As much as you love the current house you live in, you’re probably wondering: Should I sell my house? To help you clear your mind, we prepared an entry where we are going to indicate you when’s the right time to sell your home. Fortunately, by the end of the article, you’ll be able to determine the proper time to list your property.
Should I Sell My House? Discover if is the perfect time hide
Recomendations for you to choose a prime listing time
To help you decide the prime listing time, we prepared a list of recommendations:
Establish the peak selling season in your neighborhood
Each market has a peak selling season, meaning the time of the year when most buyers are looking for properties to purchase. To find yours, you can use HomeLight’s Best Time to Sell Calculator.
With this tool, you can analyze real-estate transaction information to establish the best month of the year to guarantee the best sale price, as well as selling speed. You can also take a look at seasonal trends by analyzing the NAR’s (National Association of Realtors) current home sale reports.
Your market’s peak selling season can depend on various factors, such as buyer demographic, the weather and even local events. For instance, Arizona’s peak season begins when summer approaches, when plenty of in-state buyers are shopping for vacation houses.
Don’t stress If you can’t list during the busy season
There are a few benefits to selling during the weak season when the inventory is not too high, and therefore, you’ll have less competition.
This could become the opportunity you were waiting for. If you decide to list your house during winter, you won’t have to compete with other sellers.
Get the help of a real-estate agent
Timing the market can be quite the challenge, and is best left to industry professionals: real-estate agents. Local real-estate agents can understand the specific characteristics of your neighborhood, city or town, to help you decide when to list your house.
Many agents track this data weekly, monthly, and even annually. To hone in the exact time to sell your home, consult a real-estate agent.
Analyze the market
Market conditions can impact your house’s sale price and selling speed. In a perfect world, you would want to sell in a seller’s market, when inventory is lower in comparison to the buyer’s demand, and purchase in a buyer’s market when inventory is higher than buyer’s demand.
Nonetheless, predicting the market’s changes is not an easy task and since the 2008 financial crisis, the odds can change in the blink of an eye.
Most of the U.S. has been in a seller’s market for a few years. In the first quarter of 2021, 97% of real-estate agents shared that they were experiencing a market dominated by sellers.
On the other side, purchasing a different house right after your sale will be more challenging in a seller’s market. It also depends on your priorities. Whether you’re patiently waiting for the seller’s market to cool down, or a buyer’s market to rise up, there’s no way you can predict how the market is going to evolve.
During a buyer’s market, timing can be both good and bad. Buyers have the last word, so you’ll need to time your listing to appeal to plenty of buyers.
American economists predict that the 2022 seller’s market will remain strong for the next year or two. However, this doesn’t mean that conditions won’t change overnight.
Stay alert for interest rates
Interest rates are also more than relevant when it comes to deciding when to sell your house. Whenever interest rates are lower, buyers are more likely to acquire and finance a property.
With low interest rates, any buyer can afford a larger mortgage in comparison with higher interest rates.
Let’s say a buyer can afford a $350,000 house with a 2.8% interest, but could only afford another house for $300,000 but with a 5% interest. The lower the interest rate, the more purchasing opportunities.
Determine your objectives
Not everyone has the same goals when it comes to selling a house. Some people might want to sell their house fast, while others don’t mind waiting to get the best sale cost.
If you’re merely trying to obtain advantage of the market, then you should get your house on the market to see if you get the best price. But if you want to get a higher price, you’ll need to do a few updates so that your house is attractive enough to buyers.
An excellent example of this is when agents suggest you finish your home’s basement. Also, you can add new carpets to increase the value of the house.
Decide where to move
Selling your home is challenging, but selling and purchasing a new house is way more complicated. Whether you’re planning on buying again or renting a place before finding the right house, you need to plan your next move after you list your home.
In a seller’s market, it will be easier to sell your home, but it will be harder to buy a new property. If by any means you list your home while the market is moving rapidly, you may want to look for your next house before accepting an offer for the house you’re trying to sell.
Other ways to determine when to sell your house
After you ask yourself: Should I sell my house? It’s time to determine the best time to sell your home, and next up, we are going to list some of the clearest examples of when you should sell your home:
Sell your home right away
Do this if you want to:
- Take advantage of high prices in a seller’s market.
- Cash out your equity.
Sell your home in a few months
If you want to sell your home in a few months, then you probably want to:
- Make certain upgrades before listing your house on the market.
- Maximize your selling cost.
- Take more time to decide where to go after you sell your current property.
Sell your house next year
On the other hand, if you want to sell your house next year it may be due to:
- There are major upgrades to be done before selling.
- You’re patiently waiting for the interest rates to decrease, either to convince buyers to notice your home or to buy a new house.
- You want more time to figure out your next step.
Sell your house in a few years
Lastly, you’ll likely sell your house in a few years due to:
- Being in a buyer’s market and would like to obtain more money for your home sale.
- Waiting for a buyer’s market to buy a cheaper property.
- Wanting to save more money for your next property before selling your old home.
Mistakes you have to avoid when selling your home
As you already know, selling a house is not easy, and you can make mistakes during the process. To avoid that, we are going to inform you of which mistakes to prevent so that you can sell your home without issues:
Overpricing
One of the most crucial aspects to selling your home, is figuring out the selling price. It has to be an amount you’re okay with, and that it matches the characteristics of the house.
To get the best listing price, you can hire a real-estate agent. These professionals will help you determine the correct listing price, and they’ll do it by exploring your market.
Plus, if there are houses on sale near yours, take a look at the prices to get an idea of how much your house could cost.
Selling at the worst time
The timing of your home sale will make all the difference when it comes to getting the price right. In most places, the best time to sell is during April. The common U.S. home listed during this month sold for more than $8,500 in comparison to different times of the year.
Another aspect you can’t overlook is how long you’ve owned the house you’re trying to sell. If you want to avoid capital gain taxes due to selling your primary home, you’ll need to have lived in the property for at least two or five years.
Not repairing
Even the smallest details can make buyers turn down your house. According to the Zillow Group Consumer Housing, an average seller has to make a few upgrades to prepare the house to sell. The most common repairs include:
- Landscape.
- Kitchen improvements.
- Replacing old carpets or flooring.
- Bathroom improvements.
Being emotional
Even though that moving to a different house can be difficult, it’s important to separate your emotional attachment to the house from the details of the upcoming transaction.
Acting professionally is very important when you’re trying to sell your home, so you’ll have to evaluate if you’re prepared to move out of the house.
If you avoid these mistakes, the process of selling your home will be easier. Our last suggestion for you is to get the help of a real-estate agent if you don’t know much about the real-estate market.
