Thursday, February 11, 2021 / by Vyral Marketing
A Key Mistake for First-Time Sellers to Avoid
I bought my first home in 2005 just before the peak of the market. Prices were going up, and I was tempted to sell it then for a huge profit, but I held on to it. After all, I needed a place to live, so I stayed there. Then I saw the market crash and my home’s value dropped significantly. At the same time, my family was growing, and I realized we needed a larger home so we’d have more space.
The big mistake that I made was selling my property while the market was down. I was able to buy another home, but selling my property at a deep discount was a loss. The reason it was such a monumental error is that the property has almost doubled in price since then; I could have had $100,000 of additional value to take advantage of. In the meantime, rents have also risen, so I could have taken advantage of that by turning the property into a rental and received a great positive cash flow each month—even with my mortgage being at a rate of over 6%.
"Consider all your options before you make a solid decision."
So if you’re looking to sell your home to move to another one, you may want to consider renting it and holding it for the long term. That way, your mortgage will be paid down. Plus, rents rise over time, as well as property values.
So in the end, consider all your options before you make a solid decision. I’d love to discuss what options you have, and I could even tell you what you could get if you rent your property as well as what you can expect in terms of future values if you held onto the property. Don’t hesitate to reach out to me for any questions or assistance you need!