10 Signs That You Should Sell Your Home Soon
February 07th, 2024
Signs It May Be Time to Sell Your House
Is it time to sell your home? Whether you have outgrown your home or need a lifestyle change, here are ten signs that you should sell your home soon!
Selling your home is a big decision and not one to take lightly. Since your home is your most valuable asset, making an educated and informed decision before putting your house on the market is essential.
If you feel like it is time to move, it is important to consider not only market conditions but also your financial situation and housing needs. While there may not be a perfect time to sell your home, there are a few signs to look for that could tell you it is time to consider moving.
No matter where most people are moving or your personal situation, here are a few signs to look for that will tell you if you should sell your home soon.
Chapters
1. Your Equity is Back
Home equity is the value of a homeowner's financial interest in a home or, in simpler terms, the difference between how much your home is worth and the amount you owe on your mortgage. The best ways to build equity in your home are to make a big downpayment, make every mortgage payment on time, wait for your home value to rise, and increase property value by adding improvements to your home.
Most of the time, as long as a homeowner has a good credit score, a sizeable equity can be built in a home between five and ten years. While challenges may arise that may decrease the equity in a home, it is good to know what to expect when first buying a home.
Knowing how much equity you have in your home is the first step if you are considering selling your home. If your home equity is less than what you still owe on the home, then it is not a good time to sell. If the equity you have on your home exceeds your mortgage, then you can start thinking about selling.
The best way to calculate home equity is to subtract the value of your home from the loan balance. The more a homeowner pays down the principal of their mortgage over time, the more equity the home will gain.
2. The Market is Good For Sellers
It goes without saying that you want to sell your home when the market is good. If there is a seller's market, homes generally sell faster for a higher price since the housing demand exceeds supply.
So when is the best time to sell your home? Traditionally, Spring and Summer are the best times of the year to sell a home since buyers have more time to dedicate to the home search, and the weather is nicer for home showings. If you decide to sell in the summer, make sure to prepare your house by decluttering and highlighting the outdoor living space.
With low mortgage rates and inventory, sellers will have good luck once their home goes up for sale. If you are considering selling your home, paying attention to the market is essential to ensure you will make a sale.
3. You Have Outgrown Your Home
There is such a thing as outgrowing your home, especially if you have a growing family. What might have been a good size when you first bought it might no longer be the case if you expand your family or now have older kids. As your life changes, so will your needs regarding owning a home.
Whether expecting a new child or caring for an older family member, consider selling your home and buying a bigger one that can accommodate this new chapter in your life. One of the top reasons that homeowners want to sell their home is because they have outgrown it and need something new.
4. You Need to Downsize
On the other hand, you might need to downsize your home instead. Offering many benefits, including reduced mortgage payments to save money and less maintenance and cleaning, downsizing is a simple solution for empty nesters, adults entering retirement, and homeowners looking to live stress-free lives.
Though downsizing will lead to less space for hobbies or other activities, the benefits outweigh any negatives, especially if you want to sell your home. Even though less than one-third of people who want to downsize actually go through with it, most people in their 50s and 60s consider downsizing.
5. The Neighborhood Has Changed
If you have lived somewhere for a long time, it is to be expected that the neighborhood will change. Since being friends with your neighbors has many benefits, it can be sad as neighbors move in and out. If a neighborhood changes in a way that displeases a homeowner, this may be a good enough reason to sell one's home.
If a neighborhood grows and changes so much that it affects your quality of life, then selling might be necessary. Whether there are rising crime rates, increased traffic congestion, unwanted construction, or an unwelcoming HOA, it is natural to want to move out and find another neighborhood that will best suit your needs and lifestyle.
6. You Want a Lifestyle Change
Selling your home and moving to a new area might be the thing to do if you are looking for ways to improve your life. Though a significant life change is not always easy, it might be the answer if you are unhappy with your current situation. Not only will relocating change your perspective, but you will meet new people while also discovering new parts of yourself.
Whether you want to move closer to family, are planning retirement, are unhappy with your neighborhood, need a new job, or want to move from a busy city to a small suburban town, there are many reasons for a lifestyle change that could lead to selling your home.
Most of the time, if you are moving for a lifestyle change, then it is most likely for a desire to live in a new area. Many reasons could fuel this need for a lifestyle change, including space or pricing. Nowadays, more people are deciding to sell their big homes in the city for a quiet life in the suburbs.
