It is pretty evident that the housing market is erratic, and you may find it challenging to determine what will happen in a particular year. Still, there are signs you can see that will help you make significant decisions. This will be based on the current information available to you.
We are already in the first quarter of 2021, and you may be curious to find out if this is the best time to sell your home.
2021 is a profitable year for home sellers in California. Are you selling your California home? Here is why you should sell it in 2021.
1. Interest rates are expected to remain low
The effect of the pandemic reduced interest rates a lot. Many real estate professionals and economists have made predictions about mortgage interest rates. The main content of their predictions was that interest rates are expected to remain low.
As of December 10th, 2020, the interest rate was about 2.71% for a 30-year, fixed-rate mortgage. On March 5th, 2021, the average interest rate for a 50-year low mortgage is 3.29%.
The low interest rates indicate that buyers will be willing to buy your home if you put it up for sale because they will consider it an affordable mortgage. And there are not enough sellers in the market, so the demand for houses keeps increasing.
There should be a rise in interest rates as 2021 progresses. Mortgage interest rates are predicted to rise to 3.4% towards the end of the year. But they should still below, unlike that of historical averages.
It will be significant you utilize this period where interest rates are low to sell that beautiful California home of yours before it increases.
2. You have a starter home
A starter home is a house that is the first which someone or a family can afford to purchase using both savings and mortgage financing.
If you reside in a place where home prices are increasing rapidly and bidding wars is a normal thing, homes at entry-level prices bought by first-time homebuyers may probably experience a lot of buyer activity throughout the year. The entry-level prices are based on the area you reside in.
If there are not many homes that are available for sale in the market, it will help home sellers gain from desperate buyers, high prices, and a lot of purchase offers.
Are you still having second thoughts about selling your home in California? You shouldn’t because 2021 is the best year for people like you who intend to sell their homes in California. The prices of homes keep increasing, and buyers are eager to buy houses before the prices go further.
You can take advantage of the various online services that can assist you in selling your home if you need help, or you could attempt selling it yourself to save cost.
Don’t keep your property for too long; 2021 is the best year to sell that home of yours. Now is the best time to act.