The best time of year for homeowners to sell their property starts later this week, according to a new housing study released Wednesday.
February and April are great months to sell a home, but May in particular offers a homeowner the biggest chance at earning more money in a sale than the property's estimated value, real estate analytics firm ATTOM said. Sales made in May typically give homeowners 9.5% more — the highest premium of all 12 months, ATTOM said in its study.
“This year, timing the sale of a home is especially important due to tightening market conditions and declining seller profit margins nationwide," ATTOM CEO Rob Barber said in a statement. "In this environment, listing during historically strong months like May, February or April — when seller premiums tend to peak — can help homeowners maximize their return before market pressures potentially erode profits further."
Selling a house in May makes sense because Americans have historically ramped up their homebuying activity in the spring, with the warmer weather attracting more people to open houses. However, prospective homebuyers have bucked that trend so far this year, with some opting to sit out the spring season due to elevated home prices and mortgage rates near 7%. In a survey by Bankrate this month, 83% of the respondents who identified as aspiring homeowners said they cannot afford the asking price or a down payment on a mortgage.
The interest rate on home loans will largely determine how much home-selling can happen this spring and in the months that follow, economists at Wells Fargo said last week in an investors' note.
"Although buyer financing costs temporarily dipped lower in March, mortgage rates have jumped back to near 7% in April alongside recent financial market volatility," Wells Fargo said. "In addition to the elevated stance of mortgage rates, affordability continues to be pressured by rising home prices."
To be sure, this year's housing market has also been a challenge for homeowners. Many have been hesitant to sell their property because they would likely face financing another at today's much higher interest rates and prices. Some homeowners have seen their values soar in recent years, making them even more reluctant to leave that wealth growth.
The worst months for sellers to close on a sale
ATTOM researchers analyzed the sold prices for 47 million single-family and condominium sales between 2015 and 2024 nationwide. Their calculation includes only those days when at least 10,000 homes sold. ATTOM said it purposely excluded New Year's Day, Independence Day, Veterans Day and Christmas from the calculation.
Historically, owners get a 9.4% seller premium on price in February and 9.1% in April, according to ATTOM. (The best individual days to close on a home sale transaction, based on seller premiums, are March 30 and 31, April 28, and May 26 and 27, according to ATTOM.)
The worst months to sell are in the fall — September, October, and November — when the premiums fall to 6.9%, 6.6% and 6.4%, respectively.
"As the weather cools and the holiday season approaches, both buyers and sellers tend to focus on settling in rather than moving, leading to fewer new listings and less buyer activity," Barber said about the fall. "Homes that do sell in these months may have been sitting on the market since summer, often resulting in lower sale prices."