Are You Ready to Sell Your Home In London?
If you’re thinking about selling your home in London, Ontario then get ready to face some challenges. Buyers these days are savvy when it comes to market dynamics and will want to see your home at times that suit them. Not all is against you however, Buyers know that rock-bottom mortgages won’t last forever and if interest rates start to increase there may be a rush to buy. However, if rates increase too much, there will be a downward pressure on prices which will dampen your prospects. Timing is a strategic decision so ask yourself the following questions and decide what suits you best.
Do You Have Enough Equity in Your Home?
Equity is the value of your home minus any home loans. If your home is worth $400,000 and your mortgage is $300,000 then you have equity of $100,000. If this is enough to pay all your expenses such as selling and moving costs then now is a good time to sell. If not then you may be better off waiting until either you can pay off more of the mortgage or prices increase.
What is The Buyer’s Market Like?
The market can change every year and will vary greatly depending on your location and time of the year. Do some research and talk with Realtors to gauge how the market is. Spring is a time when a lot of buyers are in the market. Put your house up for sale at the right time of year and you can see a huge return. If you live in an area with a temperate climate and good weather you'll have a higher chance of finding plenty of buyers. Keep in mind though that this means more competition from other home sellers.
Have You Finished All Your Home Improvements?
If you have any big renovation projects going on it’s best to wait until they are complete before putting your home up for sale. Kitchen and Bathroom remodels can pay for themselves and even leave a profit if the market is in your favour. Improving the structural integrity of your home through new plumbing, roof or windows can really push up the value of your home so it's worth investing in these items as well as interior remodelling.
Can You Afford to Move?
Once the mortgage and other selling expenses are paid off, can you still afford to move? Expenses for moving can be upwards of $10,000. Once you have moved you’ll then have to put a down payment towards a new house from your selling profits. If the sale cannot cover all this then put the sale on hold and wait for a better time.
Are You in a Hurry to Sell?
In the real estate business, you have a huge advantage if you’re willing to wait for an offer that suits you. If you need to move in only a couple months and a buyer knows this, they may offer less than what it’s worth since they know you need to sell fast.
From all this, it's clear that timing is a large factor when deciding when to sell. If you expect you will sell within the next 3-5 years then now is the time to start planning for it. Plan for renovations that will raise the value and be completed on time, pay off more of your mortgage and keep a close eye on the housing market. If done right, and with the right Realtor®, your house can sell both fast and profitably.
Call on Oliver and Associates Van Bart Real Estate Brokerage Inc. to get advice on how to start planning to sell your home in London and the surrounding areas. We are the authority in buying and selling real estate in the London and Middlesex area, call us today and let us help you with all your real estate needs.