Lennox's Real Estate Blog

sharing my passion for real estate

Should I Wait To Sell?

We are hearing this question every day and the answer is; IT DEPENDS!

Scenario One: If you are selling and not purchasing another property, even though market conditions create a positive environment for getting your home sold, you might wait for higher prices. This scenario does depend on your local market area and price range. The months’ supply will indicate the direction and velocity of prices. A low months’ supply equates to increased prices.

Remember: Local job growth is the #1 indicator of a healthy/strong housing market.

Scott Predictive Graph

 

Scenario Two: If you are selling your home and purchasing another property simultaneously.

1) It’s OK to Buy/Sell within the same market timing.

Factor to Watch: What is the months’ supply of inventory for your current home versus your next home. This will give you the base information to make a decision. It could be a situation where both your current home and your next home may both be going up in value.

2) Key Consideration: Interest rates.

Historically low interest rates; if you are going to use home mortgage financing on your next home purchase it may be a good time to move. Interest rates are expected to increase over the next year.

3) Greater Selection: More inventory appears to be coming on the market.

Sellers who have been waiting to sell, to get higher prices, and who are purchasing another home have noticed the interest rate increase. Many are moving forward with their plans to move. With more Sellers putting their home on the market, buyers will have a greater selection of homes for sale; though it will still be a quick action market.

Written by Lennox

June 20, 2013 at 3:38 pm

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