Today’s housing market gives sellers a clear advantage. There really is no question. So, if you’ve been toying with the idea of listing your home, you might want to make the move sooner rather than later.
But is selling your home the best idea at this time? While doing so can yield good profits, there is one situation where it pays to be safe.
Do not delay the matter
Housing inventory is extremely slow right now, creating a huge gap between buyer demand and available supply. This means that if you have a home you want to sell, live in yourself, or own as a real estate investment, now is a good time to list it.
With so little inventory to choose from, home sellers are missing out on setting high prices for their properties. Additionally, many homes on the market today are ending up in bidding wars, where one or more buyers bid on a property, thereby driving up the price.
Not only that, but some buyers are so eager to buy a home that they are willing to forgo the right to a property inspection. To be clear, this is a very risky move. But it works to your advantage as a seller.
You suspect that your home is older and has issues that a buyer would like to address before finalizing the sale. If your buyer skips their home inspection, that’s not something you need to worry about — or pay for.
Additionally, there is a good chance that mortgage rates will rise further in the coming year. Of course, now, it’s higher than it’s been in over a decade. But since the beginning of the year, the loan amount is constantly increasing, and so far, house prices are strong. If they keep raising prices, they force buyers out of the market, reducing demand and down the road home prices.
One of the reasons why it is worth waiting
If you’re looking to downsize your home or unload an income property, selling now makes more sense than waiting a year if your goal is to make a solid profit. But there’s one situation you’ll want to wait for — if you’re looking to sell your home and upgrade.
Now, any profit you make on the sale of your home may be wiped out by the higher price you’ll pay to buy a larger replacement home. But if you wait a year to sell and buy at the same time, you may find that high-end homes drop in value, especially if more inventory hits. And that situation could benefit you more financially than selling today.
What is the right call?
It’s easy to make the case that selling a home today is a smart move. But before you do, think about your intentions and whether you’re the exception to the rule.