The Fort Lauderdale real estate forecast is partly sunny, with a continuation of its warming trend! However, with double-digit home value appreciation a thing of the past, some who are thinking about selling their home face the very practical question: is 2013 the right time to sell?
For homeowners who are in the position to make a profit from selling, convenience is generally the factor that influences their decision. Whether sale prices rise or fall, the cost of their next home will most likely move in the same direction.
What about those affected by the financial crisis, who will probably see some level of a net loss? What is the best way to decide whether it makes more sense to sell and take the loss, or to rent? By removing your emotions from the decision-making process, it is easier to examine the financial impacts. If you are thinking about selling your home in Fort Lauderdale area and don’t stand to make a profit, the following questions may help with your decision:
- Can I afford to take a loss? If you need cash from your current property to purchase another, waiting is likely the safest course.
- If I have to take a loss, will there be a tax advantage in 2013? If you expect to sell a business or come into any other form of extra income during this tax year, check with your CPA to evaluate your options.
- If I choose to rent my home, am I prepared to be a landlord? Are you up-to-date on applicable federal and local fair housing ordinances and tenants’ rights issues? If not, it’s practical to factor in the cost of a property management agency (usually 7 – 15%).
- Am I prepared to wait it out? If you decide to rent a Fort Lauderdale home and wait for the market to catch up to your profit goals, are you prepared to wait X years before selling? On-again, off-again selling decisions can result in high tenant turnover — which can negatively impact your bottom line.
Rent or sell your Fort Lauderdale home is a decision only you can make. In order to make an informed decision, it is important to use accurate information. Contact us to request a free, no obligation consultation on the value of your Fort Lauderdale home and the current market conditions that may affect the sale of your home.
