Sellers: Don’t Wait Until Spring To Make Your Move
Moving up to your ideal home may be at the top of your list of New Year's resolutions. But how do you know when it's time to act? You want to time the sale of your current home perfectly so that you get the maximum money possible. You also want to know that when you buy a new home, you're making a wise investment. What you may not realize is that the chance to have the best of both worlds is already available to you.
You don't want to put off taking action until the spring. Because of the current market conditions, this winter is an excellent time to relocate. This is why.
1. The Number of Homes on the Market Is Still Strictly Limited
Because of the scarcity of residences for sale today, sellers are in the driver's seat. There are many more buyers than properties available in the market, which means that purchasers are eagerly awaiting your home. When you list your home, it becomes the center of attention. As a seller, this means you can anticipate your home to sell quickly and receive numerous strong offers this season if you price it right. Remember that as the winter months progress, more inventory is expected to enter the market. According to the 2022 projection from realtor.com,
"The inventory of homes for sale is expected to rebound from all-time lows after years of decline."
Selling now may help you maximize the return on your investment before your house has to face more competition from other sellers.
2. Your Equity is Increasing at an Unprecedented Rate.
Because of today's home price rise, current homeowners have historic amounts of equity. According to CoreLogic's latest data, the average homeowner has gained $56,700 in equity over the last year.
You may be able to make a move with that much equity. If you've been debating whether or not to sell because you're concerned about how rising prices may affect your own house hunt, know that your equity can assist you to choose your next move. It could be exactly what you need to cover a big percentage – if not all – of your next purchase's down payment.
3. Mortgage Rates are Still Historically Low, Despite the Fact that they are Rising.
Mortgage rates fell to their lowest point in history in January of last year. Rates are starting to rise today, but that doesn't mean you've lost out on a great deal. Mortgage rates are currently far lower than they have been in recent decades:
- The average mortgage rate in the 2000s was 6.27 percent.
- The average rate in the 1990s was 8.12 percent.
Even if mortgage rates have risen beyond 3%, they are still worthwhile to take advantage of. You simply want to do it as quickly as possible. Rates are expected to rise throughout the year, according to experts, and when they do, it will cost you more to buy your next house.
4. Home prices will continue to rise over time.
Home prices are expected to continue to rise this year, according to industry experts. While experts predict more moderate home price growth than the previous year, it's vital to remember that prices will continue to rise through 2022.
So, what does this imply for you? If you're selling to upgrade or downsize to the home of your dreams, you should act quickly before interest rates and prices rise more. If you're ready, you may get ahead of the game by acquiring your next house before interest rates and prices rise.
With today's cheap mortgage rates and limited inventory, now may be the best time to sell if you're looking to upsize or downsize. Let's connect right now to get you ready to buy a home this year.