February 6, 2024
As you think about the
year ahead, one of your big goals may be moving. But, how do you know when to
make your move? While spring is usually the peak homebuying season, you
don’t actually need to wait until spring to sell. Here’s why.
1. Take Advantage of
Lower Mortgage Rates
Last October, the 30-year
fixed mortgage rates peaked at 7.79%. In January, they hit
their lowest level since May. That means you may not feel as
locked-in to your current mortgage rate right now. That downward trend in rates
has made moving more affordable now than it was just a few months
ago.
Another reason today’s
rates make now a good time to sell? More buyers are jumping back into the
market. Many had been waiting on the sidelines for rates to fall, but now that
that’s happening, they’re eager and ready to buy. That means more demand for your
house. According to Sam Khater, Chief Economist at Freddie
Mac:
“Given this
stabilization in rates, potential homebuyers with affordability
concerns have jumped off the fence back into the market.”
2. Get Ahead of Your
Competition
Right now, there are
still more people looking to buy a home than there are houses for sale, which
puts you in a great position. But keep in mind, with the recent uptick in new
listings, we’re seeing more sellers may already be re-entering the market.
Listing your house now
helps you beat your competition and makes sure your house will stand out. And
if you work with an agent to price it right, it could sell fast and get
multiple offers. U.S. News explains:
“When there is low
housing inventory, sellers could get top dollar for their homes.”
3. Make the Most of
Rising Home Prices
Experts forecast home
prices will keep going up this year. What does that mean for you? If
you’re ready to sell your current house and plan to buy another one, it may be
a good idea to think about moving now before prices go up more. That would give
you the chance to buy your next home before it gets more expensive.
4. Leverage Your
Equity
Homeowners today have
tremendous amounts of equity. In fact, a recent report from CoreLogic says
the average homeowner with a mortgage has more than $300,000 in equity.
If you’ve been waiting to
sell because you were worried about home affordability, know your equity can
really help with your next move. It might even cover a big part, or maybe all,
of the down payment for your next home.
Bottom Line
If you're thinking
about selling your house and moving to another one, connect with a
local real estate agent to get the process started now so you can get a leg up
on your competition.
