There are some great advantages to moving right now. If you bought your home in the last 10 years you might want to consider it. The very truth of the matter is that you could gain a great equity by selling and buying right now - even if you stay in the same price range that your home was when you bought.
I have two families working on this very thing. They want very badly to "upsize" their homes in this tremendous buyer's market because the truth is - they could get a lot more for their money with the same house payment.
The only problem is: they are upside down. They bought their homes for sooooo much money, at the height of inflation, that they really can't afford to move. The prices on homes are great right now and it would ideally be the PERFECT time to move on, but they can't.
Owing $10,000-40,000 more on their homes than they could get in the open market puts a riny-i-dink in the whole deal. That is a lot of cash to come up with at time of closing if you don't have it. Without taking a loss they really can't move.
I have been on the phone with lenders counseling on how they can change their situation.
Do they want to take a short with the bank in order to sell? Not really. That puts them at a delay before they can turn around and buy again.
Do they want to find a renter for their current house and then buy? Not necessarily. They would likely need a 20% down payment at that point and would instantly become landlords.
It isn't really possible for them to finance the loss into the new home.
Is there an easy answer? Nope. Not really.
In a situation that you desperately want to change - there seems to be little that one can do. They simply must wait it out and try and pay down their mortgage so they have the equity to move on. In the meantime, I will continue to try and find a better answer that suits the situation better.
If you are looking for professional real estate services I am only a ring away! I am looking forward to working with you.
Lindsey Hasford
Coldwell Banker Vision
231 Main Street - Elk River - MN 55330
763-241-5488 (office) 763-218-1347 (cell)
lindseyhasford@coldwellbankervision.com
http://www.hasfordhomes.com
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Its tuff out there. There are no 2 ways about it! All we as Realtors can do is try. Sometimes; there is nothing we can do but offer support.