How to Know When It's a Good Time to Sell
Big decisions with big consequences can be hard to make. What if you make the wrong decision and reap the fallout? But not making a decision is really still making a decision. Deciding whether to sell your house is one of the biggest decisions you'll need to make in your adult life. The choice doesn't have to be paralyzing. We've put together a list of some key issues you can focus on to evaluate whether now is a good time to sell or not.
You are right-side up on equity
In the first quarter of 2016, there was a jump to 92% of homeowners enjoying positive equity in their homes according to data from CoreLogic. That means only 8% of homes are still under water. If you bought before the housing bubble burst and you think your home is still undervalue, check with one of our real estate professionals. We can do a free CMA (comparative market analysis) to give you a ballpark price for your home. That can help you decide if now is the right time to sell. Ideally you want to have 20% to put down on your next home. That magic number is the sweet spot. At 20% down you avoid paying mortgage insurance that can raise your monthly payment.
Houses in your neighborhood are hot
One or more of your neighbors has sold their home recently and made bank! That's a really good indicator that now might be a good time to sell. Especially if the houses are similar to yours in size and bedroom count. Not only is it a sign that your neighborhood is desirable, but the homes that have recently sold are the ones that your house will be compared with to determine your home's value. Make this work in your favor by getting your home competitive. Consult with a great agent to get your home in tip top selling shape.
Look for a strong market
Selling is most lucrative in a strong market. How do you know if it's a strong market you ask? The key indicators are that the price for square footage is increasing and houses are staying on the market fewer days. If you're not sure how to read these signs, have no fear. That's what our professionals are for. This is in their wheelhouse. Call one of our seasoned agents to help you read the market signs and figure out if this is a good time to put your house out there.
Where are the interest rates trending
Interest rates have been at historically low rates for a while now. When interest rates are low, the pool of shoppers tends to be higher. Buyers are able to qualify for more when the rates are low. And confidence is high when shoppers feel they will get more for their money. Once you have a buyer for your home, you become a buyer and those interest rates will be your friend as well.
This issue is a double-edged sword. Industry watchers have been saying that inventory is low. That means there are fewer houses available. With fewer houses on the market, the prices tend to go up with competition. As a seller this is a great environment. But as a seller who will become a buyer, consult with your agent to make sure you are in a good position to purchase your next home before you pull the trigger on selling. Planning strategically with a real estate professional can put you in the best position for success.
Education has become a factor
As your children grow, you become more aware of how your family choices affect their lives. If your starter home is in an area where the schools do not meet your desires for your children's education, now might be a good time to start looking for homes in school districts that meet your criteria. Do your homework and start looking for areas you want to relocate to. If that area has homes you can consider, this is probably a good time to list your home.
You are busting out of your house
That house was so cute when it was just you and your spouse. But as your family has grown, your house has shrunk. What you once called cozy is now downright suffocating. Your piles have piles simply because there is nowhere to put everything. One child became two, then two became three. Your house is at its breaking point. And so are you. It's time to start looking at what options are out there.
Your house has become too much
This is the opposite of the last point. You may find yourself at the stage in life where your house has just become too much. Your growing family stopped growing as they grew up and out of your house. Now you have rooms that go unused. The cost of heating, cooling, and maintenance is more than you need to be spending now that your family has gotten smaller. Depending on your equity, you may be able to pay cash for a smaller home and even pocket some money. Get with one of our agents and start investigating your choices.
Your dream home is within reach
Have you been dreaming about a particular home, or type of home that until now has been unattainable? If there has been a change in your financial status and you are now able to afford that dream home, this would be a great time to think about listing your current home. There's no need to stay where you are just because change is difficult. Take a risk. Dream a little. At least research the possibility so you can make an informed decision. There's no better time to start living the life you've dreamed.
As you consider whether or not this is a good time for you to put your house on the market, remember you don't have to go it alone. Our real estate professionals at Simonhouse.com are here to help you! Call us today to get that free CMA (comparative market analysis). We'll help you see where you are starting and we'd love to help guide you through the process.
Posted By +SimonHouses.com
Categories: Home Selling