You might already know for a fact that you’re ready for a new home. But before you pull the trigger on selling your current home, you want to know that you’ll get top dollar and be financially secure for the long haul. Here are four signs that there’s no time like the present to put your home on the market.
1. You Don’t Need Any Big Repairs or Remodeling
Sure, upgrading a bathroom sink might make you feel better about what potential buyers see when touring your home. But don’t sweat the small stuff. You aren’t likely to recoup the expenses you put into most home improvement projects, much less turn a profit. The important thing is that your home doesn’t need some type of major overhaul that sends buyers running for the hills – something like a leaky roof or cracked foundation. Barring any such severe flaws, just double check with your real estate agent to make sure there aren’t any renovations that would significantly raise your home’s value. If there aren’t, then you should consider your home ready to hit the market.
2. You Have Positive Equity to Avoid Out-of-Pocket Costs
Equity is the difference between what your home is worth and what you owe on it. Say your home is worth $100,000. If you only owe $50,000 to pay off your mortgage, that means you have $50,000 in positive equity. Ideally, you’d like to have enough equity to cover closing costs and put some money down on your next home. At a minimum, you want to have enough to cover the current balance of your mortgage, so you can avoid paying out of pocket. As long as you have even a small amount of positive equity, that’s a positive sign that you’re ready to transition to a new home.
3. You Know You’re in a Strong Market
Chances are you have a general idea of housing prices in your area if you’ve been in your home for at least a couple years. That said, you want to look for trends to make sure you strike while the iron is hot. Look at the average number of days that homes have been on the market. Has that number been decreasing? At the same time, has the price per square foot of homes in your neighborhood been rising? If the answers are yes and yes, those are indicators of a strong market. Of course, you can always look at homes like yours that have sold in your neighborhood recently, too. If you’d be happy with the price that comparable homes are selling for, now could be the right time to list your home.
4. You Can Comfortably Transition to a New Home
Buying a new home while selling your current home is tricky. Buy before you sell, and you may need to carry two mortgages for a while. Sell before you buy, and you may need a place to crash while you search for your new home. There’s a lot to consider when weighing your options, which is why it’s wise to consult with an experienced real estate agent to help you figure out your best course of action. The important thing is that you’re able to come up with a game plan that doesn’t jeopardize your financial future or leave you without a place to stay. If you have the resources in place to facilitate a smooth transition to your next home, the timing to sell may never be better.
Work with a Real Estate Agent to Ensure It’s the Right Time to Sell
A great real estate agent can help make sure all your ducks are in row before putting your home on the market. Plus, they’ll work to make to make sure you get top dollar. If you want to connect with a top-rated seller’s agent in your area based on your specific situation, we can help! Reach out to us anytime at 855-200-2085.