Top Questions About Selling Your Home This Winter
There is no disputing that the housing market is changing this season, which may make you wonder if it still makes sense to sell your home. Here are three of the most important queries you might have, along with the information that will help you find the answers, so you can make an informed choice.
1. Should I Put Off Selling?
Even though there are more houses for sale in 2022, overall inventory is still low. It is still a sellers' market as a result. The graph below provides context for the inventory growth. The National Association of Realtors' (NAR) data is used to demonstrate how distant we remain from a buyers' market:
Although the increase in inventory has given buyers some negotiating power back, your window of opportunity to sell has not passed. Since there is less competition for your home, it can still be noticed, especially if you list now while other sellers wait until after the holiday rush and the beginning of the new year.
2. Exist any buyers still?
Remember that not all homeowners will experience a decline in buyer demand as a result of rising mortgage rates if you are considering selling your home but are holding off because of your concerns. The demand for homes has decreased this year, but millennials are still actively looking. According to a Forbes article:
“At about 80 million strong, millennials currently make up the largest share of homebuyers (43%) in the U.S., according to a recent National Association of Realtors (NAR) report. Simply due to their numbers and eagerness to become homeowners, this cohort is quite literally shaping the next frontier of the homebuying process. Once known as the ‘rent generation,’ millennials have proven to be savvy buyers who are quite nimble in their quest to own real estate. In fact, I don’t think it’s a stretch to say they are the key to the overall health and stability of the current housing industry.”
Although the millennial generation has been referred to as the "renter generation," that moniker could no longer be appropriate. The largest generation, millennials, are actually a key factor in today's housing market's buyer desire. If you're wondering whether there are any buyers out there right now, you should know that there are. And they might find all they need in your home.
3. Do I Have the Money to Buy My Next House?
You might have more equity in your current home than you realize, so keep that in mind if the state of the market is making you concerned about how you'll pay for your next move.
Homeowners have built up substantial equity over the previous several years, and this equity can significantly alter the affordability equation, particularly given that mortgage rates are currently higher than they were a year ago. According to Mark Fleming, First American's chief economist:
“. . . homeowners, in aggregate, have historically high levels of home equity. For some of those equity-rich homeowners, that means moving and taking on a higher mortgage rate isn’t a huge deal—especially if they are moving to a more affordable city.”
To sum up
Let's connect if you're considering selling your home this year so you have the professional advice you need to act right away.