Should you sell now or wait for your house to regain value?

You own a home and want to sell. But you’re wondering whether you should sell now or wait for your house to regain the value it lost during the Great Real Estate Crash of 2007.

Unless you intend to ‘cash out’ and retire to a rental for good, now is as good a time to sell as another.

On the other hand, if you plan to buy another house, you have nothing to ‘lose’.

If you sell at today’s prices, you will also buy at today’s prices.

If you trade one house for another house, the new house will catch the wave of future appreciation.

If you wait for your house to regain its former value, the house you’ll buy will have gone up just as much.

The only way to ‘beat the market’ is to sell a house in an area where prices held up and buy a house in another area where the market values were hit much harder.

One more thing …

Right now, interest rates are the lowest in decades. Once the economy improves, they’re predicted to rise from 4% to 7% or more. Therefore, any gain in home value will be traded for a more expensive mortgage.

 

It’s Judy … your Chicago North Shore Realtor®.

* * * * * *

When you’re ready to buy or sell, don't leave the choice of your real estate agent up to chance. Make sure you partner with a Chicagoland neighborhood expert who can get the job done to your satisfaction.

We’re connected with a network of top real estate agents throughout the Chicago Metro area as well as nationwide. We do the research so you can ‘move on’ with your life.

Our services are absolutely FREE and come with no obligations on your part.

Reach out to us at 847.859.9197 ... then ‘move’ confidently forward.

 

55 Comments on Should you sell now or wait for your house to regain value?

20 Most Recent Comments Displayed Show All

APR
08
2012
644,631 Points 111 Featured Posts Outside Blog Called Shot Master

The obvious answer for us is to move now and that's the advice that we give based on slow recovery and in some cases values will never recover (at least to the post of catching up to a mortgage balance).
2:49pm • #36
325,417 Points 40 Featured Posts Attended Rain Camp Called Shot Master

Charita - In some cases, it could take the life of the mortgage to 'catch up'.
3:01pm • #37
510,888 Points 1 Featured Post Outside Blog Attended Rain Camp Called Shot Master

All excellent points. Around here, inventory of homes for sale are at an all time low and buyers are having a hard time finding the home they want and I think it's because people are waiting for values to rise before putting their homes on the market. Problem is, values aren't going to rise without more homes on the market. It's sort of a catch 22. We need to get this market moving!

Gretchen
3:39pm • #38
325,417 Points 40 Featured Posts Attended Rain Camp Called Shot Master

Gretchen - Usually having low inventory is a good thing. But this market doesn't follow any of the rules we're used to!
3:51pm • #39
1,125,896 Points 90 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

I wish we had a crystal ball. But we don't. So rather than risk the market falling even more, and interest rates rising, let's sell now.
4:24pm • #40
325,417 Points 40 Featured Posts Attended Rain Camp Called Shot Master

Erica - My crystal ball went cloudy!
4:31pm • #41

I agree Judy, selling now makes perfect sense. Especially, if the Seller is going to purchase in today's market with the great rates and prices.
4:33pm • #42
478,658 Points 15 Featured Posts Localism Sponsor Outside Blog Attended Rain Camp Called Shot Master

Judy -- This is precisely what I tell sellers. Even if sellers make up their 'loss' on the selling end, they make it up buying.  Today's market is today's market -- what happened 5 years ago is long gone.  I do find more and more sellers are finally facing reality.   I intend to reblog.
6:40pm • #44
504,847 Points 26 Featured Posts Outside Blog Called Shot Master

Sell now if you're going to purchase a "move up" property. That way the more expensive home gains more value!
6:41pm • #45
152,633 Points

Everybody has their own unique circumstances, so there's never one size that fits all.

Considering all the recent buyer activity, I think things are certainly improving.
9:42pm • #46
466,370 Points 50 Featured Posts Called Shot Master

If sellers have a need to sell, or if it would be better financially for them to sell, then sell. I don't think waiting is any better to save money. You can't beat the market. It just is.
10:13pm • #47
1,352,282 Points 42 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Judy - I think you've laid the facts out clearly as to why it would make sense to sell if they're considering waiting for prices to go up.
11:35pm • #48
APR
09
2012
435,231 Points 18 Featured Posts Outside Blog Called Shot Master

Your right, if your going to buy another home, now is the time!
3:33am • #49
545,171 Points 120 Featured Posts Called Shot Master
Judy. Your post is an excellent explanation on why selling now is just as good as selling later. Congrats on the FEATURE.
3:40am • #50
715,635 Points 69 Featured Posts Localism Sponsor Outside Blog Called Shot Master

Judy, I've known people who have been planning to sell their home and downsize since 2004.  First they didn't want to lose money as the market was rising.  "I'll put it on the market next Spring."  Then they didn't want to list the home as prices were declining. "I'll wait until the prices come back up again."  In the meantime, they have been paying $20,000 a year in taxes (it's an expensive home).  So just in property taxes alone, they've put another $160,000 into home waiting not to mention the costs of heating and cooling a larger home and the higher cost of repairs in a larger home.
5:40am • #51
325,417 Points 40 Featured Posts Attended Rain Camp Called Shot Master

Gail - I hear ya!
10:35am • #52
392,634 Points 12 Featured Posts Localism Sponsor Hit Router Called Shot Master

We also have low inventory this year.  My fear is that when the market recovers, we will fall back into a "buyer's market" due to all the sellers coming on the market at the same time, trying to regain equity.  Best to move forward now and buy.
10:47am • #53
325,417 Points 40 Featured Posts Attended Rain Camp Called Shot Master

Kathryn - Not to mention shadow foreclosure inventory.
11:19am • #54
981,936 Points 114 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

We just never know about the market conditions and if interest rates take a hike then the prices won't actually regain that quickly.  But your point about selling now and then being able to buy now with the interest rates as they are and with the current home pricing is a good, valid point!
12:24pm • #55
JUN
24
302,050 Points

it is always great to buy or sell. When you sell low you buy low and visa versa.
5:32pm • #56

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Judy Chapman

Chicago, IL

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Referral Network of Illinois LLC

Address: 4709 Golf Road, Suite 1100, Skokie, IL, 60076

Office Phone: (847) 859-9197

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DISCLAIMER STATEMENT: All data and statistics provided on this blog is for informational and educational purposes. The blogger strives to present verifiable facts, statements, and statistics, but cannot guarantee accuracy.

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