Your first home – your starter home, which you scrimped and saved to buy – will always hold a special place in your heart. But is it time to sell your starter home and move on with your life? How do you know if that time is now? If you’ve been thinking about selling your starter home and upgrading, you need to read these 5 signs – otherwise, you could be missing a great opportunity. If you are a homeowner who lives in Babylon or any of the surrounding communities, here are 5 signs it is time to sell your starter home and look for a bigger home
1. Your and/or Your Family’s Needs Are Different
If you own a home in Babylon or any of the surrounding communities, one sure sign that it’s time to sell your starter home and look for a bigger home is when your needs change. Most often this means a change in your family structure, but it could also be a change in financial circumstances or other lifestyle factors.
You would need to sell your starter home and look for a bigger home in Babylon or any of the surrounding communities, if you found yourself in a situation such as this: “You purchased a three-bedroom starter home eight years ago when you were single and dating. Now you’re married and have three children. While you could technically have two children share a room, you know that the space is starting to feel cramped.
Another example is one in which you have enough bedrooms for you and the kids, but now you and your spouse find yourselves working primarily from home. In this situation, you’ve likely had to convert a bedroom into a dedicated home office – so now you’re a bedroom short. A solution many homeowners in Babylon and the surrounding areas are turning to is to sell their home and upgrade to a larger one with more bedrooms.
2. You Can Actually Afford It
Another one of the top signs that it’s time to sell your starter home is when you can comfortably afford it. Maybe your income has increased substantially or perhaps you’ve gone from a single-income to a dual-income household. In either case it might be a good move to sell and buy a bigger home in Babylon or any of the surrounding communities. Gaining more space has become not only practical but essential.
If this is the resolution you chose, you should move forward, conscious of a few very important factors. Your mortgage payments may increase as well as your property taxes, homeowner’s insurance and utilities. If you are moving in the direction of purchasing a bigger home, you should consult your local agent who sells homes in Babylon or any of the surrounding communities, to find out about the costs associated with an upgrade to an area home. To find out more, call (631) 357-4819.
3. The Home Has Appreciated or Needs Major Upgrades and/or Repairs
If your property in Babylon or any of the surrounding communities, has appreciated significantly, that’s often an indication that you should sell your starter home and look for a bigger home . It is of great benefit to a homeowner to sell in a “seller’s market”. If you happened to have bought your starter home in a neighborhood that’s appreciated significantly since your purchase, it may be smart to sell the home and capitalize on current market conditions. The equity gained will translate to a higher profit which can then be put into the purchase of that bigger home.
Another reason to sell your starter home is if the home is in need of major upgrades and/or repairs. If you find that you need to install a big ticket item such as a new HVAC unit or replacing the roof, selling in an “as is” condition now will allow you to capitalize on the current “low supply, high demand” market. It would make better financial sense to sell the house now. You will more likely get more money for the home now that if were in a more balanced market. It will also relieve you of the stress of having to figure out where to find tens of thousands of dollars to pump into those upgrades and repairs.
4. You Want to Build Wealth
The fact that you’re ready to start building more wealth may be a sign that it’s time to sell. If you sell your starter home and buy a bigger home in Babylon or any of the surrounding communities, you can begin building wealth.
First, when you upgrade to a bigger and better home, you will be able to begin building equity in that more valuable home. In addition, as the home appreciates in value, your equity will continue to grow.
Another thing to consider is… if you can swing it, if your debt-to-income ratio and your financial standing allows, you might even keep your starter home and rent it out. This will provide you with another income stream to help you build wealth. Passive, recurring income is one of the top ways to build wealth.
5. The Market Conditions Are Favorable
Finally, you should sell your starter home when market conditions are favorable. For example, in Babylon and the surrounding communities right now, interest rates are low and the local market is hot! Taking advantage of the current market situation and selling your starter home makes economic sense. If you were planning to move to a less expensive part of the country soon, and you own a home in Babylon or any of the surrounding communities, you will most definitely want to consider selling your house now.
So, is it time to sell your starter home and look for a bigger home in Babylon or any of the surrounding communities? Only you can make that decision, but your local real estate agent who specializes in home sales in Babylon and the surrounding communities can provide a lot of valuable guidance. Your local agent will know exactly what’s going on in the local market and will be able to guide you so that you can make the right decision for you and your family. Timing is key! Don’t miss out! I am your local real estate agent, experienced in selling homes in Babylon and all of the surrounding communities. Contact me today. Send me a message or give me a call at (631) 357-4819.
Stay safe and well.