Even in a Strong Market You May be Better Off Selling Your Home Next Year
In a hot real estate market like the one we’re in now, conventional wisdom might say it’s time to sell your home.
So, should you listen to conventional wisdom (or your friend who got an offer on his house the day he listed it) and sell now?
But before you decide, here are a few things you should know.
1. The booming market isn’t going to last forever—but it isn’t going to end tomorrow either.
Right now, the growth in the housing market is driven by one simple concept: supply and demand.
There are more people looking to buy homes than there are homes to buy. Builders and developers are responding to the increased demand by building more homes, but it will take a while for inventory to catch up. That means that if you’re selling your home because you want to capitalize on a hot market before it ends, you can rest easy.
Demand for homes will be high for a while.
The good times won’t last forever, but they will last long enough for you to make a thoughtful decision about your home, your lifestyle, and where you would like to live, rather than making a kneejerk reaction to high home prices.
2. Even during a hot market, time of the year matters.
Even during a hot market, there are optimal times of the year to sell your home.
Late summer and early fall is not one of those times.
Ideally you want to put your home on the market earlier in the year, for a variety of reasons—one of the big ones being potential buyers who have school-age children will likely not want to disrupt their school routine or transfer to another district. Buyers with children are far more likely to buy earlier in the year, and then use the summer break to move and get settled.
Obviously, a lot of people without children are in the market for a home. However, if your pool of potential buyers is smaller, your ultimate sale price will likely be smaller. There will be a bigger pool of buyers—even in a hot market like the one we’re currently in—earlier in the year.
That means you may want to wait a bit before selling.
3. You don’t need to sell your home to turn it into a wealth generator.
Like the sales market, the rental market is also tight. The shortage of homes has also left fewer rental options. In fact, right now rental income in the United States is at a historical high. If you’re a homeowner looking to move, renting your home may be a great strategy. Leasing your home for a year and letting your renter pay down the mortgage means you come out even further ahead once you do decide to sell.
Of course, generating rental income from your home isn’t as simple as just finding a tenant and then sitting back while the cash rolls in. Ask anyone who’s ever personally managed a rental property: it’s hard work.
Turning your home into a rental-income generator while still preserving the value of the home, your free time, and your sanity means hiring a professional property manager.
At Worth Clark Realty, we specialize in property management services that are designed to fit the needs of the homeowner. From tenant screening to resolving maintenance issues—and everything in between—we provide customized property management solutions for homeowners who’ve made the transition to being a landlord. And once you’re ready to sell your home, our team will be there working with you to get the best possible price.
Now may be a great time to sell your home. But waiting and renting your home may create an even better time to sell.
Either way, give us a call.
Our team will help you get the most value from your home, regardless of whether you sell now—or later.
President & CEO
Worth Clark Realty