It's time to ask yourself this question
September 2017 - I personally believe the “shift” is among us. Many do not know when a shift happens till we are in full swing,
In 2008 the market crashed - home prices hit rock bottom, however there were clues this was coming. I remember showing my first bank owned a year prior. Nobody knew how to deal with them, not even the bank who held it. It was new to many. Yes bank owned (AKA REO - Real Estate Owned) has always been around, but they were popping up slowly, and only a very active agent in the business would notice this shift.
Fast forward, 2012 our market here in Grand Rapids, Michigan started to shift again, it was then I started noticing the inventory becoming less and less, as on my face book “my memories” or what they call “on this day” I have started to plead for more inventory.
Fast forward again, 2015 is when we became dangerous low inventory - and it continued. Making home prices rise at an unbelievable speed!
You see our market has clues if we choose to watch and listen, so if I am correct and the shift is happening again what does this mean?
How will this affect you if you have a home to sell and want to purchase another.
As you need to ask yourself what is more important the sales price of your home or buying low. As when the market shifts, interest rates will rise, as they need to at some point, and let me remind you of the high interest rates of the 90’s.
As the home prices drop - the value of the home you want to sell will drop as well, it will affect your sales price as well.
In my opinion, the best time to sell and buy is at the start of the shift, as right now you still can demand a really good price on your listing. If your home is staged well, repairs done and priced right you will have a great shot at an awesome sales price.
I am seeing less and less multi offers on homes and more price reductions. On the flip side you may be able to find that great deal, with a little sweat equity involved and have a great investment.
You do the math - but this Realtors opinion: More important to sell high then it is to buy low - as it would have to be really low for it to make a big difference in your loan payment and that may be offset by the higher interest rates that are they are threatening.