Why Waiting To Sell May Cause You To Lose

Three things that Sellers should consider about today’s market.

We want to talk about three things today: our current seller’s market, the rising interest rates, and our current inventory levels.

You have probably heard about our Seller’s market ad nauseam. I know that I have talked about it a number of times in my video updates as well. The reason why is that NOW is simply the best time to maximize the sales price and equity of your home. We have heard many people say that they are waiting for prices to go down so they can afford their new house, but even if prices do go down, the value of your home will be impacted as well. 

However, these prices are here to stay; and, as crazy as it seems, they are the new normal. Our market will calm down a bit because of rising interest rates, but that doesn’t mean prices will drop. What we already see happening is that the number of days homes are on the market are starting to creep back up and, though we are still seeing multiple offers for some properties, there are fewer buyers bidding on the same home versus just a few months ago. If you want to sell your home for the most money possible, NOW is the time to do it.

As far as the interest rates go, we are already seeing buyers and sellers being impacted by the rising rates. A Buyer client that we are currently helping was recently quoted a 5.1% interest rate after the initial rate hike. This was higher than their initial rate quote and caused them to withdraw their offer that was already verbally accepted due to the increase in monthly payment. Now, we are helping them with a new search at a lower and more competitive price range. The rate increases do not just impact our Buyer clients. They are impacting our Sellers too. If you are waiting to list your home, please know that there will likely be fewer people who can afford to buy your home; you will probably get less activity and experience more days on the market; and cash buyers will feel empowered to make offers below the asking price. On top of all of this, your ability to buy your next house will also be affected by the same higher interest rates. Trust us, we are beginning to see a shift in the market and, though the real estate market does not turn on a dime, we will see your best opportunity to maximize the market diminish.

“If you want to sell your home for the most money possible, now is the time to do it.”

We have also heard many people say that there is nothing to buy, but that is just not true. Think about it, if that was the case, we would have clients living out of their cars. People are buying houses every day, and new listings are coming on the market every day. Admittedly, it is more difficult to find a home to buy when compared to a few years ago; however, we have helped many people with their home purchases over the last two years. The key to buying right now is to be very specific about what you want, where you want it, and to give yourself time to find it. It is our job to help you put an appropriate plan in place to accomplish your goals. We have worked with Buyer clients who we helped purchase a home after seeing only one property and we have had to write offers on multiple properties for other Buyers; however, we have never been unable to get our clients under contract on a home.

One other thing, if you have a home to sell before buying the next one, there are now programs available in the market that will allow homeowners to purchase a home without having to sell their current home first. If you have any questions or are not familiar with any of those programs, give us a call.

We know that not everyone wants or needs to sell their home and buy another one right now. However, for those who are currently waiting, we are sharing this information so that when we do get to meet with you we do not have to tell you that your opportunity for selling is less than if you listed now. Let us help you navigate this market.