By Joe Moshé
The summer season is almost upon us and for homeowners, the question remains: Is it the right time to sell a house?
The short answer is: yes — and no.
Over the last few years, the housing market has become increasingly competitive. The summer has been an opportune time to buy as the weather gets warmer, the sun comes out and possible buyers can view the outside, as well as the inside, of the house.
Last June, home sales prices were at $850,000 in Nassau and $700,000 in Suffolk, according to data from OneKeyMLS. This means, between the amount of money homeowners could get for their house and the home equity they have, they are sitting on a goldmine. However, there are certain factors that might scare off prospective sellers:
- Lack of inventory — The number of homes available for sale last June fell year over year by 5.3% and 4.7% in Nassau and Suffolk, respectively. As a result of fewer homes on the market, you can expect to see higher prices.
- Interest rates — Those who bought their homes ten years ago enjoyed paying a rate of 3% to 4% and home prices were nowhere near where they are today. Now, with 30-year rates at 6.48% this week, according to FreddieMac, anyone who sells their new home and buys another one will have to pay higher interest rates, meaning larger mortgage payments.
- Paying more to downsize — Older couples whose children have since moved out of the house and are looking to move into a smaller home may be in for a shock. A recent report from MovingPlace found that New York is the second-worst state to downsize, losing an average of $83,447. In hamlets such as Uniondale and Manhasset, the downsizing deficit is five times that amount. That is because the prices of two-bedroom homes have gone up, as well as their popularity.
Before you think about putting your house on the market, speak with an experienced Real Estate Agent who can help you navigate through the intricacies of selling a home.
Charles Rutenberg Realty Broker Joe Moshé is a longtime real estate entrepreneur and industry innovator who helped reshape the modern real estate brokerage model. Since establishing the family-owned company in 2006, Mr. Moshé has built a reputation for flexibility, strong compliance standards and a deep commitment to agent education and support. Under his leadership, the company became known as a forward-thinking brokerage focused on empowering agents while maintaining high professional standards throughout the industry.