What does the economy mean for your plans to move?

The focus earlier this year seemed to be on the downward spiral of the housing market, and in the last few months we’ve been inundated with news about the downward spiral of wall street.

It’s been a year of uncertain economic times. None of the financial or real estate economic experts seem to agree on what the future holds. Market volatility makes it almost impossible to predict how soon we’ll see more stable economic indicators and a return to normal real estate appreciation. This uncertainty has caused us to hunker down, reduce our spending, and delay any kind of major life changes. Unfortunately, other circumstances in one’s life may dictate that it IS time to make changes.

Will you let wall street determine your next steps, or will you push through the fear of uncertainty and empower yourself to act in your own best interest?

For example, I was introduced to a new elderly client this last week, I’ll call her Marge, that desperately wants to move before winter. She admitted driving is getting more difficult, her daughter just moved out of state, and her house is requiring more and more repairs. She was very concerned about everything she had heard in the media, and does not want to "give her house away." Marge clearly wants to move. The only reason she would consider staying in her current home is out of fear, and the possibility of perhaps making a few additional dollars.

If it’s time for you or an aging loved one to move, just do it. It doesn’t make any sense for Marge to white knuckle her way through another winter in a house suffering from deferred maintenance when she has little to no support system in place. There are no guarantees she’ll receive any more for her house next spring than she will now. In fact, she may end up with less. She’ll be safer and happier making the move to her new senior condominium now, and not have to worry about shoveling or worry about her failing furnace.

While there’s no question this is a challenging real estate market, it is the market we have and I can predict what it would take to sell a house now, I can’t tell you what it will look like in 6 months.

Check the Facts

The statistics you hear on the 5:00 news may or may not apply to your home. Check with a local Realtor Senior Advisor (RSA). You’ll want to know how long it takes homes like yours in your neighborhood to sell, and how much you’ll net after the sale of your home. It’s not uncommon for local statistics to look VERY different than what you hear on national television

Determine your next steps

1. Discuss the advantages and disadvantages of moving now. Remember, waiting for next spring does not guarantee a better market, it simply means you’re waiting. There's no reason to suspect we'll see anything other than more of the same.
2. Determine what you're willing to do to your home to get it ready for the market. Then, price it accordingly. This market demands that you be willing to do things to sell your home that you may not have had to do 5 years ago. You may have to spend some money to get your home ready for the market, and you won't be able to increase the price of your home because you made those improvements.  Those improvements only make your home more sellable!
3. Meet with your financial planner and decide what you'll do with the equity you'll have from your home. A good financial plan means you’ll feel confident about renting or purchasing your new home. This is a great way to treat yourself to a sense of security during a time of so much uncertainty.
4. Set a move date. Set a move date driven by what you need, and not what you expect the market to do. If the real estate agents and economists could predict the markets, they wouldn’t be working as real estate agents and economists. While we can’t predict the markets, we can predict your happiness by identifying your needs, and then acting on them.

We simply cannot predict what the future holds. We can only plan and act on the information we have today. If the information you have indicates it’s time to move, then don’t hesitate. Sit down with a Realtor Senior Advisor, develop a plan, and get moving.