Are you considering selling your home and upgrading to something bigger? If so, should you do that now in winter or wait until the spring?
First, I want to give you an update on how our market is doing. Inventory levels are still really low here in Orange County. We’re currently looking at two month’s worth. That means if no new homes are listed, based on how fast homes are selling now, we’d have nothing left on the market in two months. This puts us in a strong seller’s market.
Additionally, prices are still going up. Despite many people’s suspicions about how the election would affect prices, we’re still seeing them rise. Interest rates, unfortunately, are also on the rise. If you’re a buyer looking for the lowest possible monthly payment, the sooner you buy, the better your monthly payment is gong to be.
If you’re looking to sell your current home and buy something bigger, the best time to list your current home is in January or early February. This is because inventory levels in January, February, and March stay pretty low. When inventory levels are low, demand is high. As a homeowner, you want high demand for your home so you can get top dollar for it. In April and May, inventory significantly increases, so if you wait until the spring market to list your home, you’re going to have a lot more competition and a lot less demand.
The reason why it’s a great idea to list your home in January or very early February is because it takes a few weeks to get your home ready to sell, and it takes a certain amount of time to market your property and show it to different buyers. In addition, you have to deal with the escrow period, which can take anywhere from four to six weeks.
In a perfect world, if you list your home in mid- to late-January, you’ll be in a position to buy at the very end of March or early April—just in time for the inventory surge. Not only have you already sold your home for a record price because you sold it during a time when inventory was low, but now that you’re buying in April, inventory has increased and given you more options and less demand to deal with. As a buyer, you’re going to able to buy your home at a much better price.
If you have any questions about a specific scenario or a video idea you’d like me to cover in the future, please don’t hesitate to reach out to me. I’d love to hear from you. Until then, happy selling!