In Denver’s hot real estate market, how do I know if I can afford to love it or list it?
It is no secret our real estate market is booming, and the surging prices have many homeowners wondering, is now the time to sell and find a new pad? For some the answer is a clear YES!!! And for others an equally clear NO!!!
So how do you know? Here are some simple questions that can help give guidance to this challenging question:
1. Is your house ‘move in’ ready? Meaning, would someone looking be ready to move in without any home improvements?
2. Do you have substantial equity in your home? Is your mortgage significantly less than your selling price?
3. Are there homes available in the price point and neighborhood you are considering moving to?
If your answers are YES to these three questions, you can afford to LIST it! Go for it, you are ready for a new abode. As you get ready to put your house on the market, consider that March/April is a hot time for selling. That way you can close the deal by peak sales time in June. And, you will likely get a higher price tag using this strategy.
If your answers were NO to these questions, you are better off living in the current love shack you call home. There are lots of little DIY projects that can be done to make your house even more your home! Try to repaint inside, rearrange the living room, change around the family room, the possibilities are endless! Experience an all new look and make your current home full of love.
If your answers were a mix of YES and NO, time to do some soul searching! If you need to update parts of your house for move in ready, DO IT! The present time is the best time to have a beautiful home to live in and potentially list.
If your home is listing for close to your mortgage, it is a toss up. If you are jonesing for a new environment, and you answered yes to the other two questions, go for it! If you answered no to the other two questions, probably best to stay where you are. The cost of moving and new home fees will hardly be justified if there is no place to go. Consider a ‘facelift’ to your current home, and gearing it to be ‘move in’ ready for the next time you get an itch.
If you are struggling to find a new home for sale in your price range and neighborhood, consider selling your current home and rent until the perfect opportunity presents itself. Patience may be your ally!
These quick tips will help you start your search for what is the best choice for you. The beauty of Denver is no longer a secret, and the opportunities are endless!
Bio: Rachel Namoff is a managing Partner at Arapaho Asset Management and a leader in financial literacy. Rachel lives in Washington Park and enjoys longboarding in the summer and skiing in the winter with her two daughters.