Real estate prices continue to weaken. Unfortunately, as of this writing, there is no end in sight. People are losing their jobs, foreclosures are high, and loans are not as generously available as before. In short: many people feel uncertain about the future. In such tough economic times, should you sell your home?
Of course, every home-owner has his or her individual set of circumstances, and there is no one-size-fits-all answer to the above question. Still, there are factors, even in a down market, that perhaps could work in your favor. If you are thinking about selling your home, the following questions should be explored.
- Where is your house located? If it is in a desirable area, that is a big advantage. Location typically is important to a sale.
- What is the condition of your home? A home’s appearance almost always matters, but it especially matters in a down market.
- Is there a large inventory of homes in your local area? Generally the greater the inventory, the more difficult it will be to sell your home.
- Is your house priced properly? Most of us believe that we should get top dollar for our homes. However, in a deep recession, that is unlikely to occur. If you truly wish to sell your property, make sure it is priced at market value (you can always start out a little higher and bring the price down, but that might keep your home on the market for a protracted period of time).
Spring is around the corner. Historically, this season has been a most appropriate time to put a house on the market. And because we are only in February, you still have time to make your house presentable. For example, if the inside needs painting, paint it (try to keep with neutral colors, though). If the wood floors are scratched, rent a buffer. If the carpets are tired, clean or replace them. The house that presents well will typically move faster than the one that does not.
Okay, so selling a home is rarely effortless. Coupled with the current market, it could be quite challenging. Other considerations to ponder?
Can you afford to lose money on the sale of the home if it worth less than what you owe?
Can you afford to keep it and make the payments?
If you have a sizable amount of equity, what will you do with the money when the house sells? (If you choose to invest it in another property, you might get a good deal, as it is a buyer’s market).
If uncertainty is still gnawing at you about this topic, you may wish to speak with a financial advisor to go over your options.
Next week we will more closely examine preparing a home for sale (home staging). But until then, make you days wonderful!
