2023
This article is part of a larger series on How to Become a Real Estate Agent.
According to historical statistics, the best time to sell a house is from spring to early summer, and the worst time to sell a house is from fall to winter. It is critical to be familiar with seasonal trends and statistics that affect house sales, such as weather, days on the market, home prices, and market competitiveness, to determine the best and worst time to sell a house. This information is helpful for homeowners or investors wanting to sell their homes and real estate agents representing a seller.
Read along to find out when are the best and worst months to sell a home, key takeaways, and sales trend data for homesellers.
Important note: The real estate statistics in this article are based on nationwide surveys and data collected across the United States. Specific data may vary depending on your location across the country, influencing real estate market trends and the best and worst times to sell a house.
Best Time to Sell a House: March to August
The best time of year to sell a house falls between March and August, as buyer demand outpaces the number of homes available for sale and homeowners can sell their properties for higher prices. For instance, in March 2022, the median home sale price was $414,361, a +16.8% growth year-over-year (YoY). While property owners compete with other sellers during the spring homebuying season, houses still sell faster due to the housing shortage.
Highest Home Prices in May
If you want to earn a higher profit from the sale of your property, the best month to sell a house is in May. Based on Redfin’s housing market stats, in April 2022, homebuyer demand was high, with properties sold at a median sales price of $425,966. By May 2022, median home sale prices increased to $432,917 before slightly slowing down to $428,646 in June 2022. The high demand and low inventory are some factors that drive housing prices up, allowing sellers to charge more for their properties.
More Homes Sold Above List Price in April & May
In May 2022, 59.1% of homes were sold above the list price, a 16.6% increase since January of the same year. Home prices also skyrocketed as early as March to keep up with the increased demand from homebuyers and slowly declined in June. As the spring homebuying season begins, the market sees significant bidding wars, with homesellers receiving many offers from qualified buyers.
Check out the table below to find which cities had the highest house sale prices for sellers between March and August 2022:
City | Best Month to Sell | % Above Average Sale Prince in 2022 |
|---|---|---|
Albuquerque, NM | May | 8.84% |
Atlanta, GA | May | 17.49% |
Boston, MA | June | 5.82% |
Chandler, AZ | July | 45% |
Chicago, IL | April | 6.20% |
Dallas, TX | April | 47.32% |
Durham, NC | May | 10.02% |
Fort Lauderdale, FL | March | 23.48% |
Greensboro, NC | July | 22.64% |
Henderson, NV | April | 15.57% |
Houston, TX | August | 26.11% |
Kansas City, MO | June | 10.37% |
Los Angeles, CA | April | 11.28% |
Marietta, GA | April | 10.61% |
Miami, FL | May | 7.48% |
Nashville, TN | April | 12.17% |
New Orleans, LA | April | 7.48% |
Oakland, CA | April | 19.67% |
Orlando, FL | April | 14.67% |
Philadelphia, PA | June | 51.56% |
Portland, OR | May | 15.30% |
Raleigh, NC | May | 14.82% |
Sacramento, CA | May | 24.50% |
San Antonio, TX | May | 27.23% |
San Diego, CA | May | 13.63% |
San Francisco, CA | April | 11.26% |
San Jose, CA | June | 9.33% |
Scottsdale, AZ | April | 3.04% |
Seattle, WA | May | 7.85% |
(Source: Homelight)
Seasonality is one factor that may have influenced home sales in specific cities. In Philadelphia, PA, for example, properties were sold 51.56% above the asking price in June 2022. These figures show strong buyer demand at this time of year, when the winter has finally gone and the warm summer weather has begun. Additional factors influencing buyer demand in local markets include interest rates, interstate migration, unemployment, income levels, and market conditions.
To learn more, read our article on the 10 States With the Strongest & Weakest Housing Markets.
Lowest Median Days on Market (DOM) in May
A low median DOM indicates a seller’s market. In May 2022, the median DOM was 17 days, the lowest DOM for the year. Also, compared to the mean DOM in January 2023, where houses stay on the market for 52 days, it is significantly lower.
The low DOM means homes sell faster during this time than in winter when the holiday season is in full swing. Furthermore, a low DOM suggests buyers have less time to bargain with sellers and fewer opportunities to view numerous homes.
Reasons why March to August was the best time to sell a home in 2022:
- May 2022: The highest median sales prices are listed at $432,917, a 14.9% increase in growth YoY.
