A house is one of the best investments you can make, but when is the right time to cash out?
Whether you use your property as a residence or as an investment, there are certain events that may trigger the need to divest and move on.
Ups and downs in the market may play a role, but more often the decision will hinge on the needs of your career, family, and future.
Here are five signs that you are ready to say, “Who wants to buy my house?”
1. The Property No Longer Fits Your Needs
Your wife tells you she is expecting your third child and you only have two bedrooms. Your in-laws are moving in. You have accepted a job three hours away.
It is time to sell your home when it no longer accommodates your family’s needs. Maybe you need more room as your family is growing. Maybe you need to be closer to work, schools, or aging relatives. Maybe you now work from home and need more room and solitude.
Lots of families move out of cities when their children reach school age because they want to be in local suburban districts with great public education. Sometimes people need to move because of health issues: they need high altitude, or to be away from heavy pollinated, woodsy areas.
Financial reasons may also play into the decision. Have your property taxes skyrocketed? Have you retired and started living on a fixed income, and need to save money? Are upkeep costs for things like renovations and landscaping becoming burdensome?
If your home no longer suits the needs of you and your loved ones, it is time to sell.
2. You Need The Cash For an Important Life Change
Maybe you have an investment or business opportunity that requires an initial infusion of cash. Often one’s house is one’s biggest asset. Making this asset liquid can give you the financial freedom to pursue many life goals.
Maybe you are seeking an advanced degree in your chosen field, and you do not want to incur a load of student debt. Maybe you are facing a crisis like a divorce or high medical bills.
If you can find a suitable place to live for less, you may want to get rid of the expense of a house and use the cash for other dreams you may have in your life. If you can expect to make a tidy profit on your house sale, it may be time to move.
3. Properties in Your Neighborhood Are Going for High Prices
Buying a home is an investment. You get personal enjoyment out of it as well, and it provides shelter. But one of the primary reasons to buy a home in the first place is to put your money into something that will increase in value.
Check the values of other properties on the market near you, and see what price comparable houses are selling at. Compare interest rates now with what your mortgage is at. Calculate how much equity you have in the house and what you may expect to take away from a sale.
If getting the peak price for your investment is important to you, you may consider selling in 2019 instead of 2020. With fears of a recession looming, now may be the best time to get top dollar on your home.
4. You Have Found a Different Place You Want
As your life has evolved, you may have changed your priorities in what you want in a residence. In your twenties, you may have loved fixing up old structures or being close to the city. In your fifties, you may be more interested in new buildings with all modern conveniences, plus peace and quiet.
Tastes change. You may have loved a modern condo when you were fresh out of college but you may now long for a remote log cabin in the woods. You may have enjoyed living near a golf course ten years ago but now may wish to be closer to your children.
Maybe you inherited the family home but it is too expensive for you, or it is no longer suitable for your life now as an adult.
If you are yearning for a change, it may be time to sell your house. If you have fallen in love with a new place, and your old residence just does not give you that sense of excitement anymore, it sounds like it is time to move on.
5. You are Making a Big Move
Have you accepted a job across the country? Have all of your children moved 100 miles away?
Moving is scary, but it can also be good for you. It forces you to see outside of your comfort zone, make new friends, and experience new things. It can disrupt your sense of self and create new possibilities.
Some people hold on to their house after they decide to move. Some rent out their place in case they decide to return, or because it creates extra income.
This option has been great for many people, as evidenced by the success of Airbnb. However, you may not be able to carry two mortgages or handle the daily maintenance and organization needed to be a landlord.
If you are moving far away, you may want to take the money you can make from a sale and invest it in your next home and life. Selling will help you break free and start all over.
Should I Sell My House? When It Is Time to Say Goodbye
It’s always bittersweet saying goodbye to a house where you may have grown up or had wonderful experiences. However, selling can be the way to make your dreams for the future come true. If your life has changed, the market conditions are right, and you have a clear idea of what you want to do next, it may indeed be time to sell.
If you are wondering, “Should I sell my house?” check us out to see if we can help.