By, Lisa Roberts
Selling a home is one of the most challenging decisions and tasks people face in life. There are so many factors to consider and so many risks to think about. Seems like it's impossible to know if it's time to sell your home and move on.
However, that is not the case - there are different signs you should look for that will lead you in the right direction, and we have listed them for you in this article.
Is your financial status good?
If you are considering selling your home, you will probably be buying another one at the same time. Regardless if you are upsizing or downsizing, you have to be in a great financial position to make this move.
There are many costs involved when selling a home. You need to consider potential repairs, moving costs, and the difference between the mortgages (if you are moving to a more expensive home, of course). Therefore, if you are planning on making this move, you should thoroughly analyze your finances.
Caption: If you have enough savings set aside and you’re debt free, it might be a good time to consider selling.
Alt: A piggy bank full of savings is a sign it’s time to sell your home.
Financial signs you are ready to sell your home:
- your financials are rock solid
- you are debt-free
- you've built up positive equity
- you have money in your savings account
Have you built positive equity?
You can determine your equity easily. Basically, it is a difference between the current market value of your home and the remaining balance on your mortgage. Therefore, it can be either positive or negative.
The expert moving team from mod-movers.com claims that equity is the most important financial factor when selling a property. If you have built up positive equity, it's definitely a good time to sell your home.
Positive equity puts you in a great position to sell your home and relocate to a new one. In the best case scenario, the amount you have left after selling would be enough to cover your selling expenses, new place deposit, and moving costs.
If you decide to sell with negative equity, you might get yourself in a worse situation. You might need to settle for a much cheaper home and be left in a worse financial place.
Is your house too big or too small for you?
Take a look around your home and assess if the size of your home still suits your needs. Is there a lot of unused space, or does it feel cramped and cluttered? Are too many family members sharing rooms, or are the rooms that are not being used?
If your home is too big or too small for you, you should consider selling it and buying a new place.
Did you experience a change in lifestyle?
If you experienced a significant life change and your circumstances have altered, think about if your living space needs to be replaced, too. For example, if you retired, you might want to consider moving to a smaller home.
If you plan on or already have kids, you might want to consider moving to a bigger home. On the other hand, if your kids moved out and have their own places, downsizing could be a good choice for you; just make sure to avoid common downsizing mistakes during the process.
Caption: If you are expanding your family, it's definitely time to move to a bigger home.
Alt: A mom with five kids sitting on a sofa.
Another thing you should consider is if your current location suits your new lifestyle needs. Let's say you found a job in another town. Even if it's relatively close to yours, it doesn't make sense long-term to drive there every day.
In that case, you might want to consider selling your home and relocating to be closer to work. Although moving can be stressful and emotional, you can hire a reliable long-distance moving company. They would do most of the work in order to make the transfer to a new hometown as easy as possible.
Are you tired of constant repair and maintenance?
Do you feel that your home is taking too much of your time and energy? Maybe you've simply reached a point when you would rather watch TV or go to a restaurant than clean and fix up your home. Therefore, if it seems like you are spending most of your time freshening up your yard, tidying up, and repairing, you might want to move to a place that doesn't require so much constant work.
Are the market conditions on your side?
Before deciding to sell and move to a different home, it's crucial to analyze the market. Consult a real estate professional as they can provide information and tell you if the market is favoring sellers or buyers at the moment.
Depending on your plan, both buyer's and seller's markets can work to your advantage. For example, if you plan on selling your home and moving to a bigger one, the buyer's market is more favorable. Why? Because you can end up buying a larger and better home for less money. In a seller's market, you would need a bigger deposit, and you might not be happy with the selection of homes you can afford.
On the other hand, if you are downsizing, the seller's market is better for you. That way, you could earn a lot of money which you can invest in anything you want.
Are your neighbors suddenly selling and moving?
If you notice that your neighbors recently started selling their homes, it could be that the prices have gone up and that you can potentially earn a lot of money.
To get more information, talk to the real estate experts to advise you about the prices of homes around you. You should also get an estimate on how much your home is worth. If it turns out that the prices have grown massively and your neighborhood has become popular, it might be a perfect time to sell your home. You wouldn't want to miss an opportunity like this.
Are most of your answers YES?
If your answers to most of these questions are yes, take it as a clear sign that it's time to sell your home. If the answer is no, maybe you should wait for a more favorable situation and sell later. You should wait until you are sure, as you don't want to regret making a rash decision. Good luck with selling your home!