With the market in Denver becoming an extreme sellers market, most homeowners are asking if they should sell their home for a profit or just stay put. Here are some things to consider…
Time to stay –
Are you are close to paying off your home? Consider staying. Adding a new mortgage will increase your commitment to a new mortgage for another 15-30 years.
Is your credit score lower than your or your lender would like it to be? A new loan with less than desirable credit can cost you more money in the long run than you will gain by selling. Getting mortgages today is much harder than it was years earlier and requirements are very stringent.
Do you have the cash on hand to renovate your home and make it more to your liking? If so, consider remodeling instead. In most cases you can recoup most of you investment later.
Is there increased competition in the neighborhood of your choice and limited inventory? If you need to stay near your current home and the investor is low and competition is high you should stay until things cool or you could end up paying more than you need to for the home you want.
Time to go –
Have your kids left home? Once bursting at the seems and now, rooms stand empty and unused, it might be time to sell. You can easily downsize and decrease your time spent taking care of your large home and decrease your mortgage payment as well.
Can you cash in your current home and invest your profit back in to a larger more perfect home for you and decrease your interest rate at the same time? It might definitely be time to go. Interest rates have a huge impact on how much your home costs you and if you have the opportunity to sell your home in a peak market and purchase with a lower interest rate, you could stand to get more for your money.
Is your home more outdated then your patience and pocketbook can handle? It can be a great time to sell your fixer upper when it is a peak sellers market. If competition is fierce, buyers could be willing to overlook your purple bathtub and brass fixtures so they can be the buyer in your great neighborhood.
Is your neighborhood driving you crazy or is it taking a turn for the worse? If your neighborhood is going downhill or if your commute is making you more unhappy than you can handle it is definitely time to sell. If the neighborhood is not breathing in new life, your investment could be going downhill with it and you might want to sell before it drops further. Your long commute can also be draining your pocketbook and draining your happiness. If you can find a home nearer to your job it might be time to start investigating a change.
So many decisions come into play when you are considering a move. If you have more questions than answers call me and I will be happy to help make sense of it all!