Most Sellers in today's market are holding out for their price - waiting for the market to bring them what they need so they have enough of equity to put a hefty down payment on the more expensive home they've been dreaming of.
The harsh reality is this: If you do wait until the market goes up so you have enough equity to move to a higher priced property, unfortunately the price of the higher property has appreciated as well and you'll be faced with the same situation.
Here's an idea...
Sell your home today at the best price the market will bring and then go out and get a great deal on that higher priced home of your dreams.
I call this the "Sell Low, Buy Lower" model of real estate....
Pontential Seller: "I don't need to sell my home but I would if someone was willing to pay me my price."
Me: "No problem. Based on the market analysis it looks as if your home is about $50,000 overpriced for today's market."
Potential Seller: "Well...(long pause) we really don't need to be out of the house for another 6 months and we aren't really in a position where we have to sell.
Me: "So...if you don't need to sell...what had you put your home on the market in the first place?"
Potentail Seller: "Umm...I being transferred to Chicago in a few months ago but I don't really need to be there until September."
Me: "So your going to be moving to Chicago in a two months? Is that the plan?"
Potential Seller: "Yeah. ...
My job as an agent is to bring the market to my clients...and, in turn, the market brings them the price for their home.
The concept is simple enough, right? You'd be amazed by the complex games Sellers and their Agents will play to avoid confronting the simple truth....
I remember a doctor once telling me, "Joshua, it doesn't do me any good to operate on the knees of a person who's 50 pounds overweight. I can do the most perfect surgery and the fact is, that person is going to think that I'm not a very good doctor because their knees are still going to ache and they're not going to work right."
Likewise, I can do the most ingenious marketing for a Seller, but if the home is overpriced, they're going to think that I'm a lousy Agent, and I've worked too hard to gain my reputation and I'm not willing to risk it....
When I bought my first home I was clueless. So clueless, in fact, that on the advice of my Real Estate Agent, I hired a cabinet maker (long story) to inspect my home. HIs report consisted of one page with a few checkboxes and a "notes" section at the bottom with 3 lines. On the top line he wrote: "This home is in fine shape."
A year later I got my real estate license and was approached by a young home inspector who, in attempting to network and build business, offered me a free home inspection on my personal home so I could see how he operates. His report was 35 pages long - there were checkboxes, of course and a notes section at the bottom of every page. The result was not as forgiving as the first go 'round.
$38,596.23 later my home was "in fine shape".
When you buy a home...hire a professional Home Inspector. I recommend someone who comes with both CABO...