Selling your Home
Deciding Whether or not to Sell your home
It is good to understand the market when trying to decide whether you should sell it or not. The most important
factor would be whether you are facing a seller's market with low inventory and rising prices, or a
buyer's market with lots of houses for sale. It's also important to understand what kind of homes sell best in your area.
If you're not under pressure to sell, think about different factors, such as:
- Financial impact
Relocation costs thousands of dollars, and can end up costing as much as 15% of the sale price of your home, taking
the real estate commission, closing fees, and moving costs all into consideration. The less equity you have
in your house, the harder it will be on you financially. It's important to think through then numbers before
you make a decision.
- Timing
Consider the timing of your sale relative to the market and to your home equity.
If the market is slow, and your equity is low, you could be paying off your
lender with money from your own pocket. The more equity you have, the better
able you will be to cover selling costs.
- Tax consequences
Even though you probably won't have to pay capital gains taxes on the sale of
your house, it is still something to consider. If you've lived in your house
for only a short time, the chances increase that this may be an issue you will
have to consider. Make sure you know where you stand.
- Alternatives to selling
If you're selling to get away from crime, troublesome neighbors, or because
you want more space, do a reality check. A look at crime statistics may show
you're safer than you would be in a new neighborhood; a tall fence could shield
you from neighbors. And remodeling your current home could give you the extra
room you want. Look into the alternatives to moving and get all the facts before
you jump into the market.
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