I go to a lot of social functions through my association with the Huron Valley Chamber of Commerce and the Milford Historical Society. At those functions and at church and elsewhere, I get the question, “So, how’s the real estate market?” It’s an innocent enough question and one that I’m always happy to discuss; but, lurking just below the surface when that question is asked is usually a second question— “And what should I do about it.”
Lots of the people that I meet socially are in the same boat—they would like to either sell a house or buy a house or do both to accommodate changes in their lives. Although we are coming out of the current recession, most are not coming out whole from the experience. Many have changed jobs or found new jobs that don’t quite pay what their old jobs paid. Many have had family changes—members leaving or new members joining and extending the family. Some have just reached that age during this period where retirement is upon them. Maybe they have even retired already, as part of the last job action that they were caught up in. In any event, many may find themselves with more house than they need or can afford; or maybe they just want to downsize, now that the kids are gone. Many have been afraid to do anything because they feared that they are under water on their mortgages. Most haven’t really looked lately; but, the last time they did, they were in trouble. Well, it’s time to look again.
Home prices have come back anywhere from 15-18% in most depressed areas year-over-year. That’s great news; but it doesn't mean that all of the value lost in the recession has been recouped. Remember that most homes lost 30-40% of their peak value in the recession. It does mean that you may have recouped enough to be OK on your mortgage—at least at or above the break even point. For many that is good enough.
So my answer to what you should do is this—call me if you live in Southeastern Michigan (or your local Realtor®) and get a Market Analysis done for your home. Find out where you stand on value in the current market. I’ll also ask you to find out exactly what you still owe on your mortgage(s). My market analysis will look at homes similar to yours that have sold recently and homes that are for sale now. I’ll provide you with a value range for your home, if it were listed today and also discuss with you anything that I see in your home that needs attention before you should list it. Of course there’s no obligation to list your home and the market analysis is free; so what have you got to lose? Find out today if you can afford to sell and move on with life.
