When is it a good time to sell your home?
Deciding on when to sell a home is an exercise in considering and balancing various factors, including:
- Market conditions
- Seasonality
- Personal circumstances
- Selling and buying in the same market
Market conditions
The real estate market like the share market moves up and down in market cycles.
The trick of course is to sell at the top of a market cycle. This is easier said than done. Nobody can predict future events with any degree of certainty and if you wait too long and miss the peak you can be caught in a falling market and your sale price may suffer.
Seasonality
In many areas including the Northern Beaches of Sydney demand for residential property is greater in the warmer months, and so Spring/Summer sales campaigns are popular with many sellers for that reason. Having said that whilst demand is greater in the warmer months there is also greater supply and competition, with more properties on the market.
Personal circumstances
Sometimes there is a financial necessity to sell brought on by a change in personal circumstances, such as the loss of a job, a divorce or a deceased estate. And then there are situations where needs change, such as a growing family’s need for more living space, or the empty nesters’ need for less living space.
Selling and buying in the same market
If you intend to sell and buy in the same market then it doesn’t really matter what the market is doing. For example, if you sell in a weak market whilst you might receive less than you would otherwise hope for on the sale of your home you would expect to recoup that shortfall on the purchase of your new home by buying that property for less. And conversely if you sell your home in a strong market and achieve a great price those extra dollars might then be needed to purchase your new home.
Conclusion
Whilst it may be desirable to sell at the top of a market cycle during the right months of the year, it is not always possible to do so when you take all of your personal circumstances into consideration. If you do find yourself in such circumstances all is not lost as properties that are marketed well and accurately priced sell all year round.