When making the decision to sell your home, there are important questions you must ask yourself:
• Why am I selling and are there any alternatives to selling?
• What is the best time to sell and how do I know what fair market value for my home is?
• How much money do I need to have in my pocket after expenses i.e. lawyer’s fees, land transfer tax (if purchasing an alternate property), commission, etc.?
• What other goals do I expect to achieve through this sale i.e. paying down debts, putting money into the bank for retirement, downsizing, etc.?
With the help of your realtor, you can pin point these goals early on in the game. There are many reasons home owners sell and they can include one or several; job transfer, a change in your financial position, a lifestyle change, or a change in marital status. Whatever the reason(s) major changes in our lives are often the catalysts for a selling decision.
If a job change or transfer is the reason for the decision, be aware that employers will often help. They may offer to pay the real estate commission for your existing home and/or pay for moving expenses. Some employers may even offer to buy your home so that your equity (the difference between your home’s selling price and your mortgage) is available for the down payment on the next home. This can be very beneficial, especially if you must move quickly.
Changes within a family are often the most common reason for deciding to sell. An upcoming marriage or the birth of a child might mean that you’ll need three bedrooms instead of two. Children leaving for university, retirement, separation, or even a death can suddenly change your financial situation and your mind about where you would like to live. Talk to your financial institution about your options. You may find that selling your home will provide you with adequate funds for your child’s university education or; that a smaller home or a condo will continue to afford you the option of home ownership after retirement, a separation, or a loved one’s death.
Although the focus here is how to help you sell your home, remember that there are alternatives to consider if you are unsure about selling. You can consider refinancing, renovations or renting a portion of your home for income.
Whichever alternative you choose, make sure you go into it with your eyes open. There are several things in each scenario that you must consider before moving forward and your realtor can help shed some light on each one. I welcome your questions or comments.
Are you or someone you know thinking about selling? Call me for a FREE market evaluation of your home.
I look forward to hearing from you.