The housing market is hot right now. In many places, house prices are at an all time high. This is great for current home owners looking to make a change. However, when you’re selling high, you’re also going to be buying high. That is, if you choose to immediately buy a new home after the sale of your current house. There are many factors to consider when selling your home. Keep reading for seven important questions you should ask yourself before putting up that for sale sign.
7. What is the Goal?
This is probably one of the most important questions to ask yourself before deciding to sell your house. Are you hoping to move to a bigger place or downsize? Is your current home no longer functional for your lifestyle or family? Is your mortgage more than you can handle at this time? These are all things to consider because if you choose to sell your home without proper forethought, you could wind up regretting your decision. Talk to experts or friends to process your reasoning to make an informed choice before taking the plunge.
6. What is the Timeline?
Depending on your goal and reasons behind your move, you may be able to take your time selling. You can spend a little extra time waiting for a good time of the year to sell and you can watch the housing market to see which way it is trending. Sellers with time on their hands may also be able to wait for other homes nearby to sell to get more comps. If you need to sell right away, you may see that the market changes drastically in just a short time after you sell. This could be a positive or a negative depending on the market. Check in with a realtor in your area to get more information.
5. How Much Work Does Your House Need?
Do you have a lot of projects to complete before you can list your home, or do you have repairs that are needed? This should all be factored into your decision for financial reasons. If you have a lot of work to do, and very little time, you are going to end up spending a good chunk of change just getting your home ready and this should be budgeted in. This can also affect your timeline. If you think you might want to sell in the next few months, start doing projects and fixes now so that you’ll be less rushed and strapped for cash by the time you’re home is listed for sale.
4. What Would You Include?
Often, buyers will ask for large appliances and even some furniture. It is best to take a look around your home and consider what you might be willing to include in the sale of your home if asked. You can also list the house with certain items included if you will not be needing them in your next home. Then the buyer can decide whether they would like said items or not. It could also help sell your home faster if things like nice kitchen appliances are included.
3. What is the Competition Like?
Have you seen for sale signs popping up in your neighborhood left and right? This can be helpful or hurtful depending on the scenario. If there are several homes like yours listed, you can use those to determine your selling price, compare listings, and gather ideas about what upgrades might be helpful. It can also mean that there are many other choices for buyers and they could be less likely to consider yours. List your home around the same price as the other homes, if appropriate, or even a little under if you are trying to sell quickly.
2. Should I Hire a Real Estate Agent?
Selling a house is a big undertaking. If you decide to sell your home yourself, you will see more of the proceeds, as you are not paying high realtor commissions, but you may have more issues along the way. It can be stressful to sell your home yourself, so a good agent can help make sure that all of the boxes are checked and you get the best price for you home.
1. How Much Will You Actually Make on the Sale?
This figure is determined, mostly, by the remaining mortgage on your home. If you’re selling your house for $500,000, but you still owe $450,000, it may not be the best time to sell. This is because you will almost break even after this sale due to buyers and sellers agent fees, paying off the existing mortgage, and other costs associated with selling your home. In this case you should hold out a bit longer to see what is going to happen with the housing market.
Buying and selling a house can be one of the most stressful and nerve-wracking things you can do. It can also be an emotional time depending on your attachment to your home. Take the time to consider all these questions and determine if now is the right time. You can also consult with a realtor to get more information about the market in your area. As long as you take the proper preparations to ensure that you are making the best decision for you and your family, you’re going to be more confident and happy with your decision.