Is spring still the best time of year to buy a house?

Spring usually marks the peak time for the property market, with many buyers trying to get into a new home in time for summer.

While the start of 2023 has been sluggish for the housing market, there are signs the spring months could once again prove to be a prime time to secure a deal on a property.

Here, Which? analyses what's happening in the UK property scene, and whether or not this season is a shrewd time to buy.

Why is spring a popular time to buy a house?

Speak to an estate agent, and they are likely to tell you that either the spring or early autumn are the best periods of the year for the housing market.

Better weather and longer daylight hours fuel the appetite of both buyers and sellers in March, April and May.

Plus, lots of home-hunters are keen to move into a new home before the start of summer, with gardens and outdoor space being at the top of many wish lists.

The spring months are also a popular time for parents with young children to start house-hunting, as they aim to finalise a transaction before the six-week summer holidays.

Rightmove says March is the best month of the year for selling a house, with the number of buyer inquiries being at its highest. This is followed by April and May.

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What's happening to the housing market?

Lower house prices, improved supply and cheaper mortgage rates mean buyers are in a better position than they were in the second half of last year. The cost of buying a property is, however, still hugely inflated from where we were pre-pandemic.

Supply is improving

Last year saw a chronic undersupply of homes for sale, which pushed prices higher but also acted as a drag on sales completions. However, the latest findings from Zoopla show there are now 65% more homes for sale than the same time a year ago. 

Meanwhile, the average estate agent has 25 homes available, compared with a low of 14 homes this time last year. A better supply of homes puts buyers in a easier position this spring.

House prices have fallen from their peak

Following years of continual increases, property prices have now come down from their peak. Latest statistics from the Land Registry show the average UK house price fell by 1.1% in January, taking it to £289,818.

Meanwhile, recent data from Nationwide – which has recorded seven consecutive monthly drops – shows that prices fell at their fastest annual pace for 14 years in March 2023. 

In contrast, Rightmove and Halifax both reported a monthly house price increase (0.8%) for March. The unexpected rise could suggest prices won't falter this spring as demand from buyers increases.

• Find out more: what's happening to house prices?

Buyers have strong negotiating power

According to estate agent trade body Propertymark, 75% of homes are selling below their original asking price – meaning buyers can hold the upper hand when it comes to negotiating a deal.

Rightmove reports that the average price reduction is 6% – the equivalent of £22,000, based on the current national average asking price of £365,357.

The likelihood of securing a price reduction should therefore be on the minds of buyers when browsing property listings this spring. Depending on the level of competition from other buyers, you might be able to take a chunk off the purchase fee.

What's the average time to sell?

The length of time it takes to sell a house has increased over the past year, but we are now beginning to see a dip in the average time taken to sell.

According to Hamptons, properties that went under offer in February had been on the market for an average of 64 days.

The graph below shows how last spring was the time of year when properties sold the fastest, with a low of 26 days in May.

While we won't be seeing a return to these lowly figures in 2023, it is anticipated that the remainder of spring will prove to be 'hotter' than it has been in recent months. 

Mortgage rates

Following several weeks of steadily falling mortgage rates, figures are now dropping at a slower rate. The average two-year fix is 5.32%, while the average five-year rate is 5.05%.

Lenders have been undercutting each other to offer the cheapest deals, with some sub-4% offers being available to those with larger deposits.

Experts expect mortgage rates to linger around the same level this spring. A Bank of England base rate hike could come into play in May, potentially resulting in higher mortgage costs.

• Find out more: best mortgage rates

The pros and cons of buying a house in spring

Often named as the best time of year to buy, there are both upsides and downsides to be aware of when looking to move in the spring:

Pros

• Buyers have a wider range of options than during other seasons: spring is traditionally the time of year when more homes are on the market. Sellers tend to wait it out over the quieter winter months, before listing their property for sale from March onwards.
• House-viewing can be a nicer experience: the better weather gives buyers a greater chance to see prospective homes in all their glory, with the garden in bloom and natural light filling rooms.
• It's easier to move in better weather: it may sound simple, but the process of moving tends to be a lot easier than during the cold and miserable winter months. 

Cons

• It might not be the best time to pick up a bargain: as more buyers are on the hunt for properties, increased competition is likely – meaning sellers are less likely to have to reduce prices to secure a deal. Last April, the average number of viewings per property was 6.2, according to Propertymark data. In the winter months, that number fell to 1.8.
• You could be rushed into making decisions: due to the heightened competition, you might have to act fast to secure your dream home and put an offer in faster than you'd like to. 

How other seasons compare

If you’re looking to snap up a bargain, then November and December are likelier times of the year to get a good deal, as fewer people tend to be on the hunt.

What's more, sellers who've failed to get a deal over the line in the summer could be keen to push through a sale, to avoid having to start the new year in the same situation. Therefore, this could be a great opportunity for buyers to negotiate a lower offer.

That being said, sellers do tend to go into hibernation over the winter, so the number of options could be slim.

The height of summer, from July to August, is traditionally a quieter spell for the housing market, as it's a more popular time to go on holiday. Again, as a buyer, you could take advantage of the reduced demand, as frustrated sellers could start to chip away at their asking prices.

Like the springtime, early autumn is a buoyant period for the housing market. The summer holidays will be over, and anyone wanting to move is usually keen to do so before Christmas. As a result, you can expect to face competition if you're looking to buy a property in September and October.