Are you looking to sell your old house? Are you planning to downsize and move to a cheaper location?
Selling a house is not as simple as replacing a full set of wardrobe. It means uprooting and adjusting to a new lifestyle. If you have a family, the tougher the adjustment becomes.
Aside from the changes, you also want to get the best value out of your property. Interestingly, Americans are losing confidence in the housing market with the ongoing pandemic.
Thus, the question remains: “Is now a good time to sell my house?” The answer involves understanding important aspects of the current real estate landscape. Continue reading below as we discuss the most important factors that will lead you to the most sensible decision.
Is Now a Good Time to Sell My House? What the Trends Are Saying
“Is now a good time to sell my house?” Answering this important question begins by looking at what the current real estate trends are saying. The trends often serve as indicators of the possible direction the market is heading in.
Trends say that selling in 2021 will likely involve a rise in mortgage rates. This is especially true for certain areas like Boise. This is due to the Federal Reserve’s likely move to lower the short rates.
Also, you can expect a low inventory of available homes. Because of this, homebuyers need to stay alert for good deals. The best homes will likely find buyers quickly.
As a home seller, you can expect low selling competition this year. If your property is attractive, you may even see acceptance letters heading to your home.
Thus, you need to take advantage of this season. Be patient as you go through different offers. Take your time until you find the best offer in line with your moving timeline.
Also, the prices of homes across the country will continue to rise. This means there is a big chance of scoring big in terms of profit. Though this is already a big boost, you can further increase your profit by working with a real estate agent.
An agent who knows the ins and outs of the local real estate scene can help you find the best deals possible.
The Pandemic and the US Real Estate Market
You also need to follow how the pandemic is affecting the housing market. Incidentally, the pandemic is playing a big role in the rising prices of homes. Apart from Boise, the other cities that are in the middle of price gains include Cleveland, Memphis, Cincinnati, Pittsburgh, and Indiana.
Data notes that the prices of houses in those smaller metropolitan markets are at least 10% higher compared to last year. In a broader landscape, the national average also grew to 8.4% last October.
Interestingly, these same cities were areas that offered historically affordable homes. Furthermore, people are now working remotely. Hence, some choose to move from an expensive neighborhood to a more affordable one. On a side note, always keep in mind to hire only the best professional movers in town.
It is also a good time to sell your house as experts predict a real estate boom later this year. Moreover, some cities will perform better than others. If you happen to live in New York City or San Francisco, expect the housing market to bounce back this year.
Even cities that experienced a downward trend last year like Los Angeles and Miami will likewise rebound.
Mind the Mortgage Interest Rates
Though analysts predict that the interest will rise because of the Fed, there will still be several months wherein the rates will remain low. During this window, expect homebuyers to scramble to secure a home.
Also, buyers will be wiser in their purchases. This is mainly because of the economic challenges the country is going through at the moment.
Homebuyers will limit their payments to nothing more than 25% of their monthly net salary. They will also aim for a 20% down payment to reduce the impact of the interest rates. Also, they will look for 15-year fixed-rate mortgages.
Once the interest rates start to increase, don’t pull out your property just yet. Let it stay in the selling block especially if you are not in a rush to move out.
The Boom of Online Real Estate Services
You also need to realize the continuous boom of online real estate services. This is crucial in terms of connecting you faster to prospective homebuyers.
For starters, prospective buyers will continue to go to Zillow for home listings. With a few clicks from their laptops or mobile phones, they can find multiple listings of available houses in different areas.
On the flip side, more home sellers will use the services of a virtual agent. This online agent offers roughly the same services as a real agent. However, the difference is in the fees.
These virtual agents will cost you less compared to hiring a real agent. Also, expect prospective buyers who will try to close the deal via online or mobile. Buyers will ask you for digital documents that they can sign electronically.
This is important considering that some buyers will look to limit their face-to-face interactions due to the viral threat.
The Season to Make Your Move
With all these factors playing important roles, is selling a house a good decision at the moment? The answer is “yes!” However, you need to know exactly when the perfect time is to pull the trigger.
Experts are unanimous in saying that spring and summer are the best times to sell your property. However, you still need to be on the lookout for other uncontrollable factors. These include changes in tax incentives, job growth, and inventory in your neighborhood.
Increase Your Real Estate Knowledge
Now that you know that answer to the question “is now a good time to sell my house,” you can start planning your next moves. You can make the necessary improvements to your home to make it more appealing.
Should you wish to learn more beyond how to sell a house, we encourage you to read our other articles. We tackle different topics that will help you become a wiser home buyer or seller.
