Actually this market is VERY good to be buying up in. Call me and I will explain how you can make it well worth your while to move up now. 602-319-8509

Thu May 22 2008, 14:44

I just did a similar thing in Scottsdale but kept my home and rented it. The market will come back and the larger home will appreciate more.

Thu May 22 2008, 08:59

Hi Kirsten,
You may want to consider leasing your current home to a well-qualified renter until the market starts to turn around for sellers. Being a landlord is not always easy, but if you structure the lease agreement properly, it could be a wise decision. There are many factors to consider (too many to list here) before deciding exactly what to do. Keep in mind that it's not a good market to sell right now, especially with about 56,000 properties for sale.
Many "would be" sellers have taken my advice to lease & they appreciate this option, because they may be able to sell for a higher price in the future. Leasing your current home may allow you to cover the expense of your current mortgage & buy the larger home that you desire.

Thanks for allowing me the opportunity to share this option with you. Let me know if there is any other information I can offer you.

---
Paul Welden

Fri May 16 2008, 08:54

Kirsten,

Remember...if you are making money on the sale of your home that is good!
You may be selling low, however you are also buying low at a time when interest rates are low.

If you were to sell & buy during the peak market you would still be faced with the same delima only higher values in both categories. Sell high...Buy High.

If you have the desire to buy, can sell your home at a profit, and can afford the payment on a larger home at low interest rates...go for it!

Also, when interviewing potential real estate professionals be sure to ask if they we negotiate the fee on selling your home if they assist you in purchasing the new home. That could save you some money and be a win - win situation.

I am happy to help anyway possible.

Happy selling/buying!
Tammy

Thu May 15 2008, 16:12

Hi Kirsten

Great question that really requires more information to effectively provide you with the answer that best suits your personal situation.

The simple answer is that moving up in down market often makes sense if you plan to stay in the home for a few years. If you anticipate life changes that would prompt another move in the next couple of years then you might want to stay in your present situation. It’s a great time to buy, however buying will not leave you with much equity for a few years and could be more challenging if you needed to sell quickly.

Buying today also affords you many choices in homes, interest rates are good etc. Buying also may provide you with significant equity growth in the future. When the market improves in the future I’m sure you would like to have the appreciation on a $300,000 home rather than on a $225,000 home.

Thanks for the great question, you seem to be thinking about this correctly.

Thu May 15 2008, 15:33

Kirsten -

Difficult question to answer (and for you to ponder!)

Yes, you would be "selling low", but as Sal mentioned, keep in mind that you'd also be "buying low". Wait for your home to appreciate more, and everyting else will likely be appreciating right along with it....

Without knowing a lot more about your financial (and life) situation, there is really no way to know what is best for you.

I would suggest talking to a good mortgage lender (a financial planner couldn't hurt either). They should be able to sit down with you and "crunch the numbers". What you can *qualify* for and what you can *afford* may be two completely different things. With the right lender, there wouldn't be any cost, or hassle/obligation) to have a frank discussion. They would be able to advise you best of available mortgage products that might fit you and all your particulars.

Make sense?

Thu May 15 2008, 14:02

Kirsten,

For what it's worth, be sure to consider the fact that you are buying up. Thats the best way to be going in a down market. Yes you may be getting less for your current home, but you can recoup the loss and then some by purchasing a more valuable home at a good price.

In the end, it is your financial situation that gets the final say. If you would be putting unnecessary strain on yourself by purchasing a more expensive home, plus the cost of mortgage insurance, then it can't hurt to wait.

Have a wonderful day.

~Sal J. Giorlando

Thu May 15 2008, 13:21

Kristen,
It sounds like you have recieved a market evaluation, so you are aware of the approximate value of your home.
You may want to ask yourself if the savings on the other side going to be significant enough to make the move. Ultimatley you may walk away with much more equity upgrading to the home of your dreams. I have sellers taking advantage of the savings on the purchase of the much larger home and quality of area and home in some cases.

I hope it makes sense! Feel free to contact me with any questions or concerns!

Thu May 15 2008, 13:17