Home values in most parts of the country have gone down, how long have you been in this home, how much
do you still owe the lender?
And then where to, another state, are prices there higher or lower, do you want to up or down grade, buy a larger or smaller home. Once we would know some of the above we could give you some better advice.
Work with a local Realtor who can find out the current value, and discuss your options with you.
Working always in the very BEST interest of her clients, buyers, sellers and investors alike!
Edith Always goes the X-tra Mile with a Smile for her clients :)
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expertise, experience in the market place, and the various services they offer please go to
A consultation with a Realtor about the market where you are now living and the market where you plan to move may help you make your decision. Let me know if I can help.
Carolee, Associate Broker
The Barndt Agency, Inc.
I agree with Don, if upsizing there can be a big advantage. In my market the more expensive homes have seen a greater percentage decrease than the more affordable homes. There has been more compression of values the higher they started. While your home may be down X% a step or two more expensive home might be down X% plus. With the current rates so attractive general affordability is great.
The question is, if you have a need for a larger or more expensive home will there be anything in your future which would make it worth waiting for? Are you anticipating any large raises or bonuses later to offset the general affordability now?
The other advantage of upsizing, if you can reasonably afford it, is when the market returns your appreciation will start from a higher basis point. If two homes both go up 10% over a given time period the $200,000 home gains $20,000 while the $300,000 home gains 50% more at $30,000.
Talk to some good local agents about how this may or may not apply in your area. In mine, we are seeing many people put this leverage to their advantage.
There is no advantage UNLESS you want to change homes. For example, you will have considerable expenses in closing costs on the sale of your home, as well as closing costs on the purchase. I don't know the price range you are considering, but I would be that you could spend as much as $20,000 to buy and sell two properties.
Now...if you are excited about moving to a different place, having a new home, perhaps something that has amenities you don't have, it would be a great time. Anything you lose in the sale of your home is made up in the purchase of the new one at a good price. If, however, you want to buy just because you think prices are down, remember...someone buying your present home feels the same way.
Good luck to you, whatever your decision!
Carol Cei, ePRO, Realtor
Five Star Professional
ReMax Platinum Club
ReMax Action Realty
215-358-1100 x1223 Office
Best of luck,
Eric Axelson, Associate Broker
Licensed in NJ and PA
Kurfiss Sotheby's International Realty
Interest rates are historically the lowest they've been in 40 years
Home prices have come down considerably from their peak in the mid 2000s
We recently worked with a young couple who needed a larger house because of their growing family. We found them a great home and sold their home. Their new mortgage is actually $50 less than it was with the smaller home! This is just one example of someone who benefitted from the current lower home prices and historically low interest rates. If you need help deciding if this market would benefit you, don't hesitate to ask me.