Dec. 22, 2007 - Seattle Area Home Sales

For those of you trying to decide whether or not to sell your home in 2008, you need to ask yourself this question.  If you do not sell in 2008, when will you likely sell at a later time?

While it is true that selling in 2008 may be more difficult than in the hot market of 2005 or in the next hot market, you may be totally screwed if you are waiting a short time vs. selling now.

Let's assume for a moment that we are at a point near the peak or just past the peak of that bell curve.  If it takes three years to get to the bottom of the valley and eight years past that to get above the previous peak, you may be better off selling in 2008.  Maybe that will be a fraction less than you could have gotten had you sold 12 months ago.  But it very well could be 20% more than you will eventually sell for, if you can't wait until a very long time from now. 

The expectation of market changes is that since prices have doubled, they may drop back by 30% or even 50% before the rise up again to values higher than the current peak.  It's OK to wait...but ask yourself this.  What exactly are you waiting FOR and how long can you wait for THAT?

If your current sale price is double what you paid for it, and you want to move, then DO IT!  Don't worry so much about whether you could have sold it for more several months ago.  Worry more about whether or not you will be forced to sell it for even less if you wait.

Dec. 22, 2007 - RE: Seattle Area Home Sales

Great advice, ARDELL.

I believe that the market may get worse before it gets better--and after it gets "better" it will like remain "flat" for a long time after that.

Dec. 26, 2007 - RE: Seattle Area Home Sales

Dec. 27, 2007 - RE: Seattle Area Home Sales

Home sellers can have similar behavior as a borrower waiting for the lowest mortgage rate.  It makes me think of the dog with two bones... you're completely right home owners who are considering selling and have the equity to do so, should consider it and not kick themselves for what "could have been".   

Dec. 27, 2007 - RE: Seattle Area Home Sales

Jan. 11, 2008 - RE: Seattle Area Home Sales

Sorry VR,

I'm not used to getting comments on this blog as I do most of my comment blogging at www.raincityguide.com  

I don't think it's a good time for someone to buy for pure investment reasons or because they expect the market to go up.  Those that are buying to have a home need to be exceptionally cautious and buying new, newer, remodeled is a luxury many cannot afford unless they are willing to gamble on the value.