Key Questions to Ask Before Deciding to Sell Your Home

Considering selling your home? These questions can help determine if you're ready for a larger home or a move to a more desirable location. If you find yourself answering "yes" to most of these, it might be time to make a move.

Have You Built Substantial Equity? Check your annual mortgage statement or contact your lender to see how much equity you've accumulated. Typically, you don't build significant equity in the initial years of your mortgage due to interest-heavy payments. However, if you've owned your home for five or more years, you may have substantial unrealized gains.

Has Your Financial Situation Changed? An increase in income could mean you can afford higher mortgage payments and the costs associated with moving. Conversely, if your income has decreased, downsizing might be a more practical option.

Have You Outgrown Your Neighborhood? The neighborhood that was perfect for your first home might not suit your long-term needs. Perhaps you'd like to be closer to work or need more space. Assess whether your current area still fits your lifestyle.

Can You Remodel or Add On? Sometimes expanding your current home is an option, but limitations such as property size, municipal regulations, or personal preference against remodeling might make moving to a larger home a better choice.

Are You Comfortable with the Current Housing Market? A hot market might mean a quick sale at a high price for your home, but purchasing a new one could be costly. Conversely, in a slower market, selling might take longer, but you'll have more choices and better prices for your new home. Consult with your real estate professional to understand local market trends.

Are Interest Rates Attractive? Low interest rates can help you buy a larger home and also make your current home more appealing to buyers.

Is Maintaining Your Current Home Becoming Burdensome? If the effort and cost of maintaining your home are becoming overwhelming, a REALTOR® can help you explore whether a smaller house, condo, or rental might be more suitable.

By considering these questions, you'll be better equipped to decide if now is the right time to sell your home and move on to your next adventure.

Have a legal question about the sale of your home? Contact us today.