Safe to Sell Your Home?

We came across a really great article in the Wall Street Journal entitled "Is It Save To Sell Your Home", written by Ruth Simon.  In that article, Ms Simon reviewed the current housing market identifying the rising home prices and thinning market as presenting opportunities for home sellers.

It is evident that Buyers are becoming much more confident in the economic recovery and they are taking advantage of the record low interest rates we are currently enjoying.  Sellers are enjoying this upsurge in activity which has fueled a significant increase in home prices nationally (climbing 8.3 percent in December from the same period last year).  This increase is the largest since May of 2006 and it's the 10th consecutive monthly gain.

If you are thinking of selling your home, you will be much more likely to find a buyer more quickly and command a better sales price.  The article points out that "Buyer Activity" generally picks in the spring, while Sellers typically lag behind (the Sellers listings peaking in July).  Said Jed Kolko, chief economist at the real-estate website Trulia.com ..."Most Sellers would be better off if they pushed the process up a couple of months".  The number of existing homes on the market nationally has dropped to 1.74 million in January, down 25% from a year ago so with supply low and demand high,  now is a great time to sell.

Sellers could face some challenges if interest rates were to rise significantly or the economy weakens, along with an increase in homes for sale so waiting to see if prices go up further, may not be the best strategy.

The article warns Sellers not to expect to make a killing.  It said that even with recent gains, home prices remain about 27% below their 2006 highs according to CoreLogic.

If you are thinking of making a move,  this is a great time for you.  In our local market area,  prices are up, inventory is down, the number of foreclosures on the market has decreased dramatically, and the lower interest rates have Buyers out in the market place looking for homes to buy.

Anyone who would like further information about this article or would like more information about sales activity in our area is welcome to contact me at my office, and I will be happy to assist.

Eric Adams

RE/MAX Results

(801) 836-7980 (mobile)

(801) 805-1000 (office)