The real estate economy is on the rise and it is tempting to sell your house. Should you take a risk?
Aside from a good market condition, taking into account your personal circumstances is important. Before you plant the “for sale signage” on your yard, assess yourself and check below criteria to know whether you are ready to pursue a sale or not.
What is the Best Time to Put House on The Market?
1. You have Enough Equity to Fund your Expenses
Before you finally sell your home, make sure that you’ll get an equity that can help you finance your mortgage and other personal expenses.
The equity price is computed by deducting your home loan from the total value of your property. For an instance, you house’s worth is $350,000 and the mortgage is $250,000, the remaining $100,000 is the equity.
If you have enough, it’s a good sign to sell. However, if you owed more than your properties’ worth, then don’t. Wait until the value increases or you have already settled your mortgage.
2. You have No Existing Bank Debt
Begin by assessing your cash flow. Can you finance three to six months of your everyday expenditure? Can you still live at ease while in the process of selling your house? If you answered yes to all these questions then you are ready to sell your old house and purchase a new property.
Settle your existing debts before you make a final decision.
3. You can Afford to Buy a New House
Do you have sufficient savings to buy a new house? If so, there’s no problem to sell. But if you only rely on the sale of your property, think twice.
Once you have listed your property, prepare for other expenses that may come your way. If you hire a real estate agent, then you are required to pay them a commission fee of 6%, which is undeniably hefty. If you want to save from this charges, this guide will help you sell without a real estate agent.
If your fund is limited and you struggle on paying your expenses, re-consider your plans. It is best to wait a moment and save before you make your house for sale.
4. The Real Estate Market is in Demand
Observe the real estate market before you finally lists your home. Buyers usually begin scouting for new properties during sunny and milder days. Spring season has proven to be the best time to sell while winter is the worst.
If you list your home when the demand is high, the better chances of selling it fast at a competitive price.
5. Your Home- improvement Projects are Done
Finish any pending improvement jobs before you put your home for sale. Repairing small projects like perking up the bathroom sink and painting the front door can make a huge difference.
You don’t need to fully renovate to please prospect home buyers as they may have a different preference from you. However, if there’s a need to do major home improvements for a more functional home; make sure to complete them as soon as possible. Read these 10 things to prepare to sell your house fast.
Buyers don’t expect a brand new house, a turnkey home is much more important.
6. Your House Does not Fit your Lifestyle
Is your house too small or big for you? Are you expecting relatives or additional family members to stay with you? Or, are your kids have already moved out with their own family? Do you need to up-size or downsize? Think of it.
These are common factors to consider before you sell your home. If your neighborhood and home no longer fit your lifestyle, then it’s probably the best time to sell your home.
If you are confident to sell your property and have all the resources you need to transfer to your new house, go ahead. However, if you want a quick sale and cannot afford to pay for ad-hoc expenses, The Home Buyers is your next big choice.