Many of us bought homes in the past five years (yes, by us I mean me too) that we had no intention of staying in forever. With a growing family, your house is no longer a “home,” but instead has become a holding station until you can afford your “forever” house. In this market, this five-year home might actually COST you money to sell but your “forever” home is such a great deal now. What to do?
Sell Now! What you have to gain is so much more than what you have to lose. If you are waiting for the market to recover enough for you to make more money you could be losing money in the long run. Let’s say in two years your $200,000 home finally appreciates 15% ($30,000) then, in turn, your $450,000 “forever” home appreciates 15% ($67,500). So, you are waiting to make $30,000 so you can spend $67,500. (Remember taxes, closing costs and rates will go up as well.)
The current low prices combined with today’s low rates are where you will really see the long-term savings. So, if you are looking to sell in the near future … The time is now! For more specifics, my friend and colleague (as well as one of the mortgage good guys) Fred Guitton, Sales Manager for National City Mortgage, breaks down the info in more detail on my website: www.SoldandForSale.com