Have you been thinking of selling your home? Everyone has different motivations for wanting to sell. You could certainly have the same thought process as others.
One of the more common questions REALTORS® get is whether it is a good time to sell a house. Some will come right out and ask if I should sell my house now.
Sellers need to know there are good and bad times of the year to sell a home. For most areas of the country, spring is the best month to sell. The best and worst time to sell a house can vary slightly based on location.
But what are the signs that this year may be the best time to sell? Let’s have a look at some of the considerations.
It’s a seller’s real estate market
Homeowners are in the driver’s seat when it is a seller’s real estate market. There is a high demand for homes, which leads to sellers getting better pricing and terms from potential buyers.
Sellers can negotiate better deals with buyers because most homes have significant competition.
When the market is hot, there will be an increased potential for bidding wars with escalation clauses. With bidding wars come terms that sellers would never see otherwise.
When you want the best price and terms doing it in a seller’s market makes sense. The real estate comps could be screaming–let’s do it!
Doing a renovation to your existing home wouldn’t be wise
Usually, adding an addition or other improvements to a home can be a great way to increase its value. However, this isn’t always the case.
If your improvements exceed what the market will bear, you may not see a return on your investment.
For example, if you have a 3-bedroom home and want a 4th bedroom adding an addition would be something most people could consider.
However, if the addition costs $100,000, it could price you out of the neighborhood. In this scenario, selling your home and moving into a neighborhood with values similar to four-bedroom homes would be better.
It is always wise to consult with a local real estate agent to determine the market value after completing the renovations.
You can then compare that to what you would spend selling and buying another home instead.
Quite often, flashing red lights say it is a sign to sell your home rather than over-improving.
You are tired of maintaining your home
Another common sign for home sellers that it could be time to sell is continuous maintenance.
Maintaining a house can be time-consuming and exhausting, especially if the house is older and requires more upkeep.
Selling your home and downsizing into a condo could be the solution. When you own a condominium, the homeowner’s association covers exterior maintenance and repairs, freeing you from the burden. A townhouse is also an excellent option.
Simplifying your life is often a significant motivating factor for homeowners. Many will decide to have two smaller homes instead of one large one.
Maybe you can see yourself having a second home in a vacation destination you love. Selling your home and reinvesting the proceeds into two condos could be an excellent solution.
Many condos and townhomes will have fantastic amenities such as a pool, fitness center, and other recreational activities. You can enjoy all the benefits of condo ownership without the hassle of maintenance.
You’re nearing retirement
Retirement is a great time to consider selling your home. As retirement approaches, you may find your current home is no longer suitable. Maybe it is too large, requires too much maintenance, or is not in the area you want to be in.
By selling, you can save money on items such as property tax assessments and utilities.
Downsizing during retirement also allows you to move closer to family or a new city you may have wanted to live in.
This can add more enjoyment to your retirement and allow you to experience life in a new area.
Lastly, if you move to an area with a lower cost of living, you can stretch your retirement funds even further.
Bill Gassett is a nationally recognized real estate leader who has been helping people buy and sell MetroWest Massachusetts real estate for the past 35 years.
