THE ROAD HOME

It is not uncommon to feel completely alone with a difficult set of circumstances. Sometimes the challenge of making it through another week can be so overwhelming, that paralysis sets in thereby exacerbating the problem. There is always a road that leads into a problem and there is always a road that leads out. Here are some sets of circumstances in Real Estate with corresponding roadmaps “out”.

You can not sell your home now for what you owe the bank.

First, know that the number of folks in your exact situation is so enormous, that the Federal Government has been moved to act in order to avert a national catastrophe. The “bail out” may or may not apply to or be timely for everyone, but each homeowner should contact the Loss Mitigation Department of his respective lender and begin dialogue that helps pave the way. As importantly, you should contact a Realtor who can act as your trusted advisor and work with the banks. Not all Realtors have the unique experience and contacts to clear the road ahead, so be sure your Realtor is one of us who does.

You want to sell your home, but you do not know if you should “wait till the market is better”

The first question to ask your self is always “What is my motivation to sell?”
If your starter home walls are closing in around you and you need a larger home, it is not likely that any market itself will hurt you. Generally, properties sell at higher prices in a sellers’market, and they sell at lower prices in a buyers’ market. That means that if you sell your starter home for a lower price in a buyers’ market, you will turn around and buy your larger home for a lower price in the same buyers’ market. You may also consider the fact that when you buy a more expensive property than the one you sold, any appreciation that occurs over time can be far greater than that which you would have realized had you remained in your smaller home waiting in line for the bathroom.
If you are considering “downsizing”, your motivation for change may be different, but the principle is similar. If the maintenance and costs of your larger home no longer meet your needs, it is time to find a property that does. Although there will be less equity to realize from the sale of your larger home, you will likely not be spending as much for the smaller property.
If you own multiple properties, you must figure in the carrying costs and overall maintenance to hold onto the properties. There is no guarantee associated with the market rising again. While you wait an indefinite period of time for real estate to “start appreciating” again some day, the carrying costs may never be offset by a future sale.

You are waiting for the market to “hit bottom” before you purchase a property.”

No market is stagnant. Sellers sell to buyers in any market. Buyers buy from sellers in any market. The market for the past few years has undergone its natural correction and the “bottom” is determined in large part by the level of activity, days on market, and final sale price. We are now looking up on this rollercoaster ride as evidenced by what we Realtors see and hear before the media ever has any idea what’s going on. The pricing is far more realistic. The sellers are far more receptive to learning from their Realtors how to “prepare” the property for sale.
The buyers who have been “watching” certain properties now find they are too late. The properties they desired have sold. Buyers who tell us they “can’t go see the newly listed property for a few days” lose their opportunity to those who did make the time and are scheduled to close.

The news on this “road” is positive and exciting for both sellers and buyers. For directions “home” use the map with which your experienced Realtor provides you. For swatting insects, lining bird cages, starting BBQ’s, and training puppies, use the negative newspapers.