Forget television sets and video games, the best thing to buy during the holiday season may be a home.
A new analysis from Attom Data Solutions, a real-estate data provider, found that December is the best month of the year to buy a home when it comes to getting a relatively good price. During the last month of the year, homes only sold for 1.2% more than their estimated market value on average. Comparatively, June is the most expensive time to buy, when homes sell for roughly a 7% premium.
To produce the report, Attom analyzed more than 23 million single family home and condo sales over the past six years. Attom limited the analysis to days with at least 10,000 single family home and condo sales. Altogether, 362 days met that threshold — the four exceptions were Jan. 1, July 4, Nov. 11 and Dec. 25.
There were only three days of the year where homes actually sold for a discount relative to the estimated market value. All three of these days are in December: Dec. 4, Dec. 26 and Dec. 31.
“Closing on a home purchase the day after Christmas or on New Year’s Eve can be one of the most financially beneficial holiday-season gifts you can get,” Todd Teta, chief product officer with Attom Data Solutions, said in the report. “While lots of folks are shopping the day-after Christmas sales or getting ready to ring in the New Year, our data shows that buyers and investors are buying homes on those days at a discount.”
Of these, the day after Christmas was the best time to purchase — on that day, homes sold for a 0.3% discount.
At a more local level, though, other months can be better than December. For instance, homes sell for over a 7% discount compared to the national average in January in Ohio, while the same is true of Michigan homes in February.