Have you outgrown your home or has your home outgrown you? Many homeowners live in homes that don’t meet their needs but they are hesitant to make a move. According to a recent study by the National Association of REALTORS®*, today’s sellers have remained in their home for a median of 10 years. This is well above the historical norm of six years between 1985 – 2008.
The great news is that most homeowners are in a much better financial situation than just a few short years ago. With home prices rising dramatically over the last several years, 93.7% of homes with a mortgage are now worth more than the homeowner paid. In fact, 79.1% have at least 20% equity**.
Whether you’re a growing family or empty nesters, here are two signs it may be time to consider a move:
1. Seller’s Market
If your home is worth more than you paid for it, and demand for housing is high (as it is now in most of the U.S.) we call that a “Seller’s Market.” A good way to tell if demand is high? When the number of homes for sale in your market falls below a six-month supply. As always, consult with a real estate professional.
2. Lifestyle Change
Are you maxed out on family space or are you about to become empty nesters? Lifestyle changes like these can often be signs that it is time to look for a new home.
Selling your home and purchasing a new one is a major financial decision that requires careful consideration. Click here to learn more about our Home Shopping Advantage program.
*Page 102: https://www.nar.realtor/sites/default/files/reports/2017/2017-home-buyer-and-seller-generational-trends-03-07-2017.pdf
**Core Logic: http://www.corelogic.com/about-us/news/corelogic-reports-home-equity-increased-726-billion-dollars-in-the-third-quarter-2016.aspx