7. You Have a Real Estate Agent
Having a trusted and knowledgeable real estate agent can lead to selling your home quickly and for more money, which can make a big difference, especially in a seller's market with high interest rates. Home sellers are not legally required to use a real estate agent, Broker, or Realtor, but working with one will be worth it in the long run.
Even though some home sellers choose to sell their home themselves through a For-Sale-By-Owner (FSBO) transaction to avoid paying real estate agent fees, choosing to sell through FSBO can cost you more in the long run. Major costs associated with an FSBO transaction include buyers' agent commissions and attorney fees.
Working with a real estate agent to sell your home has multiple buyer benefits. Not only will a good agent help a seller determine the best list price, but they will also know about disclosures, have access to the Multiple Listing Service (MLS), can stage a home for sale, and will host open houses and private showings.
8. You Need the Money
Money is a great motivator for someone wanting to sell their home. If selling your home can improve your financial situation, it is a good option, especially if you want to downsize or buy in a more affordable area. It is not uncommon for people to use their home equity to pay off any credit card or student loan debt when selling a home.
On the other hand, if selling will hurt your financial situation, then it might not be the best idea at the time. Remember that if you want to sell your home for more money, you need to find a trusted and experienced real estate agent, invest in improvements, pay attention to curb appeal, set the right asking price, and take professional real estate photos.
9. Your House is in Good Condition
If you have good equity and your house is in good condition, it can be an ideal time to sell your home. You will likely have many interested buyers if your home does not need additional repairs or updates. If your home is in good condition, you will likely be able to sell it at or below fair market value.
The best ways to know if your home is in good condition is if it is a newer house, the energy bills and electricity bills are consistent, the pipes are quiet, the appliances are in good condition, and the roof is in good shape. Even though older homes have character, they sometimes also tend to need more work, which may lead to you needing to make repairs before deciding to sell your home.
10. Need a New Location
Sometimes, living in one place for a long time can get boring. Even though change can be scary, it is also a good thing and is a great reason to want to consider selling your home.
While needing a change of scenery can be a good enough reason to put your home up for sale, other reasons to need a location change can include wanting to move closer to family or relocating for a new job.
Whether you are moving to a new neighborhood, another state, or cross country, needing a new location is one of the top signs that you should sell your home soon.
Methodology
We used information from multiple sources to help determine the ten signs that you should sell your home soon. Most information was found on Investopedia, Money.com, CBS News, and IFA Magazine. We researched the top reasons why people decide to move and included the most relevant data.
FAQs
What are the hardest months to sell a house?
The hardest month to sell a home is January since it is right after the holidays, most people have less free time, and the weather is not as ideal as in the spring and summer months.
What month do houses sell the most?
Spring is the best time to sell a home since most homes sell for the highest price during April, May, and June. Sellers in May also tend to receive the biggest return.
At what point do most house sales fall through?
A pending sale might fall through on a home if the inspection fails, the buyer's mortgage financing falls through, there are issues with the title, or the appraisal is lower than the sales price.
Signs That You Should Sell Your Home Soon - Final Thoughts
There are many signs that you need to look out for that may signal it is time to consider selling your home and moving to a new location. Whether you are starting a family and need more room, are looking to downsize, need a way to make money, or simply need a location change, selling your home might solve multiple problems. Making sure you know the cost of living for all locations is also essential.
If you and your family are ready to sell your home, contact the experts at Raleigh Realty. We are here to answer any questions and are ready to help you find your dream home.
Ryan Fitzgerald
Hi there! Nice to 'meet' you and thanks for visiting our Raleigh Real Estate Blog! My name is Ryan Fitzgerald, and I'm a REALTOR® in Raleigh-Durham, NC, the owner of Raleigh Realty. I work alongside some of the best Realtors in Raleigh. You can find more of my real estate content on Forbes, Wall Street Journal, U.S. News and more. Realtor Magazine named me a top 30 under 30 Realtor in the country (it was a long time ago haha). Any way, that's enough about me. I'd love to learn more about you if you'd like to connect with me on Facebook and Instagram or connect with our team at Raleigh Realty. Looking forward to connecting!
Related Blogs
