Is it a good time to sell your house? #CashNews.co

Is now a good time to sell your house?

Maybe.

That’s not an evasive answer between a hard yes and a hard no. Rather, it’s an acknowledgment that the best time for you to sell might not be the best time for your friends, family members, or neighbors to sell. For you — and them — the best time is often more about personal circumstances than trying to time the housing market.

But suppose you’re on the fence and want to factor in market conditions before you decide. What then? Is it a good time to sell a house or not?

Learn more: How to sell your house without a Realtor

Seller’s market vs. buyer’s market: What’s the difference?

Whether it’s a good time to sell partly depends on housing market cycles, which create what are known as “seller’s markets” and “buyer’s markets.”

In a seller’s market, homes sell quickly, usually with multiple offers that go higher than the seller’s asking price.

In a buyer’s market, homes sell more slowly, and buyers can negotiate lower prices and more favorable terms, such as their choice of closing date. The cost of selling a house might be higher in a buyer’s market, too.

If your local market is currently in the seller’s part of the cycle, then yes, it may be a good time to sell. But there’s a catch: A good time to sell is, by definition, not a good time to buy a house. If you’re planning to sell one home and buy another at the same time, the advantages of selling may be canceled out by the disadvantages of buying. That brings the decision back to your personal circumstances: When do you want to sell?

Read more: I received a text asking to buy my house — Is it legit or a scam?

How to identify a seller’s market

Figuring out whether your local housing market is currently a seller’s market or a buyer’s market isn’t difficult. Here are a few factors you can track to determine market conditions:

• Home price appreciation. Strong gains in home valuations typically signal a seller’s market. You can find out whether housing values are rising (or falling) by researching online or asking a real estate agent for this information.

• Days on the market. Days on the market, sometimes abbreviated as DOM, measures how quickly homes are selling after they’re listed for sale. Fast sales, indicated by short DOMs, typically signal a seller’s market. Long DOMs mean listings are lingering, which signals a buyer’s market.

• Sold prices that exceed asking prices. If one house in your area sells for more than the seller’s asking price, that doesn’t necessarily mean a seller’s market exists. If multiple homes sell for “over asking,” that may well indicate a seller’s market. When homes sell for “under asking,” you could be in a buyer’s market.

Remember that market conditions aren’t the only indicator of whether it’s a good time for you to sell your house. Even if home values, DOMs, and sales prices all signal a seller’s market, your personal circumstances may still be more important than housing market conditions. When it comes to selling your home, trying to maximize your sale by timing the market may not be in your best interest.

Learn more: How to sell when you’re underwater on your mortgage

Is it a good time to sell a house? Frequently asked questions (FAQs)

When is the best time of the year to sell a house?

While housing market conditions can vary from one market to the next, there are two weeks during the year when sellers may want to list their homes to get better results. According to a Zillow study from 2021, to sell a house fast, the ideal weeks are March 11 and March 18. For the highest price, the week to aim for is April 22. These weeks are early enough in the year to maximize the annual spring home-buying season. In general, it’s good to sell before school starts back up for the fall semester.

When is the hardest time of the year to sell a house?

Although local housing market conditions vary depending on where you live, there are two weeks when statistically speaking, sellers may want to avoid listing their home if they’re hoping for a fast sale at a higher price. Those two weeks are Oct. 14 and Oct. 21, when the spring home-buying season has ended and schools are back in session.

Should I sell my house now or wait until 2025?

The right time to sell your house often depends on your life circumstances — you may not have the option to wait until 2025. But if you do, waiting until next year might not be a bad idea. Mortgage rates should decrease in 2025, which will probably make the market more competitive and result in a better deal for you. But if you’re trying to buy a house along with selling, remember the same applies to you: You can benefit from buying a home with a lower rate, but you might face more competition.

This article was edited by Laura Grace Tarpley, CEPF