If you haven’t given much thought to selling your home this year, you might want to think again.
Real estate information company Trulia commissioned a survey of more than 2,000 U.S. adults, conducted by Harris Poll, to get a feel for expectations and plans for housing and homeownership in 2018. The survey results show 31 percent of respondents expect 2018 to be a better year for selling a home than 2017 – and just 14 percent expect it to be worse.
Zillow echoes these sentiments in its predictions for 2018, expecting inventory shortages to continue to drive the housing market. With too few homes on the market to meet buyer demand, your house price will increase.
If you’re a homeowner and have been thinking about selling , here are four reasons why selling in the next 12 months could be beneﬁcial.
Buyers are chomping at the bit. Eager homebuyers have been frustrated over the last few years, experiencing low inventory in most major markets , Interest rates are low … for now. For both the buyer of your home and your own next home purchase, low interest rates can help make a transaction possible. In the second week of January, the average interest rate for a 30-year fixed-rate mortgage was 4.17 percent, according to NerdWallet. Mortgage rate averages reached more than 4.4 percent in 2017, but closed the year out just below the current rate.
While mortgage rates aren’t expected to spike signiﬁcantly this year, they are forecast to increase overall.
The Mortgage Bankers Association predicts 30-year ﬁxed-rate mortgages will rise to 4.6 percent this year, and it expects rates to rise to 5 percent in 2019 and 5.3 percent in 2020.
You can move to ﬁnd cheaper property taxes. The passing of the Tax Cuts and Jobs Act at the end of 2017 means a few signiﬁcant home-related tax policy changes for the 2018 calendar year: Mortgage interest rates are only deductible up to $750,000 in debt and property taxes are only deductible up to $10,000.
Renovations today won’t come back in full next year. Zillow’s 2018 predictions are that homeowners will focus on renovations and updates this year rather than selling. If you remodel this year, be sure it’s an update because it’s unlikely that renovations will have a 100 percent return when it comes time to sell.
Take advantage of the seller’s market this year! Don’t take the tight inventory for granted. Buyers will still expect sellers to prepare a property for sale. While they may be willing to overlook a dated kitchen, it’s the clutter , deferred maintenance and lack of curb appeal that can still kill a deal. Visit realtor.com for further details.
Please contact Ronald Lewis to obtain a Market Analysis of your home at msinglwood@ aol.com, 626.398.3500, or westlynrealtors.com.
[Ronald Lewis, Realtor, Cal BRE 01832658, Westlyn Realtors, 1199 N Lake Avenue, Pasadena, CA 91104.]