9-Reasons for Buying First, Selling Second
Why are Loveland Residents Buying BEFORE They Sell?
Why are Loveland residents buying before they sell? Colorado’s real estate market is seeing monumental & epic results from stimulating the economy. Homes are selling in record-breaking times; interest rates are STILL at an all-time low and homeowners are bidding hundreds of thousands of dollars over list prices. The last few months have been astounding for our economic growth. All that being said, has many sellers asking WHY Loveland residents are buying before they sell. Read on to learn 9-reasons for buying first, selling second.
Real Estate Closings Completing in 42-Days
It is not such a bad idea to buy before you sell. Most times, property owners are relying on upgrading or downsizing in a short amount of time. On average, real estate closings are completing within 42-days. Therefore, buying your next home to meet deadlines is almost a must.
Loveland Residents are Buying Before Selling to Avoid Renting
Owning a vacation or second home is ideal while transitioning for those who have that property. Others may be better off purchasing a condo or residence prior to selling their current home to meet their needs. Loveland residents are buying before they sell to avoid renting or rooming with friends and family. These are HUGE reasons to consider this as an alternative option.
AirBNB or Month-to-Month Might Be a Solution
Landlord and management companies typically want a long-term commitment when leasing. They offer incentives such big monthly discounts for signing an 18-month term. This might not be the buyer’s best scenario if the next home closes quickly. You will not want to move multiple times. A solution could be AirBnB apartments or month-to-month rentals rather than getting stuck into a long-term obligation.
Rent is a BIG Pain in the ‘Keister’
Rent is a big pain in the ‘Keister’ too. The average rent in Loveland, Colorado is $1600, which really adds up after 12-months. Not to mention, the person benefitting from a lease is the landlord. A good tax accountant can find loopholes or ways to write-off your rent. But, it won’t be as significant as writing off a mortgage. This is a very important aspect to buying first, selling second.
Buying with Interest Rates At All Time LOW
If you want to invest in a vacation property or retirement home, it is logical to buy first to pay down your loan. Essentially, vacation properties make wonderful tax write-offs where you can leverage the money spent. Not to mention, ‘Lovelanders’ are happiest when not paying a mortgage. Never, has there been a better time to look toward your future; where buying before you sell makes sense. Interest rates alone are enough incentive for most people to make that move, buying a dream home.
Never Mind the Housing Shortage, Buy First Before You Sell
Did you hear about the housing shortage in our market? Most clients stay in touch, sharing their goals of upgrading or downsizing homes where there isn’t an issue. When working closely with homeowners finding properties is easy. Customers are happy to reveal the type of house or condo they are seeking. Finding just that home isn’t a hassle and negotiation becomes less stressful. The goal of a good agent is to solve problems. While the rest of Colorado may think there is a housing shortage, there isn’t one around here.
Strange Times Lead to Issues for Some Loveland Residents
Regardless, we are living in some strange times. However, demand is powerful right now where buyers are constantly on the move seeking solutions to their livelihood. With all the stress a move can cause; no-pressure form of sales is the only answer. With an easy approach, buyers are snatching up properties prior to selling to stay ahead of the game. Even though capital gains or qualifying for two mortgages can lead to issues, each home sale is handled with a problem solving approach. Loveland residents are making conscious decisions to buy first, sell after, because they can.
Understand Your Sale Profit When Selling a Home
Sellers move to a home because they couldn’t pass up the deal. These individuals understand their sale profit long before the home goes up for sale. Concessions make it tricky to estimate earnings. Shopping with a set budget is logical. Many of the previous owners are claiming now is the best time to jump into another property as they are profiting from equity. In addition, rates are unbelievable where many owners are winning in multiple ways.
“With the incredible offers coming in, we sold our home for close to one-million dollars. My husband and I can’t imagine what would have happened had we waited.” ~ Diane K.
In most cases, property owners do not want to move multiple times. It doesn’t matter who you are, moving is always a burden. However, if you want to avoid moving more than twice, it makes more sense to buy first then sell your home where you currently live. Just picture all the additional work that goes along with packing and unpacking. Folks, the BIGGEST reason homeowners are buying their next home before selling the first is to avoid moving altogether. No one likes to move. However, the incentives and benefits are enough to say “Honey, call the movers!”
Selling a Home Prior to Buying is Good for Equity
Selling a home prior to buying another is beneficial; when looking to use the equity. However, if you aren’t in a hurry or anxious about using that nest egg, then take the plunge and start shopping. With so many reasons to sell at this time, it is hard to turn down the opportunities.
Avoid Hundreds of Bids; Hire a Reputable Agent or REALTOR®
Taking that next step is important. However, there is no telling how much longer the real estate market will continue with this incredible and profitable ride. I recommend speaking with a reputable agent who can give insight on pre-listings to avoid getting out bid and/or sifting through hundreds of offers. Did I say hundreds? Yes. HUNDREDS!
With the right agent who is constantly connecting with sold clients, you can be on the fast-track to finding your next home. Imagine how many Loveland properties & owners hit this advantageous & volatile market. It’s your choice to dive in while the water is still warm.
To find out what your home is worth, please visit: What’s My Home Worth – Real Estate In Northern Colorado
To contact John Feeney dial: 970-231-4172 or email jfeeney@c3-re.com
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