- April and May 2022: More homes sold above list price, 58.7%, and 59.1%, respectively.
- May 2022: Lowest median DOM at 17 days.
Worst Time to Sell a House: September to February
The worst time to sell a house is between September and February. With weather and holiday interruptions playing a role, there is low demand amid a considerable home supply. Furthermore, because fewer people are trying to buy a home, homes tend to stay on the market longer and sell at lower prices.
Lower Homebuyer Demand Between September & February
Year over year, January and February have the lowest number of homes sold. During January and February 2022, the number of homes sold was 414,320 and 418,280, respectively. As of January 2023, only 275,440 homes were sold, a decrease of 33.5% in growth YoY. The sharp drop reflects poor homebuying demand caused by the holiday season and adverse weather in the majority of states.
Lower Home Prices in December & January
Historically, homesellers receive lower yields during the winter months. With the holiday season approaching (and cold weather in most states), some homebuyers prefer to avoid the market and spend quality time with their loved ones. Because demand for properties falls at this time of the year, houses sell at lower prices, making December and January the worst months to sell a home. For instance, the median home sale prices in December 2022 and January 2023 were $388,480 and $383,001, respectively.
Higher Median Days on Market (DOM) in January
If you want to sell your house quickly, January is the worst month to sell a home. Many people are still enjoying or playing catch-up at work after their vacations; thus, there is a low demand to buy a house. This results in longer days on the market for homes listed during this time. FRED data shows that the highest DOM was observed in January 2022 and 2023, with 61 and 74 days, respectively. Long DOM could be detrimental to sellers.
Notably, newly listed properties fell significantly between October and December, from 479,530 to 265,545. Buyers are usually most interested in new listings. On the other hand, a home that has been on the market for a long time gives buyers the impression that there is something wrong with it or that the seller is not open to negotiating. As a result, some purchasers may avoid your house. To attract qualified prospects, you may have to lower your asking price more than expected.
Slower Moving Frequency From October to January
According to the National Association of Realtors (NAR) research, the most significant reasons for recently buying a home differ by generation. The desire to own a home was the primary motivator for all homebuyers under 57 years old. The desire to live closer to friends and family was the top reason for purchase among those aged 57 and older.
Consequently, the moving frequency was slower from October to January than at any other time of the year. In October, just 7% of the population relocated, while 6% moved in November. December and January were also tied for the lowest moving frequency rate of the year, at 3%. Its slow-moving frequency has a negative impact on homebuying demand. As a result, homes spend more time on the market and sell for less.
Homesellers face various obstacles during the autumn and winter seasons. Because it is the off-season, fewer purchasers are looking for a new house. When there is a lack of demand, properties tend to take longer to sell and also sell at a lower price. Furthermore, busy school activities can make it difficult for buyers with children to schedule a house showing. Yet, despite the holiday rush, serious homebuyers are still enthusiastic about purchasing a house.
Reasons why September to February was the worst time to sell a home in 2022 and 2023:
- December 2022 and January 2023: Average home prices were $388,480 and $383,001, respectively, significantly lower than $432,917 in May 2022.
- January 2022 and 2023: Houses stayed on the market for an average of 61 and 74 days, respectively.
- October to January 2022: Moving frequency was slowest at 7% in October, 6% in November, and 3% for December and January.
Home Sale Data by Month
According to the Redfin Housing Market report, the median home sales price at closing surged from $377,727 in January 2022 to $388,480 in December 2022. In addition, the median DOM grew from 27 days in January 2022 to 44 days in December 2022, indicating that houses are sold at a slower rate and lower price.
As a result, the spring and summer seasons are the best times to sell a house since many buyers begin looking for new houses following the holiday season, causing home prices to increase, more homes to sell above the listing price, and bidding wars to begin. On the other hand, the colder months are the worst time to sell a house because home sale prices are lower, median days on the market are higher, and price reductions are more significant.
