It’s the start of a brand new year, and with every new year, most folks have lined up a lot of goals they would want to accomplish for the year.
Some folks list down behavioral changes while others set goals for them to achieve. These lists include anything from buying a new car to going on a vacation to buying a home.
If you’ve been noodling with the idea of buying a new property and selling your home, but you’re not sure if the timing is right, here are a few indicators that you are more than ready to sell.
- You have positive equity on your side.
For most homeowners, one of the main things that will determine if they’re ready to sell is equity. One of the good things about the real estate industry in recent years is that property values are on the rise, which means many homeowners are building positive equity.
Let’s just put it this way. If you sell your home and you end up with enough equity to pay off the rest of your mortgage and pay at least 20% on the down payment for your new home, you’re good to go.
- You’re financially prepared for it.
Besides having positive equity, being financially prepared for something as momentous as this means you also have a good amount of savings set aside. Never rely on your equity alone when deciding to sell your property, as it entails many other expenses such as repairs and moving costs.
- You’ve prepared emotionally for it.
What makes selling your property hard is the emotional ties that you’ve developed living in it for years. This is especially hard if it is the very first home you’ve owned, and this is where you started a family. Selling a house is a big emotional decision that should be approached thoughtfully, so you don’t have any regrets afterward. Allow yourself some time to prepare yourself mentally and emotionally to say goodbye to the place you built lasting memories.
- Your current needs have already outgrown your home.
Let’s say you bought your first home at a young age, and you’re ready to settle down and start a family. A small apartment may not be conducive to raising a family, so this means that selling is more of a need than a luxury.
- You’re prepared to downsize.
On the other hand, if your current lifestyle no longer needs a big house, you might want to consider selling your property and buying something smaller and more suitable for your current needs. Perhaps you’ve gone minimalist or are an older adult whose nest is now empty, now’s a good time to downsize and get a property that’s apt for your season.
- Your location no longer suits your needs and lifestyle.
Similarly, sometimes your location plays a major factor in your decision-making. Maybe you’re at the stage in your life where you’re looking for a quieter and more peaceful neighborhood. You can sell your home in the city and look for one in the suburbs. Whatever the case is, if your current location is no longer relevant for your needs and lifestyle, it might be a sign that you already need to sell.
- The market is good for sellers.
The real estate market, although lucrative, is also quite unpredictable at times. Several factors are considered in coming up with a price range for certain properties in certain zones and neighborhoods. Talk to your agent and find out what the market condition is like in your neighborhood so you can make a well-informed decision.
- Your neighbors made a killing in selling their property.
If you know of someone in your neighborhood who sold his or her house for an outstanding amount, the fair market value for properties in your area is high. It would be wise to get in touch with an agent at this point and ask for their thoughts on the matter.
- Renovations and home improvements no longer add value to your property.
In most cases, home improvements are made to increase the property’s value. However, even after all the home inspections and consultations, if no amount of renovation will significantly increase your property’s value, it might be a good time for you to finally let it go. Just spruce it up and make it as presentable as you can to attract potential buyers.
- You already have real estate agents in mind.
If you’ve ticked off a lot of items on this list and you already have a few real estate agents in mind, this means you’re one step closer to selling. Consult with these agents and ask them for their thoughts and inputs. A good agent will help you set up a sound plan to sell your home and make the transition as seamless and easy for you as possible.
We hope that you find this list helpful as you consider the prospects of selling your property. Always remember, before you make any decision, you need to do your homework so that you can make the most intelligent decision for yourself and your family.