Selling a home isn’t always an easy feat. There are outside conditions every homeowner must consider.
Your neighborhood, the condition of your home, and even the time of year are all factors in how successfully and quickly you can sell your home.
If you’ve been toying with the idea of selling your home in Jacksonville, Florida, now is the time to do it. We have four reasons why you should sell now.
1. The Inventory is Low
Right now is a great time to put your house on the market because there’s not much inventory available. Which means, buyers don’t have much to choose from.
The real estate marketplace is controlled by supply and demand. Inventory is low for both new and existing homes.
When there’s a low supply, it tends to create an upward pressure on prices.
For homebuyers, the past few years have proven to be frustrating due to low inventory in most major markets. As a result, homebuyers are shopping for homes earlier in the year in an effort to beat out their competition.
In colder climates, the best time to sell a home is between March and June. The housing industry in warmer climates isn’t as restricted by the weather.
While the past few years have been great for sellers who have sold their homes at asking price or above, it won’t last. It’s best to sell now to avoid competing with new construction homes that are currently being built.
2. Mortgage and Interest Rates are Low
Sell now before mortgage and interest rates begin to rise again. Right now, both of them are low.
But possible buyers are concerned they’ll lose buying power if they wait too long. As someone selling your home, it’s important to realize that the more purchasing power a buyer has due to low mortgage rates, the more money you’ll get for your home.
Also, if your plan is to sell your home now and then immediately buy a new home, you’ll benefit from the low-interest rate advantage.
While the rates aren’t expected to skyrocket anytime soon, it will go up. According to the Mortgage Bankers Association, the 30-year fixed-rate mortgage will rise to 4.6% this year. By 2020, they expect rates to rise to 5.3%.
While the increasing interest rates are a good sign for the economy, you might want to sell now while the bidding wars are still happening.
3. Holding Costs Get Expensive
If you’re no longer living in your home, it’s time to sell now. Every day you don’t sell your home costs you.
If you’ve been considering waiting a year so you can enjoy the 1% to 2% increase in the selling price, that’s a risk you may not want to take. Especially if your costs exceed that increased amount.
If a real estate property tax increase happens, you’re stuck with the extra holding costs. You also have to consider the price of air conditioning, heating, plumbing, and any electrical problems that may arise while you’re holding onto the property.
If you’re still on the fence and not ready to sell now, take into consideration any normal repair and maintenance costs as well as any unknown bumps in price if you’re planning on waiting for a year or longer.
If You’re Considering Renovations
Some people are planning on renovating and updating their home rather than selling it this year. However, sellers should be aware that it’s unlikely their renovations will give them a 100% return when they go to sell.
And in this market buyers can be picky. They’re expecting an effort from the seller to prepare the property for sale.
A buyer might be willing to overlook a dated kitchen, but they aren’t willing to overlook clutter, lack of curb appeal or any untended to maintenance issues.
If you do decide to sell now, take the process seriously and prepare your home for sale. Doing so will increase the number of interested buyers.
Taking a few steps to improve your home and land will also increase the amount of money offered by a buyer or investor.
4. Sell Now to Enjoy Cheaper Property Taxes
Thanks to the Tax Cuts and Jobs Act signed at the end of 2017, there are some significant home-related tax policy changes coming up this year. You can now only deduct up to $750,000 of your mortgage interest rate.
Property taxes are only deductible up to $10,000.
While the limits won’t affect everyone, those who live in counties and cities with high property taxes will feel the hit financially when they file their taxes in 2019.
If you’re one of them, it might be best to sell now and live in a place where property taxes are lower.
Coastal states are expected to be most impacted by this tax reform. And those who live in areas where the school districts are ranked high will also be affected.
While those homeowners will school-age children may want to stay, there’s likely to be an exodus of people who no longer have any need to live in a certain district anymore.
Use the Right Real Estate Company
If you do decide to sell now, be smart and hire a real estate company to help you.
We’ll come over and do an assessment on your house. We’ll also let you know what the other homes in your area are selling for, an estimate on any repairs, and we’ll let you know exactly how much money you’ll walk away with at the end of the sale.
We also back up our deals by making you an all-cash offer. It’s a guaranteed offer that’s backed by a non-refundable money deposit.
No matter why you’re choosing to sell, the price range, or what the condition of your home is, we can help.
Don’t wait until it’s too late. Take advantage of the seller’s market and low mortgage rates now.
To learn how we can help you sell your home, contact us here.