Look at the table below to see the housing market trends in 2022 and when it is the best and worst time to sell a house:
Best & Worst Times to Sell a House | Month (2022) | Number of Homes for Sale (in Millions) | Number of Homes Sold | Median Sale Price | Median Days on Market |
|---|---|---|---|---|---|
Worst Months to Sell a House | January | 1.09 | 414,320 | $377,727 | 27 |
February | 1.12 | 418,280 | $391,377 | 25 | |
Best Months to Sell a House | March | 1.31 | 550,402 | $414,361 | 21 |
April | 1.40 | 552,555 | $425,966 | 18 | |
May | 1.55 | 591,261 | $432,917 | 17 | |
June | 1.71 | 615,608 | $428,646 | 18 | |
July | 1.78 | 525,753 | $414,782 | 21 | |
August | 1.81 | 553,914 | $408,427 | 27 | |
Worst Months to Sell a House | September | 1.74 | 499,079 | $404,549 | 32 |
October | 1.68 | 436,968 | $399,993 | 35 | |
November | 1.55 | 383,252 | $394,080 | 38 | |
December | 1.36 | 382,440 | $388,480 | 44 |
(Source: Redfin)
Pro tip: If you need to sell your house between October and February, we recommend working with a licensed real estate agent to help you generate more qualified leads and obtain the best deals. Early house repairs and staging can help increase your property’s appeal to serious homebuyers.
5 Reasons That Tell You When It’s Time to Sell
A 2022 report from NAR reveals that the top cited reasons for selling a home are the desire to move closer to friends and family (21%), moving due to retirement (11%), or the neighborhood has become less desirable (11%). Furthermore, 86% of these homesellers have worked with a real estate agent to save time and money.
If you’re still unsure whether to sell your property, here are five reasons or signs that tell you if you’re ready to move on to another home.
1. Your Home No Longer Fits Your Lifestyle
Most people choose a home and location based on their current lifestyle, which might change with age and situation. This is especially true given that sellers spend an average of 10 years in their houses before selling. For example, you may have picked a smaller city home because it was close to the restaurants, activities, and bars you visited.
However, you may suddenly desire more space and a quieter environment than you did previously. Similarly, transitions like marriage, childbirth, or the death of a loved one can all lead to a shift in lifestyle. You will give up your previous lifestyle by selling your property and relocating while gaining a new one.
2. Financial Change
A common cause for selling a home is financial change. Perhaps you or your significant partner lost a job and cannot afford your current residence. If you’re generating more income at work, you might want to upgrade to a more expensive, bigger home that suits your needs and wants better. But if you’re generating lower income or want to save money, you might want to downsize and live in a smaller house.
Budget is always an issue when selling or acquiring a property. Regardless of your money, downsizing or upgrading is a common reason for selling. Furthermore, the real estate market may undergo a financial shift comparable to the seller’s market observed during the pandemic until now. If you can sell your home for top dollar, it may be prudent to maximize the value and profit from your home.
3. New Job
According to Allied Job Relocation Survey, the top reasons people are willing to relocate are career advancement, the opportunity to make more money (36.96%), and the chance to move closer to friends and family (17.88%). While many businesses have moved to remote work since the pandemic, many positions still demand that people migrate to new cities, states, or countries. Selling your home and moving to a new place is a great way to take advantage of job advancement opportunities.
4. Boredom
While there is comfort in living in the same place for 10, 20, or 30 years, it can cause a sense of boredom. According to The London Economic survey, 41% of respondents became bored with their surroundings around a year after moving in. Renovations and remodeling a home are two ways to avoid boredom.
Sadly, a homeowner can only renovate their property so much before it becomes overpriced for their present market, and they lose money if they continue to upgrade. If you’re bored, it might be time to sell your house and start elsewhere.
5. Emotionally Prepared to Move On
Selling a family home because you’re emotionally ready to move on is a popular motivation for retirees and empty nesters. In 2022, 48% of housesellers were between the ages of 56 and 96, and 23% were persons between 57 and 66 years old.
As people retire or their children leave the house, they frequently want to downsize to save money or relocate to a more suitable place for their new lifestyles. This could imply relocating to a lower-maintenance or lower-tax apartment or condo, a 55-plus community, a senior living facility, or even a new area better suited for activities and culture. If you feel emotionally outgrown in your home, it may be time to sell and move on.
To learn more about the best time to sell your home, be sure to read our article about 20 Crucial Real Estate Statistics for a better housing market outlook.
Bottom Line
The best and worst time of the year to sell a house depends on seasonal trends that could affect the home sale price. The best months to sell a house are during the spring season, from March to August. Because the demand outweighs supply, housing prices increase, and homes sell faster. Meanwhile, the worst months to sell a home are September through February or during the winter, when potential buyers are preoccupied with holiday plans. Sellers should expect lower sales prices and more days on the market during these months.
