Are you thinking of selling your home? Do you want to take advantage of today’s hot Seller’s market? If you sell now, you will likely recognize a great gain on your investment, but here’s a question I get all of the time: “If I sell my home now, where will I go?” It’s a great question and there are no easy answers.
What Are Your Reasons for Selling?
First, you’ll want to evaluate your reasons for selling? Have you outgrown your home? Do you want to downsize? Is your commute robbing you of precious time? Are you tired of condo living? Or, does a low-maintenance condo sound appealing? These are all legitimate reasons for selling. And, there are many others.
One reason for selling that you may have is simply to make money on your investment. If you are like most homeowners, you realize that your home value has gone up. And up! It’s a great time to sell. Homes are flying off the market at unbelievable prices. So, if you want to sell, there is no better time. But, there is a dilemma that most Sellers face – there’s no place to go. Well, that’s not entirely true. There are places to buy, but not necessarily in your same neighborhood and not necessarily within your price range. It’s great to sell in a Seller’s market, but let’s face it, it’s tough to buy. So, if you want to sell to take advantage of today’s hot market, you may need to make some adjustments. Some compromises.
Factors to Consider if You Choose to Sell Now
Consider these questions — If you sell now, are you willing to buy in a more affordable neighborhood? Are you willing to downsize from a large single-family home to a smaller one? Maybe a condo? Is a mainland move in your future? Are you willing to rent as a short-term option?
If your answer is “yes” to any of these questions, selling your home now might make sense. You can pull out equity, buy something smaller, simpler, or elsewhere, and laugh all the way to the bank. Or, if you have an increase in income or extra cash lying around, you can sell and buy. Just know that you’ll be in line with a lot of other buyers vying for the same properties.
There is a risk to selling without knowing where you are going to land, so here’s a strategy I employ with my Seller clients who are low on risk-taking, but high on opportunity-taking. Sell your home subject to finding a replacement property. This allows you to list your home and to get it solidly into escrow. We build in terms that allow you to cancel escrow if you do not find a suitable replacement property. Closings of both properties can be simultaneous or within a short period of time of one another. We can even negotiate a late occupancy, so that you don’t have to move out of your current home until your new home is ready for you to move into. It’s a great strategy and it works. Yes, it requires skill and patience, but it is doable. Very doable.
Consider All Variables at Play
If you want to sell, you need to carefully consider your reasons and all the variables at play. Do not sell until you’ve looked at all your options and until you’ve developed a strategy. A strategy that will allow you to reap the benefits of selling in today’s market at reduced risks. A strategy that will help you achieve your real estate goals!