As you plan out
your goals for the year, moving up to your dream
home may top the list. But, how do you know when to make your move? You want to
time it just right so you can get the most out of the sale of your current
house. You also want to know you’re making a good investment when you buy your
new home. What you may not realize is, that opportunity to get the best of both
worlds is already here.
You don’t want
to wait until spring to spring into action. The current market conditions
make this winter an ideal time to move.
Here’s why.
1. The Number of Homes on the Market Is Still Low
Today’s limited supply of houses
for sale is putting sellers in the driver’s seat. There are far more buyers in
the market than there are homes available, and that means buyers are eagerly
waiting for your house. Listing your house now makes it the center of
attention. As a seller, that means when it’s priced correctly, you can expect
it to sell quickly and get multiple strong offers this season. Just remember, experts
project more inventory will come to market as we move through
the winter months. The realtor.com 2022 forecast says this:
“After years
of declining, the inventory of homes for sale is finally expected to rebound
from all-time lows.”
Selling now may help you maximize the
return on your investment before your house has to face more competition from
other sellers.
2. Your Equity Is Growing in Record Amounts
Current homeowners are sitting on
record amounts of equity thanks to today’s home price appreciation.
According to the latest report from CoreLogic, the average homeowner gained
$56,700 in equity over the past 12 months.
That much equity can open doors for
you to make a move. If you’ve been holding off on selling because you’re
worried about how rising prices will impact your own home search, rest assured your equity can help fuel your next move.
It may be just what you need to cover a large portion – if not all – of
the down payment on your next purchase.
3. While Rising, Mortgage Rates Are Still
Historically Low
In January of last year,
mortgage rates hit the lowest point ever recorded. Today, rates
are starting to rise, but that doesn’t mean you’ve missed out on locking in a
low rate. Current mortgage rates are still far below what they’ve been in recent decades:
·
In the
2000s, the average mortgage rate was 6.27%
·
In the
1990s, the average rate was 8.12%
Even with mortgage rates
rising above 3%, they’re still worth taking advantage of. You just want to do
so sooner rather than later. Experts are projecting rates will continue to rise
throughout this year, and when they do, it’ll cost you more to purchase your next
home.
4. Home Prices Are Going To Keep Rising with Time
According to industry
leaders, home prices will also continue appreciating this year. While
experts are forecasting more moderate home price growth than last
year, it’s important to note prices will still be moving in an upward direction
throughout 2022.
What does that mean for you? If you’re selling
so you can move into a bigger home or downsize to the home of your dreams, you
want to consider moving now before rates and prices rise further. If you’re
ready, you have an opportunity to get ahead of the curve by purchasing your
next home before rates and prices climb higher.
Final Thought
If you’re considering selling to move up or downsize,
this may be your moment, especially with today’s low mortgage rates and limited
inventory. Reach out to a local real estate professional today to get set up for
home buying success this year. Contact me at
(904) 274-1692 to get started.
