When is the Right Time to Sell Your House?
Timing can be important when selling your house. Many home sellers try to time it “just right” so that they can get the fastest sale with the highest selling price. In reality, timing it perfectly is almost impossible. You never know exactly when the market will shift because of factors like housing inventory, mortgage rates and home buyer demand.
Are You Holding Out?
When the market is hot, some home sellers will hold out for as long as they can. The goal is to wait until the market is at its peak before selling. The problem with this plan is you never know exactly when the market is peaking until the apex is behind you. Then, you find yourself in an awkward situation. Do you hold out longer and hope for the next hot market, or do you sell now before demand and values dip even further?
The real truth is there is rarely ever a “perfect” time to sell your house. The key to making your own personal home selling decision will depend on many factors. Do you want to sell or do you need to sell soon because of financial distress (pre-foreclosure, tax default, etc.) or other reasons (divorce, job relocation, unwanted property, etc.)? Are you planning to buy a new home or will you be renting somewhere until it’s time to buy again?
There are many other questions to ask and reasons to consider, but let’s focus on the two questions above because they may have the biggest impact on the timing and urgency of your home sale.
Want vs. Need
You can read our full article entitled “Do You Want or Need to Sell Your House?” for more information on this topic, but there is a big difference here. If you WANT to sell your house and have time to get the most out of the sale, then there will be less urgency. You might be able to wait until the market is doing well and home values are high. You can invest time and money to fix up your home and prepare it for a sale. You can also hire a Realtor® to provide expert guidance and marketing resources. These are all good steps to take if you want to have a smoother transaction with the highest possible resale price.
If you NEED to sell your house because of financial distress or another reason that calls for an expedited home sale, then your timing will be limited. You are likely dealing with significant urgency to sell. You may not have the time or money to fix up the house, hire a real estate agent and take several months to go through the traditional home selling process. In these cases, you may be looking at selling as soon as you can. You may also be needing to sell the property in as-is condition.
Your best bet here is to work with a real estate investor who will pay cash for your house or work out another creative financing solution with you. A cash transaction can be closed very quickly and investors are usually content to buy properties in any shape if they think the investment potential is there. A cash sale is a simple and effective solution. You won’t get top dollar, but you will get out from under a bad situation and you can move on with your life sooner.
Are You Planning to Buy a New Home?
Whether or not you are planning to buy a new house may also affect your timing as a home seller. Remember if you sell at the peak of the market when prices and buyer demand are at their highest, you will also soon be a buyer yourself facing higher prices and more buyer competition. You may actually have more buying power when the market is down a little. Or, you may choose to rent for a brief time until you find the right deal on a new property. You have to think about if you are planning to shop and sell at the same time, as well as what kind of gaps or overlaps there might be between the two transactions. Navigating this process can be tricky, so it helps to have a plan and professional support from an experienced real estate agent.
If you are looking to sell your house soon or in the near future, it’s never too early to start researching your home selling options and figuring out your best timing. PropertyLark is here to help. We can get you a fair cash offer on your house if you want to sell quickly, we can help with a traditional real estate sale or we can help you explore other financing or selling solutions. We’ll help you make the best home selling decisions. Contact us today to get started.