It’s no secret that the real estate market is going a mile a minute right now. Homes are still selling fast and way over the asking price. Of course, this sounds like an ideal time for someone to sell and take advantage of this market, right? But, where will you move to?
If you rush to sell to take advantage of the red hot seller’s market, you may find yourself in a pickle — overpaying for a home or without a place to call your own! Keep reading to learn the reasons you may want to wait until the market cools to sell your home.
Pros and Cons of Selling Right Now
Pro: You’ll Likely Get at Least a Full Price Offer
Over half of the homes on the market today are selling for above asking price. This means you can almost guarantee you’ll get at least a full-price offer, and the odds are likely that you’ll get above the asking price. Of course, this is every homeowner’s dream! In this market, you can ensure that all of the TLC you’ve put into your home over the years will pay off big time.
Con: Where Will You Go?
Competition is stiffer than ever out there right now. So, you’ve got an above-asking price officer, you’ve accepted it, and you’ve got to be out of your home in one month. Where will you go? Do you have the capital to make an all-cash offer to get your offer accepted? Are the buyers willing to do a lease-back while finding your next home? Do you want to pack up all of your belongings and rent until you can find a new home? These are all things you must weigh heavily before making an impulse decision to sell.
Pro: Your House Will Likely Sell Fast
The average home sells in just 61 days — but much faster than that in some markets. This means you likely won’t have to sit around waiting and worrying about whether or not your home will sell. It may sell in a few hours, days, or weeks, which is a huge advantage compared to days past when homes would sit and sit on the market, and sellers would eventually have to lower the price.
Con: You’ll Likely Pay More
So, you’ve sold your home, you’ve got a nice chunk of change in your pocket, and you’re ready to find a new house. Are you willing and prepared to pay more? To win bidding wars in competitive markets, you’re going to have to pay above asking price — sometimes by hundreds of thousands of dollars! Many buyers are winning bidding wars by making all-cash offers. The cost of that is an important consideration that could outweigh the extra money you could make right now listing your home.
Final Thoughts: Should I Sell my Home?
Selling and buying a home is a stressful experience in itself. This market is just making the process all the more stressful. Our expert advice is, don’t take on this undue stress for you and your family if you don’t have to. What goes up must come down. Although it’s very unlikely the market will crash, as interest rates rise, the market will likely settle. If things have calmed down in a few months and you still feel eager to move, you can consider it then. Good things take time, so don’t rush or make impulse decisions just because you feel like you have to sell your home.