Each house serves a different purpose in our lives. Some houses are meant to be our home base for a lifetime, and others are meant only to serve us and keep us cozy for a few years, and that’s okay too. Sometimes life plans change, opportunities take us in different directions than we envisioned, or we simply outgrow the space and crave different scenery. Whatever the case may be, if you’re feeling nudged to sell your home but you’re not sure if it’s the right move yet, keep reading for seven signs that it may be time to pack your bags.
1. The seller’s market is thriving.
If your goal is to make a profit on your current house sale and you’re in the thick of a seller’s market, that’s definitely a green light to put your home on the market. How do you know if the seller’s market is booming? Start by doing some research or talking to a trusted local real estate agent. Signs that the seller’s market is doing well can include an increase in price per square foot of real estate in your area, properties getting snatched up fast, more for sale signs up in your neighborhood, and perhaps the best indication of all, is if your neighbors with homes similar to yours just sold their houses for great prices.
2. You’ve outgrown your home.
One of the biggest signs that it’s time to sell your home is if you just can’t see yourself living in that size of a space for much longer. If you’ve had children or your lifestyle has changed a lot since you bought the house (for example, if you’re now working from home and really need a home office), you’ve likely outgrown the space, and upgrading to a bigger home would surely up your quality of life.
3. You’re ready to downsize.
On the flip side, maybe your home is too big for you now than it was when you first bought it, and you’d like a house that is smaller, more affordable, and more manageable. Downsizing would mean lower mortgage payments and lower homeowner costs in general, meaning you’ll have less financial pressure and more money in your pocket to save or invest in other things.
4. You’re financially stable.
Before taking the plunge to sell your current home and buy a new one, ensure that all your finances are in order first. This is especially important if you’re looking to upgrade to a bigger and more expensive property. Just because you’ve outgrown the space isn’t reason enough to move. You must also be able to afford the upgraded home comfortably. If, for example, you still have some debt to pay off or need to add more money to your emergency fund, take care of those things first so you’ll feel financially secure when you do sell your house.
5. You don’t want to deal with maintenance.
Perhaps you don’t necessarily want to sell your home to buy a new one and instead want to be done with homeownership altogether and go back to renting. That’s cool too. Being a homeowner is a lot of work. Perhaps you and your family no longer want to deal with the responsibilities of maintaining the home, which require time, energy, and money. Or, you can also sell your current home and buy one that requires less maintenance.
6. You’ve built up equity.
Equity is a big thing to take into account when deciding to sell your house. It’s recommended that you live in your house for at least five years before selling it to ensure you’ve built up enough equity. If you sell too soon, you may end up losing money because of all the selling costs. Selling too soon may also worry potential buyers that there is something wrong with the home. So if you’ve hit that five-year mark, that’s another good sign that it’s time to sell.
7. You’re emotionally prepared for the selling process.
Though one of Pardee’s main goals when partnering with our clients to sell homes is to ease any burdens, we’ll be honest: the process of selling your home is no joke. It’s not only a financial process. It’s an emotional journey as well and one that you must feel ready to take on. You’ll have to put in time, energy, and effort helping to prepare the home for house hunters. The negotiation process can also be emotionally taxing. You must also feel ready to declutter your home and leave behind all the memories you and your family made there. Ensure you’re up for the challenge when deciding to sell.
The bottom line
Although we hope these telltale signs that you’re ready to sell your house were helpful, the decision is up to you at the end of the day. As with most things in life, there’s never a guarantee that taking a leap, such as selling your house, will be a good move in the long run.
If you’re not fully ready to let go of your house but you are prepared to buy a new one, renting out your current home is also an option but keep in mind you’ll be taking on the added responsibility that comes with being a landlord.
So take your time making the decision, do your research by studying the local market and speaking with a local real estate agent, and most importantly, use your intuition to guide you when it’s the right time for you to sell.
SOURCE: Halton Pardee