Health & Fitness
A down market is the best time to trade up!
There are several reasons why so many Woodstock homeowners are taking advantage of this market to trade up to a home they could have only dreamt of owning in 2007.
There are several reasons why so many Woodstock homeowners are taking advantage of this market to trade up to a home they could have only dreamt of owning in 2007. Some of these reasons are as follows:
The gap between what you can sell for and buy for is narrowing.
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Your home is likely more show ready and able to attract a higher percentage of market value, while the home you would consider buying may be “distressed”, vacant and/or unfurnished. This value gap is further closed because the more expensive foreclosures are suffering a larger percentage reduction because of the lack of available buyers in the higher price points. In other words, the more expensive the home, the more they have to be discounted to attract fewer buyers.
Find out what's happening in Woodstock-Towne Lakewith free, real-time updates from Patch.
The ride up in value will be much more rewarding in a home that took a larger fall coming down.
Here’s something to think about. A home in Woodstock recently sold for $410,000. This home sold in 1999 for $692,700. When home prices recover, is it even possible for YOUR home to appreciate $280,000 or more? This was a lovely home but was “distressed” and had to be sold. Could you stomach selling your home for $40,000 less than it was worth at the end of 2007 if you could replace it with a home that could appreciate $100k or more? More wealth will be created when the housing market recovers than in any other time in our history.
Today’s low interest rates are putting more expensive homes within your reach.
Consider a homeowner with a $200,000 mortgage at 6% interest on a home that is now worth $150,000. This same homeowner can buy a $250,000 home for about the same payment at today’s rates of 3.25%. A $250,000 home in this market is quite an upgrade for the homeowner that spent $200,000 before 2007. Also, how nice would it be to lock in a historically low interest rate on a home that would meet or exceed your present and future needs.
The conditions are ideal for trading up if you have the equity to do it. Visit KurtandSheila.com for a comparative market analysis of your home to see if you can afford to sell now and take advantage of this trade up opportunity.
