Selling your home is a major life decision that involves a lot of thought and can come with additional emotional stress and considerations. So how do you know if now is the right time to let go of the family house and maximise the return on your most important investment? In this article, we outline 5 things to consider when selling your family home to help ease you through the stress of such a major decision.
There can be many more factors to take into consideration when deciding to sell your family home than an early starter home or an investment property. The circumstances behind the sale can be many and varied. Perhaps the kids have left home, or your family is growing and you have simply outgrown your current space. Either way, it is natural to wonder whether now is the right time, especially if your life is radically different than it was when you bought your home. However, the thought of parting with all the wonderful memories that have been shared under one roof can be an overwhelming moment.
So what are the key signs that indicate it's time to sell your home?
Is it time to upgrade?
One of the main reasons many people sell their family home is that they have outgrown their current property because their family is getting bigger. As your lifestyle shifts, the first home you purchased would have been a great foot onto the property ladder but even then you knew it was not intended to be your forever home, the years spent in it may have exceeded your plan and now it’s time to move on. But before you look to sell it pays to find out how much your current home could be worth by getting an appraisal done on your home.
These appraisals are free and go beyond the online calculators. While the computer can look at average sale prices in your area for similar homes, we all know that no two homes are the same. An appraisal by a local real estate agent looks at the unique features of your home to give an accurate sense of what you could achieve in the current local market.
This accuracy helps when you’re trying to find a new home and discussing with your bank or mortgage broker to discover the pre-approved amount that a bank will give you.
Is it time to downsize?
What once may have been the perfect home for you and your family may now be too large. The home with the big yard may feel empty and excessive when your kids have flown the coop. For many, the decision to sell the family home is not as much of a market-driven decision but more a lifestyle choice.
Have you been considering a home with lower maintenance, lower costs and fewer responsibilities? Perhaps you’re thinking about retirement in the next few years and whether you want to spend as much time managing the property. Now maybe a better time than ever to cash in on the equity in your home and move into something more suitable for your lifestyle.
Even though all homes require occasional maintenance, if your home is becoming a source of frustration and unnecessary stress, selling could be on the cards. Homeownership should be a pleasure and taking a moment to consider where you see yourself in the future is an important question to ask yourself. Does the next 5,10 or 20 years involve travelling around NZ in a camper van or jetting off around the world on that OE you never had? Then perhaps selling and freeing up some cash to make those dreams a reality is a great idea in this current market.
Unlock valuable equity
Finding out how much equity you have in your home can make decisions easier as you contemplate your next move. From relocating closer to family or heading off to warmer climates selling your home might release the capital to make those decisions sooner rather than later. Downsizing might mean a more modern home closer to the beach with some cash left over to buy that dream classic car. Or the equity in your home might mean your mortgage on a larger lifestyle property is lower than you might think.
The equity in your home started when you made the first initial down payment when you purchased your home. Over time, you would have built more and more equity as you pay the principal balance of your loan while at the same time your property’s market value appreciates. So while you might be looking at the remaining balance on your mortgage and counting down the years to see it at zero your house’s value might mean you could live mortgage-free right now!
To find out how much your property is worth in today’s market, contact a trusted real estate agent for a free no-obligation appraisal. With over 30 registered salespeople, the team here at McDonald Real Estate are experienced in giving an accurate and honest appraisal.
You’ve found the right person to sell your home
When looking for the right agent or salesperson to sell your home can be an overwhelming task. With multiple Real Estate companies offering different benefits the choice could come down to a couple of deciding factors.
Here at McDonald Real Estate, we feel that your marketing plan is one of the most valuable tools when selling a home, the way it is presented to the public could determine how much you get for your property, therefore sometimes going with a more affordable option could be the wrong move. The saying ‘you get what you pay for’ has never been more accurate in this situation. There are moments in life where going for a more affordable option is a good idea, but should the sale of one of your largest assets be one of them? We also believe there is also no one package for all. Every home has its own unique selling characteristics and may not suit all buyers on the market, this is where your marketing package should reflect this.
When you find the right salesperson who will tailor their approach to your needs and understand that this sale isn’t about money but memories, you might find it’s the right time to sell.
Buying or selling - what should come first?
The most important factor to consider when determining if it’s the right time to sell is what is happening in the current market. If, like now, there is little supply but high demand you could unlock a great price for your home, especially if it’s in a highly sought after price bracket. As a buyer with a sale already on the cards, you might become the favoured purchaser and get the home of your dreams due to your position.
The idea of selling a home before buying can be overwhelming as the thought of potentially ‘renting’ as an interim measure is not an ideal situation, especially for kids and animals but you also have a lot of control over settlement dates and moving. Another point to consider if you are thinking of buying a home before you sell your current property is that it often means that when you find your dream home you need to make your offer subject to the sale of your already existing home. This could be a sure way to lose out especially in a competitive market.
Right now houses are selling very well so you might not need to worry that your property will sit languishing for months on end with barely a trickle of interest. Taranaki has a low supply of available housing but there are plenty of buyers out there. If one of the things holding you back from listing your property to make your next move was concern over buyer demand then talk to one of our specialists to have your questions answered.
If you’re thinking about putting your home on the market, then contact us today to discuss your options. We can offer a no-obligation free appraisal on your home to see where it sits in the current market. We will also be able to discuss the current market and the best approach that you should take for your situation.
