You are thinking of putting your house in the market, but how do you know if it is the right time?
If you are simply an owner or a real estate investor, you may have been paying attention to the market. It has been exceptionally hot over the years. In many areas, price appreciation has been through the roof. And although there is a slowing happening in the market, there are still plenty of properties that are sold quite well.
One thing that is working in favor of many marketers right now is a fear of where the market is going. In areas where appreciation has been modest, rising interest rates are causing some home buyers to jump into properties before they can no longer afford them. Many consumers fear they will pay a lot if they wait much longer.
While interest rates are rising, they are still at a very low point. They have not increased enough to get most potential buyers out of the market. Add in new loan programs designed to reduce monthly payments, and you will find that there are not a lot of people shy away from buying.
In fact, most buyers buy because they are ready, not when the market is ready.
And maybe that's the way to sell a house. Are you ready to move on? Do you have substantial capital in your home? Is your house in good shape?
If you answered yes to all three questions, you are probably ready to sell your home. You can get an idea of what your neighborhood market is like by seeing it yourself. Look at home that are similar to yours in style, size, age and location. See how long they remain in the market.
You can also talk to a real estate agent about your decision to sell. Ask how long your properties are on the market. Is this up or down from last year? Where do they see the market?
The market is an interesting force. The thing is we tend to focus on what you are doing right now, rather than look at the general trends. Is the increase in interest rates really hurting the consumer when it comes to foreclosure potential? Even when interest rates were declining, foreclosure rates were increasing. Maybe they are not as tied up as we think.
What should determine if you should sell your house or not? Consider your work status, your income level, your age, your family, and all the other factors that are important to your daily life. Yes, we would all like to make a huge profit on our homes, but no matter what the market is, you probably will not get more than what your home is worth.
So, are you ready to sell your house? Are you ready to buy a new one?
Look at yourself and your finances and not the market. The market is not always easy to identify. Let your time be right, not the market. When your focus is on your own finances, you are able to make better decisions.