Still on the fence about whether to sell your home now? Homes are selling quickly at premium prices. Knowing what to expect will help you decide if this is the right time capitalize on your sale during this seller’s market.
According to a new Harris Poll of 2,127 homeowners, about 1 in 6 plan on selling their home in the next 18 months, easing the limited offerings for buyers now competing for homes.
The poll indicated many homeowners were motivated to sell their homes because of the current market. About 45% said the higher asking prices and tight inventory prompted them to sell earlier than they had planned.
If you are one of those homeowners hoping to cash in on the strong seller’s market, here are five reasons you might want to seriously consider joining this trend and put your home on the market now.
1. Home prices are up
In the current market, home prices are high. Your home may sell for your asking price or higher in a very short time. Some sellers have received multiple offers within the first couple of days, which is great news for you!
2. You may be able to skip presale home improvements
Sellers may save some money and avoid doing some home repairs or upgrades. In the past, part of preparing your home for sale often meant doing such projects ahead of listing. But the present market has home buyers jumping on listings that come close to meeting their wish list, another win for those looking to sell.
Unless an owner is flipping a home for investment purposes, most planning to sell in the next 18 months will spend little on upgrades or renovation projects prior to listing their home.
3. You can cater to buyers changing needs
With many homeowners still working from home due to the pandemic, they are reconsidering their current space. During the stay-at-home months, they found a need for a well-equipped home office, more indoor learning and play space for the kids, and even a place to get away from children or work. Ask us if you should stage that nook area or too-small bedroom into a home office space, or create a private sanctuary off the master bedroom. We would be happy to look at your space with you to see how you might repurpose a space to fit these needs.
4. Property is moving very quickly
There’s little doubt of the outcome should you decide to list your home in this market. Barring any significant defaults or dramatic overpricing, you’ll sell your home. It will happen quickly, and you might receive multiple offers.
According to the most recent data from the National Association of Realtors, existing homes are only on the market an average of 20 days, meaning listed and under contract in less than three weeks! Single-family homes are in high demand, which means you’ll sell your home quickly and for a higher price than in other conditions. More good news for sellers, but it also means you should be prepared to sell once you put the “For Sale” sign in your yard. Having your next home already lined up would be great, however, that may be difficult.
5. Low interest rates will help you finance a replacement home
With the decision to sell and find a new home, you will be on the other side of the seller’s market, making finding your perfect home challenging. You can expect to pay top dollar for it. The very things that make it a good time to sell make it a tough time to buy a house.
However, increasing your budget for your next home could be an idea. With historically low interest rates expected to continue through 2021, a mortgage loan payment on a more expensive home now is equal to a lower priced home purchased at a higher interest rate.