It is a great time to sell a home! Now before you call me crazy hear me out. We have all heard that it is a great time to buy a home because interest rates are low and home prices are down. Plus there is the tax incentive for first time home buyers and move up buyers, but these same reasons are why it is a great time to sell a home.
Think about it this way. In the past you have always admired a certain neighborhood but the price of the homes there were just out of reach. Now the prices of the homes in this neighborhood have come down to a point you can afford. But you say I still have my current home to sell and don't want to take a loss on it.
It's still a great time to sell because even though you may take less for your current home then you would like you are buying your next home at a reduced price as well. You are also getting a home in the community you have always wanted to be in at a price you can afford and probably at a better interest rate then you currently have. Your new home, being in a nicer neighborhood and a better location will appreciate at a faster pace than your current home and will give you a better return on investment in the future. Your net worth will grow faster plus as a move up buyer you may qualify for up to $6500 from the tax incentive programs.
As always talk to your financial advisor to see if you could benefit from this idea. I'll bet you will and that is why I say it is a great time to sell a home.