Does selling and buying a bigger house in this market make sense

??? Below are some questions to ask yourself whether you should move or moving up makes sense.  ???

1.  Did you recently receive a large amount of money to put down on the house or will you get enough out of the sale of your current home?  Has your or your spouses income increased to cover increased mortgage payment and taxes on a bigger home?
2.  How much equity do you have in your home? Use the Net proceeds form to figure out home much you will walk away from the closing with.   Ask your local Realtor to do a comparative market analysis (CMA) to help you determine your selling price.
3.  Are you looking for a better school system, a easier or shorter commute to work, or do you need more room for an addition to the family?  Are you looking for a different layout or just a more modern or updated home?  Are you looking to get the house you have always wanted?
4.  Are you looking for a better school system, a easier or shorter commute to work, or do you need more room for an addition to the family?  Are you looking for a different layout or just a more modern or updated home?  Are you looking to get the house you have always wanted?
5.  How is the Metro Detroit home market? If it’s a buyers market you may lose on the sale of your house but make it up on the purchase of the new house.  Let’s put it this way.  If you lose on 30% on your home you should be able to get that same percentage on another home.

  • When you buy up you will make out because 30% loss on a $200,000 will be more than offset on a $400,000 home.
  • If you are making a lateral move it should be making up the same amount that you lost.
 6..  How are interest rates? Are interest rates lower than the one you have now?  If so you may be able to afford more house just because of the interest rates.

In any market you should buy for the long term.  Don’t ever bank on making a killing on your home sale.  Can you afford to keep your home if you retire?  For that matter can you truly afford the new taxes and mortgage payment on your new Oakland County Home, Wayne county home, or Livingston county home.  Will you be able to afford the higher utility payments and maintenance costs.  I want you to live in your new Michigan home for many years to come and not lose it in foreclosure or become “house poor”.  So think over carefully what mortgage payment you can afford,  most lenders will be able to lend you more than your can afford.

Whatever you decide I wish you the best.  If decide to move up give me a call and I’ll work hard to help find you some good bargains to choose from.    Russ Ravary Your Metro Detroit Realtor

If you want to check out what is for sale in your city feel free to go to my VIP Metro Detroit homes for sale search

My Michigan tidbit of the day is:   Michigan firsts

Michigan’s “bottle bill,” enacted in 1976, was the first in the nation to provide for a 10-cent deposit for recyclable containers. Michigan still has the highest container refund in the United States.

1866 – Vernors ginger ale became the first soda pop made in the United States by James Vernor and Company, Detroit. Mr. Vernor concocted and sold his ginger ale at his drug store.

1896 – The nation’s first carpet sweeper was invented and patented by Melville R. Bissell of Grand Rapids.

 

Posted in Buyer Tips, Seller Tips

Search Homes

Untitled

 

The data relating to real estate for sale on this website comes in part from the IDX program of Realcomp. Real estate listings held by brokerage firms other than Keller Williams Realty Commerce Market Center are marked with the IDX logo and detailed information about them includes the name of the listing brokers.


All information deemed reliable but not guaranteed and should be independently verified. All properties are subject to prior sale, change or withdrawal. Neither listing broker(s) nor Keller Williams Realty Commerce Market Center shall be responsible for any typographical errors, misinformation, misprints and shall be held totally harmless. IDX information is provided exclusively for consumers' personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing.