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The best time to aerate a lawn is when there's plenty of moisture in the soil, which is the fall or spring seasons. However, keep in mind that lawn aeration isn't very effective when there has been a long period of heavy rain, as the excess water can potentially damage the lawn in the aeration process. Wait until your lawn is predominantly dry to start the aeration process to ensure best results.

Carpetgrass is a low-maintenance grass requiring little fertilization that thrives in subprime growing conditions. However, regular mowing is necessary to avoid the growth of unsightly seed stalks, and you may have to water it frequently to prevent drying out the soil. That includes watering the grass over dry winters to help keep it healthy, and it may start dying out in particularly cold climates where it grows poorly. Carpetgrass can also be vulnerable to some types of turf fungus, so it’s important not to overthatch. 

The grass could be dying because it’s overwatered or underwater. Additional issues include over-mowing the lawn, compacted soil, or a fungal disease in the lawn. In many instances, regular maintenance can keep grass from dying.

Yes, after the lawn is overseeded post-aeration, most of the seed germinates in the aeration holes. This leaves the soil undisturbed while lush and healthy grass will grow in the holes' place. The point of this is to create extra turf density in areas that really need it, such as a large patch of dead grass where a shed used to be.