Timothy Real Estate Group | Vallarta Mexico

Dulce Vallarta

We never tire of talking about sweets in Puerto Vallarta. We also have no problem ingesting them. Mexican delicacies hold world prominence for a good (and delicious) reason. So much work goes into the creation of sweet offerings and is often the highlight of one’s dining experience. Famous for chocolate, cinnamon and vanilla, many Mexican …

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Dental Work in Puerto Vallarta

Dental Work in Puerto Vallarta Ex-pats who live in Puerto Vallarta rave about the medical and dental care they receive. Many people come to Mexico specifically to get dental work done. It’s much cheaper than the US or Canada and the clinics are state-of-the-art, as professional as one would expect north of the border. We …

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Is There a Best Time of Year to Transact in Real Estate? (This Data Might Surprise You…)

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Is it better to list in the summer? The winter? Will I have more competition if I list in the winter? Am I more likely to sell at a greater discount depending on the time of year?

*This post is being presented from the perspective of a seller but it is easy enough to extend the perspectives to those of a buyer*

As a managing broker I appreciate that even with the help of a real estate broker it is difficult to determine the optimal listing price or optimal time of year to list. Practically speaking if brokers and investors were pricing real estate perfectly price changes would not be as common as they currently are. The pricing market interests me so much that when wearing my “professor hat” I spend a fair amount of time examining the pricing of real estate in Chicago in an attempt to better understand movements.

Related: The Best (And Worst) Real Estate Markets (According to New Data…)

As I work through a much larger study I want to shed some light on a few things that investors may find interesting.

What The Data Says About The Best Time of Year to Transact Real Estate

This first post is summarizing the trends that were identified when segmenting properties into quarters. In an attempt to answer the questions above I looked at all residential multi-unit buildings from 2006-2012. This resulted in over 11,000 properties that were listed and sold during this period. In this post I am only discussing those properties that did NOT have to submit a price change in order to lead to a sell which reduced the properties sample to 6,410. The table below looks at this reduced sample and shows that over the 6 year period examined the differences in inventory are seemingly negligible. We can see that the first half of a year, Q1 and Q2, certainly have more listings but also more sales as a result.

If we are chasing the buyers we may want to list in the first half of the year but the fact that both Q3 and Q4 had more sales than listings may mean that sellers hold a stronger bargaining position in the second half of a year. The question is would you rather be operating in a market that is moving more inventory or one that has a tighter inventory?

Related: Why Winter is Great for Real Estate Investing

As a buyer you may reason that the fourth quarter is optimal since the fewest properties are being demanded and that prices will be lower as a result. It is worth noting that the average days it took to sell in this sample was 34.06 days which is relatively quick and speaks to finding the right time to list.

What about discounts?

While it is valuable to have a general sense of you competition what is the discount that these sellers are undertaking in order to sell over an average window of 34.06 days? The table below suggests that regardless of what quarter you list the average discount is approximately 5%. This would tend to imply that regardless of the quarter listed a parcel will sell for a discount of approximately 5%. On a technical note if you are a buyer you do seem to have a marginal benefit if negotiating a purchase in the second quarter of a year and if you are a seller you have a marginal benefit when listing in this same quarter.

Table 2 Discount


What conclusions can be drawn from this summary?

  • First and foremost is that when a home is priced “right” we should still expect an approximate discount of 5%.
  • Additionally, when we price “right” we should sell in approximately a month regardless of the quarter listed.

The next step is to examine what happens when we don’t price “right” and have to change the listing price. Next time I will be looking at how price changes are received by the market and how they impact time and discounts.

The post Is There a Best Time of Year to Transact in Real Estate? (This Data Might Surprise You…) is property of The BiggerPockets Blog. and is Copyright

Before the Cruise Ships in Puerto Vallarta

Long before Norwegian Cruise Line, Princess and Carnival Cruises started mooring their ships in Puerto Vallarta, the bay welcomed huge freight vessels. Ships were also the primary form of transportation for people arriving in the port, as well. Entire households were transported by mid-century settlers. The first passenger and freight ships, with names like El …

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Puerto Vallarta: Who is Who In Mexico

Do You Know a Chilango? We’ve met many people in Puerto Vallarta from Mexico City who commonly refer to the city as DF, which stands for Federal District (Distrito Federal). In the current term of President Enríque Peña Nieto, the name Mexico City was officially christened as such, but old habits die hard so when …

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Vallarta Has The Best Side Trips: Lo de Marcos

The French Quarter of Puerto Vallarta – Lo de Marcos: Lo de Marcos reminds us a lot of Puerto Vallarta back in the early 1980’s when we first discovered the area. It’s not really as large but then, Puerto Vallarta has spread her borders from what we originally observed. Not saying that will happen in …

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Puerto Vallarta Artists Exhibition

David Birks “Paraíso en Proceso” is the opening exhibit of Oficina de Proyectos Culturales (OPC), located in the center of Puerto Vallarta (Juarez & Aldama). The exhibit is a conceptual project that explores the recent history of Puerto Vallarta from the artist`s point of view, with the collaboration of other artists, architects and urban designers …

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Tonala Is Worth Visiting From Puerto Vallarta

Before the conquistadores invaded Tonalá in 1530, this city was ruled by a woman, Cihualpilli. A chapel dedicated to the Virgin of Guadalupe, located at the high point of Cerro de la Reina (Queen’s Hill), where Cihualpilli lived, ruling over her people, has a monument built in her honor. A flagpole also can be found …

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Gettin A Pedi In Puerto Vallarta

Pedicures: Our feet take a beating in Puerto Vallarta. We have an amazing collection of open toe sandals, from flip flops to fancy huaraches. Sneakers and hiking boots fill the remainder of our assortment of shoes. With toes showing most of the time, we like them to look pleasant, rather than gnarly and dirty. More …

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Puerto Vallarta – Spray Your Ankles

This time of year, there is an abundance of conservation regarding mosquitoes in and around Puerto Vallarta. Some of us are just too delicious for our own good. We have a friend who’s tried everything under the sun (and from the pharmacy counter) but the only solution for her is to sit in front of …

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Puerto Vallarta Living: Santa Maria Del Oro

Santa Maria del Oro This time of year for those who live in Puerto Vallarta, the steamy weather makes us turn to higher altitudes and less heat. Santa Maria del Oro. This is definitely an overnighter, taking over three hours on the northern route to get there. We make it longer by stopping for lunch …

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Puerto Vallarta Living: In Case of Emergency

In Case of an Emergency We’re passing this along from Pamela Thompson, Healthcare Resources Puerto Vallarta, who believes such information can’t be shared too much. According to Pamela, there are too many people unaware of the following, some of which can be lifesaving. If you know anyone unaware of this list, please direct them to …

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The Singing Queens Of Vallarta

The Singing Queens of Puerto Vallarta: We’ve seen some fine drag shows in Puerto Vallarta. Our favorites are, of course, those entertainers who use their own voice for vocals but we don’t mind a lip-syncing, if it’s good. There are several venues in Puerto Vallarta to see great drag theater. With each passing year, we …

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