Regardless of the reason for selling your house, there has to be a commitment on your real estate agent's part, as well as yours, to get the job done. And in this market, it can be tough.
It can be humbling to hear what your house is worth today. It can create a sinking feeling to learn you probably won't get back what you paid for all those nice updates you made over the past couple of years. It can tear at your heart to find out you may have to bring cash to closing because you owe a bit more on the house than you'll get for it.
But the bottom line is, do you want to sell your house or do you just want to list it?
If you truly want to sell your house, you must pay attention to and hear what the market is telling you. It is that simple, and perhaps that difficult.
What is the feedback you're receiving from private showings and open houses? Are you getting private showings? Are you getting visitors at open houses?
Remember that the buyer will determine the value of your house. It doesn't matter what you need or want to net from the sale. It does not matter.
Depending on the publication you read, it could be another couple of years at least before prices start to turn around - start. And depending on the report you read, prices could fall another few percentage points in the next year or so.
Bottom line is no one knows what will happen for sure in the housing market in the near or even distant future. What we do know is what we have now.
Interest rates, at the time of this writing, are at 4.375%. The supply of homes is great in nearly every price point in our area, and, as you know, prices are down.
So even if you would sell your house for less than you would like to, you would also be buying for less than you might expect to and at these historically low interest rates, which will ultimately cost you less over time.
Assume you are purchasing a $200,000 home, have 20% down payment, and the term of the loan is 30 years. With a 4.375% fixed interest rate, your monthly principle and interest payment would be about $798. If the interest rate were 6%, however, the monthly payment jumps to approximately $959. Over a 30 year period, that's a savings of nearly $58,000.
Is this your time to sell? Should you try to take advantage of these historically low interest rates?
Is it worth taking the risk and waiting to sell?
Just how committed are you to working with your real estate agent to get the job done?
Only one person can answer these questions for you. And that person is you.