Should You Fix Your House Up or Sell Now?

Can You Sell Your Home Now?

Lower Interest Rates

Low-interest rates imply a lucrative market for the property sellers since buyers will readily acquire mortgages to buy available property. For instance, a buyer may afford a property worth $350,000 at an interest rate of 2.8%, but at a rate of 5%, the same buyer will only afford a property worth $300,000.

Moreover, an influx of prospective buyers in the market often creates bidding wars, eventually when we buy houses Kansas City, the prices will escalate. As a home seller, you can have the assurance of disposing of your property at a favorable cost and a lower interest rate.

You Have Sufficient Cash To Buy a New Home

Are you selling your current home to acquire a new home? Before listing a property in the market, you should be sure the proceeds will be sufficient to acquire your desired property.

Let’s say, for instance, you’re relocating to another state for a job transfer or to start your retirement; it’s a no-brainer that selling your current home would be a better deal if you anticipate a lucrative return.

A Shortage Of Housing Inventory

A lower housing inventory means only a few houses are available in the market for sale. As a result, the demand and prices will go up when we buy houses in Kansas City. For property sellers, a period of low inventory is one of the best moments to sell since the few available houses will also sell faster.

A Significant Increase In Your Home Value

Have you occupied your current home for a long time and accumulated significant home equity? It may be the perfect time to sell the property.

A substantial home equity is a crucial deal breaker in your property sale as it allows you to negotiate for a better return.

You’re Selling a Second-Hand Property

Some buyers prefer buying fixer-upper homes since they have a limited budget that can only support minor cosmetic repairs. If you live in such a home, you may decide it’s time to dispose of it to avoid frequent maintenance.

Moreover, if you’re keen on making some profit, it would help to dispose of the home now instead of waiting for more years when its condition would have deteriorated.

Downsizing Or Upsizing Your Home

Downsizing is usually the best option if you have difficulty managing your current home. Reducing your housing expenses will free up a considerable portion of your budget to support other needs.

Similarly, if you need more living units for your large family or recently got a job, you may wish to upgrade to a bigger house. Either way, in Kansas City we buy houses that match our living standards.

Downsize To a Smaller Property

Downsizing from a multi-unit home to a single-unit condo can reduce your mortgage burden and property taxes, giving you extra cash for other needs. If you’ve built substantial equity on your current home, you can downsize to a smaller unit property and leverage the equity to cater to your daily expenses. Downsizing also helps you pay a smaller monthly mortgage that may be outstanding on your current home.

When Should You Wait?

A favorable seller’s market is every property owner’s dream when disposing of a house. However, despite the market conditions, sometimes it pays off to hit the pause button.

Here are common reasons you may wait for more years:

High-Interest Rates

Rising mortgage interest rates lead to a sudden reduction in home values and market prices. In addition, when we buy houses Kansas City MO, the housing market will only have a small pool of buyers since prospective buyers can’t afford the high-interest rates. 

Although you can sell your property at this time, waiting a little longer may help you maximize your profits.

Your Home Requires Major Renovations

A home in disrepair can be a big turn-off for prospective buyers keen on saving money for future use. So, if your home calls for extensive repairs, you may postpone your selling plans until you renovate.

You Have Little Home Equity

Having substantial home equity gives you high bargaining power when selling the property. In addition, if you have an outstanding mortgage, high home equity enables you to clear the mortgage and sell the property while retaining extra cash for other uses.

For instance, your home equity is worth $400,000, and you have an outstanding mortgage of $200,000; selling the property enables you to clear the mortgage and still retain up to $200,000 from the proceeds.

However, without substantial equity, you may need to wait for some time before you sell the property.

A High Housing Inventory

A high housing inventory means the supply of homes in the property market is more than the available buyers. Therefore, when we buy houses in Kansas City, a high inventory market will imply lower home prices, hence prompting the need to wait for some time.

You’re Upsizing Without Consideration

Upsizing your living standards requires careful evaluation since it has profound cost implications. You’ll require sufficient funds to buy your new home and extra funds to maintain the property in a suitable condition.

For this reason, if you’re upsizing without a crucial reason, you may have to halt your plans until you have sufficient funds to cover the costs.

You Refinanced Your Mortgage

When mortgage rates drop, many homeowners opt to refinance their current mortgages in exchange for lower rates. The downside of refinancing is that a massive chunk of the proceeds goes into clearing the outstanding mortgage if you opt to sell the property.

Therefore, if you recently refinanced your mortgage, it may pay off to withhold selling the property, so you don’t lose much of your proceeds.