Determining the right time to sell can help you maximize the sale price of your home while also taking some stress out of the process. Here are some factors to help you decide when is an appropriate time – both financially and emotionally — to sell your house.
Time of the Year
Most people consider spring to be the ideal time of the year to sell your house, but that might not be true for you. The best answer really depends on the location of your home. A tool called Zillow Owner Dashboard is the fastest way to learn which month is the best to list a house in your area, and it can provide an estimate on your home’s selling price now vs. your optimum sales month. It accomplishes this by analyzing seasonal sales patterns of houses in your area, based on the month they were first listed on Zillow.
Buyer’s vs. Seller’s Market
A buyer’s market occurs when the number of listed properties for sale exceeds the number of people looking to buy. When inventory is high, sellers can expect their home to stay on the market longer before receiving an offer, and sellers might have to sell below list price or make additional concessions to the buyer. In a seller’s market, however, there are more potential homebuyers than there are listed properties. A seller’s market is the ideal time to sell your home, as you can expect it to sell faster and you’re more likely to receive multiple offers and sell for full price. Currently, the mortgage industry is experiencing a seller’s market due to low inventory.
Local Job Growth
If your local job market is thriving and business is booming, it’s a favorable time to sell your home. Job growth and new businesses moving in to your area means that there are likely plenty of job seekers or recent transplants eager to find houses in your area.
For the last four years or so, mortgage rates have been historically low, but rates are rising and are showing signs to keep creeping up as the economy strengthens. The higher the rates, the further a buyer’s budget must stretch to get the home they want.
When it comes down to it, the best time to sell is the best time for you. Lifestyle changes like getting a new job, relocating, having a growing family, or deciding to downsize are the most common reasons people make the move to sell. People also decide to sell if their home has gained substantial equity, enough for a healthy down payment on their dream home or a comfortable cushion for retirement. No matter the reason for your move, make sure you’re emotionally prepared for the change.