If you want to sell your home and move elsewhere, you may be forgiven for thinking that now is the right time to do it. The economy is slowly getting back on track, and life is slowly starting to seem better. But that does not mean the housing market is back to where it once was, so what should you do about it? Should you sell up, or should you hold for now, and hope to see an improvement sometime soon? We’re going to take a look at that right now.
An increase in wages
At the time of writing, we have seen an increase in wages, which means people have more money in their pockets. This means that more people will have more money to buy a home, and that could be good for the market. We have also seen an increase in house prices, which could potentially be great news for anyone who is looking to sell up. Unfortunately, a rise in house prices will mean that those who would have ordinarily been able to afford to buy a home for the first time, or for the fifth time, may not be able to now. This is one of the downsides of a rise in house prices, it leaves people stuck in rented accommodation, or with their parents for a little while longer.
How the construction industry affects house prices
Unfortunately, it seems that the construction industry is likely to put the last nail in the coffin, so to speak. This is because the industry seems to be having a hard time catching up with the demand for new homes. So how can this affect your home? The fact of the matter is that house prices could continue to rise as the demand for homes grows, which could make them unaffordable for many.
At the time of writing, and at the end of my street is a building site. The site was acquired to build 50 homes, but only 25 of them have been built. This is because not all of those 25 homes have sold as yet. As soon as they are, the over half of the development will go ahead, but prices are high, and it seems that no-one wants to part with their cash just yet.
When prices are high, or at least a little higher, this may well mean that your home could sell for more than it previously sold, but at the same time it could mean that any home you go on to buy will cost more too. If you’re looking to move into a smaller property, then you could find that it’s the right time to do it, as long as you pay a lower price for that property.
Is it worth the risk?
You need to ask yourself it selling up is worth the risk, especially if you’re looking to buy another property. If you are very keen on selling up, then you may have to put up with the price that your current home sells at, and the cost of the one you’re about to buy.
If you’re simply looking to sell your home, and you have no wish to buy another one, then now could be a good time. Prices have been increasing, and they look like they will continue to increase a little as the year moves on. It could be worth your while waiting a few months and hoping that you get 1-2% more for your home, but it isn’t guaranteed that you will. If you don’t need to buy another home, then now could be the right time to sell yours.
What does the future hold?
At the time of writing, it looks as though house prices will continue to rise, at least until the end of 2016. 2017 may see a change in house prices if the construction industry is able to catch up, but again, that could affect anyone selling their home. This means that the future is potentially uncertain if you’re looking to sell your home. All we can do is play the housing market by ear, and see what it brings us. This means that if you want to take a chance by selling your home, you should go ahead and do that. If on the other hand, you would like to wait, then you would be wise to keep a close eye on the property markets and see what occurs. There may be a better time for you to sell your home, but that better time may or may not happen any time soon.
At the end of the day, the decision is up to you, you can choose to sell your home, or you can hold off, and wait for a better time to come. We cannot tell what the future of the property market will hold, all we can do is guess, and then see what happens.