Over the years, we have developed a check list for Austin home owners to help decide whether trading up to a more expensive home or move to a more desirable neighborhood makes good sense. Answering “yes” to most of the following questions may be indicative that moving is the right next step for you.
#1: Have you Built up Ample Equity in Your Home?
Check your mortgage balance. Typically, if you’ve owned your home for less than 4 years, almost all your monthly payments have gone towards interest, so you have very little principal pay-down. If you have owned your home for more than 5 years, you may have significant, unrealized gains and sufficient equity accumulation to consider trading up.
#2: Has Your Income Increased or Your Financial Position Improved?
If you’re making more money, or you’ve enjoyed a financial windfall (e.g. inheritance), perhaps you can afford the higher mortgage payments or have more cash available to apply to your down payment. When you are financially comfortable, you may be ready to make the move.
#3: Have You Moved Past Your Neighborhood?
Your reasons for buying a home are probably different today than when you purchased your current home. If you need a better school for your children or a more reasonable commute, trading up may be reasonable and provide an improved quality of life.
#4: Can Your Home Not Be Modified to Accommodate Your Current Needs?
Sometimes your home isn‘t large enough and you can’t expand your home – maybe the building department will not allow it or you simply don’t want to remodel – then moving may be your best choice.
#5: Are You Comfortable Changing Homes in the Current Housing Market?
If you are in a hot market and your home is desirable, you may get top dollar. Can you sell for the money your need to take the next step? We’ll help you analyze the market in your neighborhood and answer the question.
#6: Are there Affordable Homes in the Neighborhood of Your Choice?
The goal of trading up is to improve your housing situation. Are there more desirable homes in more desirable neighborhoods that you can afford? Do a quick Austin home search to determine if there are any homes that you might like.
#7: Is there a Pay Back in Quality of Life to Exert the Time, Money and Effort?
Let’s face it selling your home; buying another home and moving are not fun. Are your financially and emotionally prepared for the long, somewhat arduous process?
Think it Might Be Time to Trade Up?
We can help make this transition as smooth as possible. Our unique home selling system is designed to sell homes faster and for more money than any other plan in Austin. When combined with our aggressive Austin Home Buyer Program, the process will be easy and painless. We’ll help you get as much money as you can on the sale of your home while saving as much as you can on your new home. Call us at (512) 827-8323 or email us at info@AustinRealEstateHomesBlog.com to schedule a no obligation consultation.