7 Indicators That You Are Ready To Sell
We all experience a time when you begin to think – am I ready to move? Maybe you have been thinking about a different location, a larger house or something else that triggers these thoughts. You may wonder if you are in the best position to make a move or if it is a good time to do it. Here are 7 signs that you are ready to sell your home.
You have equity
For most people this is the biggest factor – having enough equity in their current home to comfortably sell. For many years now home prices have been on the rise and with demand being as such, there is a strong chance that you would have equity to be able to sell with possibly some money left over to put towards your next residence.
You are debt free
Take a good look at your current financial situation. If you have paid off all of your major debt (aside from your current mortgage) and have enough money leftover for a handful of month’s worth of living expenses then you are probably in a good spot. It’s worth mentioning that if you have enough equity then you may even be able to pay off some debt with that during the process.
You are emotionally ready
For most, selling a home can be emotional. It is often your most valuable possession, a place where many memories have been made and at the end of the day – it is your home. Ask yourself if you are ready to say goodbye and move on to another location to establish a new domain.
You can afford an upgrade
Your move may be tethered to a growing family or maybe even a new job that you want to live closer to. Whatever the impetus, do some math to ensure that you can comfortably afford it. Most will recommend that you keep your monthly payment to 25% or less of your take home pay.
You have cash on hand
Even if you have some good equity in your current home, you will still need money for closing costs on your new home along with incidental expenses such as movers. Your mortgage agent should be able to give you some rough numbers on what to plan for in the way of closing costs.
You have market knowledge
While nobody has a crystal ball to predict the market’s future, we do still have data to inform us of trends. In case you haven’t had your finger on the pulse of what is happening around you in your particular market, a great resource for this data is your real estate agent.
You have a real estate agent
Finally, having a trusted real estate agent like myself is an excellent resource for you to review your thoughts on selling and moving. Share your living situation, financial footing and goals to get some good honest advice on what would be best as you start to plan.