11 Oct Hot Markets: Buy, Sell or Stay
What does it mean to strike while the iron is hot in the real estate market? We know that the market shifts frequently, and that can make it difficult to determine whether or not to make a move. There is a lot to consider when buying or selling any property, but here are some tips to help you begin to think ahead.
Take the Temperature of the Market
When there is a lot of real estate action happening in a particular area, it tends to create a sense of urgency with in existing or potential residents. However, swift action during an upswing doesn’t always result in the best outcome. Just because a market is showing signs of growth, doesn’t mean that it may stop any time soon.
Take a Step Back
Sometimes, when a market is particularly hot or sought after, it may give a home owner or buyer a sense that they need to move now. Just because you have an opportunity to sell your home, doesn’t mean that it will always make sense for your situation. You may want to consider whether the home would make sense as an inheritance if you have children.
If you’re buying in a busy market, you may be left underwater if you buy when the crest of the wave is too high and the home’s value is inflated.
The American Dream has Changed
It’s becoming less and less common in America that a home’s value simply grows over time at a steady pace. Low rates on mortgages can also make it more difficult to refinance your mortgage loan once rates have increased.
Whatever path you choose, remember take as much time as you need to feel informed when you engage in a real estate transaction. Aim to buy or sell with a practical purpose in mind and not to ward off a sense of scarcity or urgency.
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