Is It Better To Wait?
Why Now Still May Be a Good Time to Sell Your Home
By Karen Arbutine
As a homeowner considering selling your property, you may find yourself pondering whether to wait for more favorable conditions or to list your home now. With interest rates higher than they were last year, it's easy to be swayed by negative press suggesting that both sellers and buyers should hold off until the market changes. However, real estate still remains one of the most solid investments most of us will ever make, and there are a couple additional compelling reasons why selling your home right now may still be a smart move.
Here are 3 key reasons my current clients decided to go ahead and sell their homes in Central Florida.
1. Strong Buyer Demand
Despite higher interest rates, the demand for homes remains robust. Many potential buyers are still actively searching for properties, driven by various factors such as lifestyle changes, job relocations, and the desire for more space. “There will always be people that need to buy a home. That is never going to change.”, shares Karen Arbutine. The pandemic has reshaped our living preferences, with more people prioritizing homeownership and seeking properties that accommodate remote work and provide better quality of life.
Why This Matters: People are making adjustments to fit the new lifestyles options that we have in the year 2024. If you want to have a home office and your current home doesn’t offer the amount of space needed, the only option may be to buy a larger home. A recent National Association of Home Builder study showed that most buyers want a home with at least 1 office. The high demand for homes to buy often leads to competitive offers, allowing sellers to net higher sale prices. “We are seeing more buyers than we have homes to sell them right now”, explains Arbutine. Additionally, in a market with limited inventory, your home has a higher chance of standing out and attracting serious buyers quickly. This demand can help mitigate the impact of higher interest rates, making now a favorable time to sell.
2. Appreciating Property Values
Real estate has historically been a reliable investment, with property values appreciating over time. “ I am an investor myself- and I can personally attest that my best investmets have been in real estate. Of course there are a lot of factors to consider, but if you look at the markets over the past 10 years , you would be hard pressed to find many other investments that have offered such a great return overall. It’s hard to argue with real estate and a real winner.” states Karen. While there may be fluctuations, the long-term trend shows a steady increase in home prices. Current market conditions continue to support this trend, with many areas experiencing strong appreciation rates, especially over the past handful of years.
Why This Matters: Selling your home in a market with appreciating values means you can capitalize on the equity you've built. The gains you've made can be significant, even with higher interest rates. Moreover, if you're planning to buy another home after selling, doing so before prices climb further can be advantageous. By acting now, you can take advantage of the current appreciation trend and secure a good return on your investment.
3. Flexibility and Negotiating Power
In today's market, sellers often have the upper hand when it comes to negotiations. With fewer homes available, buyers are more willing to make concessions to secure a property. This dynamic gives you greater flexibility and negotiating power to achieve favorable terms. Currently across the U.S., 25% of homes sold are selling for more than the asking price.
Why This Matters: As a seller, you can negotiate for conditions that suit your needs, whether it's a higher selling price, a quick closing, or contingencies that benefit you. “If you need more time to move, now is a great time to ask for that as part of your agreement. I negotiate on behalf of my sellers to protect them and ensure they have plenty of time to find their next home and not feel rushed to do so. That is one of the things I am clear about when working for my clients”, says Karen. This current leverage can help you navigate the transaction smoothly and maximize your profit. Additionally, selling now means you avoid the uncertainty of waiting for potentially lower interest rates, which might not guarantee better market conditions.
Conclusion: The Time is Now
While it's natural to have reservations about selling your home in the current market, focusing on these three reasons can help alleviate concerns and reinforce the benefits of moving forward. Strong buyer demand, appreciating property values, and enhanced negotiating power are all compelling factors that make selling now a prudent decision to consider.
Real estate remains a sound investment, and waiting for an unpredictable future can mean missed opportunities. No one can predict what tomorrow will bring, but we can work with the current factors in today’s housing market. By understanding the positive aspects of the current market, you can make a confident and informed decision to list your home and achieve your real estate goals.
If you have any questions or need personalized advice, feel free to reach out. I'm here to help you navigate the market and make the best decision for your situation.