The Covid19 pandemic destroyed the world order and shattered the US economy- the worst since the greatest depression. With or without pandemics, businesses, including real estate ventures, have to go on as usual. Since 2020’s spring, real estate has been at its knees, activities were crawling, and homeowners were starting to worry. What about 2021? Is it a good year to sell your home in Philadelphia and New Jersey?
There are many reasons why you would want to sell your home; perhaps you want to retire from city life and relocate into a quieter neighborhood or your growing family is ready to move into a bigger home. Here are some things to consider if you’re thinking of selling your home this year.
Did you buy at the right time?
A decade ago, the average price of homes was less than half of the current price in Philadelphia. So if you spent $200000 on your house in 2010, you could sell it at a current price of $ 400000, which is a good increase. However, with the average price of a home lower than usual, expect to bag less than $ 400000.
Did you lose your job in 2020?
There are many reasons which beg you to relocate from your current area. If you want to move out, you will always find a new home, but the reasons for taking this action may not always be positive.
If you are among many people who lost their jobs or business and their income stability disintegrated, it may be challenging to pay your mortgage rates; hence moving out is the only solution. This may be the main reason to sell your home fast before the mortgage interests start to accumulate.
2021 has low mortgage rates
As stated above, 2020 was the worst year for real estate agents countrywide; the stay-at-home orders coincided with business closures, and many people recorded low incomes, which also crippled mortgage rates.
Similar to other types of interests, low mortgage interest in real estate businesses in New Jersey is a welcome opportunity for home buyers. Even before the pandemic, economic experts in the USA had predicted interest rates would remain below 4%.
What will a person gain from low interests when selling his home? Though low rates fetch less income when selling a home, you can use the proceeds to get a new home but with the help of mortgages. And since the average mortgage rates are extremely low, getting a good home will cost you less in the long term.
Low rates promise affordable housing; unfortunately, the breeze won’t pass by other buyer’s noses undetected! Within a few months, most folks will be seeking to exploit this rare opportunity causing a sudden surge in demand for new homes.
In the long run, the low mortgage rates will attract people to buying homes in a market where supply is increasingly low. Taking advantage of that demand could drive your home price up, especially if there is a bidding war, which is often the case in times like these.
Why you should move quickly to sell your home
Selling your home in 2021 comes with great advantages despite the ongoing economic situation. If you bought your home over a decade ago, this is the right time to get rid of it in New Jersey since your initial investment has nearly doubled. Also, you can sell your home this year to take advantage of low mortgage rates and refinance a new home.
With your reasons to sell your home fast at hand, take some time to study the market before making a wrong move. Need help? Talk to a professional about selling your home quickly and smartly with us!