Q & A with the Real Estate Expert

DOES A ‘BUYER’S MARKET’ MEAN WE SHOULD WAIT TO SELL?

Q: Dear Jay, My wife and I live in what is often called (and continues to be) “a nice neighborhood with good schools.”

Despite having accumulated 30 years of happy memories, we’re not attached to staying in this particular piece of real estate until we die. We’re not ready to get turned out to pasture yet, and since we have more house than we need or care to maintain, we figure it may be time to downsize. The kids say it’s a buyer’s market and advise us to hold out until it swings back in our favor. I guess we could take our time and fix or change a few things in the house. Maybe we should just resign ourselves to sticking around? – Joe S.

A: Dear Joe, While overall sales numbers nationwide seem to suggest buyers have the advantage, that doesn’t mean you can’t take advantage of the numbers of eager buyers at your disposal. With price growth and interest rates easing up, people are starting to venture into waters they once thought were beyond their depth.

Homes are not selling quickly everywhere, although in most regions sellers are getting close to if not more than the original list prices. The fact that some markets have higher supplies than they had a year or so ago hints that buyers are less willing to settle than they were when inventory was tight. Buyers are prepared to pay well for the right house in an ideal location.

Most homeowners believe it’s a good time to sell, but if you’re in no rush to put your home on the market, then you might want to go ahead and address any issues that could prevent a sale at your preferred price.

An old house is bound to need some updates and fixes. These may be as simple as a fresh coat of paint, crisped-up landscaping and new hardware, all of which you could do yourself (maybe with help). Inspect the property’s other features and determine how much work they need. Can you get away with cleaning the windows, or should you replace them? Does the house need a new furnace? Is the water heater on its last legs? How are the wiring and plumbing?

If all you need are new fixtures, make sure you get the good stuff. Going on the cheap will show in the finished product and reflect poorly on you and your real estate agent. Absolutely do not cut corners on the big jobs. Leave those to the professionals who will ensure the systems are up to code.

Whether you sell now or later is entirely up to you. If you choose the former and sell the house “as is,” then you’ll probably get substantially less than you would if you were to wait until you get it up to par. Waiting until after you’ve made necessary improvements will pay off in the end. If you want to wait for the next seller’s market, you can relax; eventually, that day will roll back around—if it hasn’t already. That might give you time to decide whether you really want to sell the house at all.