To Sell Now or Wait?

If you want to buy up should you do it now? Or wait til prices come down a bit more?

For many existing home owners this is a common question. In most cases selling now while you have equity to produce the funds needed for today's financing - down payment & closing costs- selling now and buying that dream home is my recommendation. We know what comparable properties are selling for and can determine how much of that equity you need for your purchase. We also know that today we have interest rates around 5% or lower.

Waiting til that dream home comes down another $15k, $25k or even $40k may seem like a good reason to wait however what many existing home owners do not realize is that while their dream home adjusts in price so does their existing home.

Many existing home owners are putting themselves at risk of not having the money to make their purchase. As the market adjusts so does they cash funds that are needed to purchase that dream home.

It is imperative that home owners be fully educated about the possible risks if waiting for a slightly better price on that new house.

1. Interest rates of the future are unknown- they can't get better that what we have today.

2. The criteria for a mortgage approval is changing all of the time- today we have stricter guidelines than just a few months ago with higher credit score requirements and tighter debt-to-income ratios.

3. While they wait for anticipated price adjustment on that dream house to hit-their existing house is also adjusting. The money needed to make a purchase is dwindling away every time the market adjusts down.

4. More competition will be in the market place. More seller will be putting their "starter" home on the market increasing the available competition and these sellers will now also be looking for those "good" deals of "buy up" properties. This will limit your ability to negotiate as there will be more and more players all going after the same inventory.

Today we have an abundance of homes available in all price ranges and in all areas.

Taking advantage of the "Right Now" is my suggestion for most consumers who are looking for a place to call home for at least the next 5 years.

Whether you are a 1st buyer, a seller looking to buy up or downsize or looking to exit the home ownership world- ACT TODAY - waiting just might cost you thousands in the end and prevent your dreams from ever coming true.

For More advice Check out Blog.YorkHomeListings.com.