If you’ve been waiting for the perfect time to sell your home, now may be it. High demand and low inventory has created an ideal market for sellers, and many buyers are willing to accept an “as is” home that may be in need of a few renovations.
If you’ve been thinking of selling your home but maybe need a little convincing first, keep reading. In this article we’re going to discuss the top reasons to sell your home now. We’ll explore the current housing market and then consider some of the more personal reasons to sell.
Demand is High, Inventory is Low
It’s the perfect combination for a seller’s market: high demand and low inventory. In December 2020, home inventory was at a record low and it hasn’t gotten much better since then.
People are staying in their homes longer, which means less turnover of available houses. Home builders can’t keep up with the demand for new construction either, so many home shoppers are forced to compete for what’s available.
With market conditions like these, many sellers are seeing quick sales and high offers for their property. These both make great reasons to sell your home now.
Prices Are Up
With the low inventory and high demand for houses, it’s no surprise that prices are up too. In June, the median existing-home price rose 23.4% from the previous year, the second highest increase since 1999.
If getting a great sales price on your home is a top priority for you (who wouldn’t want the highest profit?) then now may be the perfect time to sell your home.
For more on getting absolute top dollar for selling your home, visit The Ultimate Seller’s Resource Guide. In this guide we list all our best resources for everything from preparing your house to sell, to information to help you get the most money possible from your home’s sale.
Interest Rates Are Down
According to Freddie Mac, interest rates are falling as low as 2.9% for 30 year fixed rate mortgages (as of July 2021.)
Buyers are eager to take advantage of such historically low interest rates. Even one percent (or half a percent) lower on a mortgage interest rate can mean hundreds of dollars saved every month on a housing payment.
Lower interest rates mean more serious buyers ready to purchase a home. This can create more competition for open listings on the market. With more interested buyers than available homes, buyers are coming forward with strong offers from the start, sometimes even over the asking price. Get enough interested buyers, and you may even see a bidding war on your home. This puts you in an excellent position to examine all the offers and earn the absolute best deal on your home.
An Increase in Equity
With average home prices rising and values going up, selling your home could mean an instant improvement in equity for you. If you’ve outgrown your home or your needs have changed, selling your home now could allow you to use that equity to invest in your next home.
With the rise of freelancing and work-from-home opportunities, many people have more choice in where they want to live. Do you dream of moving to the suburbs? Maybe you need a home with more bedrooms, or space for a home office. Now may be the time to make your move!
For more information on determining your home’s value, check out How to Find Out What Your Home is Worth.
Buyers May Be More Lenient
Do you have a few home repairs or upgrades you’ve been meaning to get to, but never seem to find the time? Well now you may not have to. With high levels of competition among home buyers, many are choosing to look the other way on some less-than desirable features.
While it’s still smart to consider some renovations, high competition can drive some buyers to opt for purchasing a home “as is” versus trying to wait for the perfect, move-in ready home.
If you want to see what to fix up to get top dollar for your home, check out our list of what to renovate for the best return on your investment.
Deciding what repairs and renovations to make (if any) can be tricky, so this is a great discussion to have with your Realtor. They can help you determine exactly which projects matter the most, and what will give you the highest return when it comes time to sell.
Other Reasons to Sell Your Home Now
Of course, there’s more to selling your home than getting a great deal. Think about your life as a whole, and the big goals you’ve set for yourself over the next few years. Does selling your home now make sense for your life plans?
Maybe one of your big desires for the near future is to do more travelling. Would selling your home now free up more money and time to be able to take some of those trips you’ve been dreaming of?
Another reason to consider selling your home is to be closer to family. Maybe you had to move away due to a career relocation, and now you’ve got some flexibility back in where you live.
You may also be ready to retire and looking to downsize. If you don’t need as much space, or as many bedrooms, selling your home and living somewhere smaller means less upkeep and cleaning for you. There’s also the financial benefits that usually come with a smaller home. The purchase price may be less, and the utility bills will probably be lower as well.
As you can see, there are so many reasons now may be a great time to sell your home. Which one resonates the most with you?
What to Keep In Mind Before Selling Your Home
Before you get too caught up in the idea of selling your home in what could be a potentially very lucrative deal, be sure and think of the flip side too. Does selling your home mean you’d have to jump right in to buying another home? Have you looked to see what kind of rental options are available in your area?
Just because it’s a seller’s market doesn’t mean you won’t find success in buying a new home. You just have to be prepared for some of the challenges we discussed already, like low availability of homes on the market and competition with other buyers. Having a great Realtor by your side will help you get into the home of your dreams!
Take some time to peruse some of the homes for sale in the area you’re considering moving to. There are many great online databases on sites like Realtor.com. Does it make sense to sell your home now? Are you eyeing a dream house you can’t get out of your mind? It may be time for a change!
Are you in the Sacramento area and want some help considering all your options? Give our team of real estate pros a call. We can take a look at your individual situation, and help you decide if now is the right time to sell or buy for you.