Using Market Fluctuations to your Advantage
Even in a fluctuating market, you can still take advantage of downswings as a seller, especially if you’re looking to upgrade.
I’m not just talking about the equity you`ve most likely gained since purchase, but the amount of discount (and I use that term loosely) you are "giving up" on your sale based on the downward fluctuations in the market being cancelled out by the discount you get on your upgrade purchase in that same time frame.
Just because your neighbour sold for $40k more last month doesn’t mean that you’d be taking a loss, especially if you are turning around and purchasing a bigger home at the same “downturn discount" the Market has taken from the month prior.
Even if the market continues to fluctuate for the next while, you’ve taken advantage of selling your home at the a high price point which in turn allowed you to purchase at the price point you did. Eventually that market will swing back up in your favour and you will start building equity into your new purchase, maybe even a second upgrade would be in your future!
Focusing on the micro month to month numbers will only cause you to hesitate when you should be acting accordingly.
Even in a fluctuating market, you can still take advantage of downswings as a seller, especially if you’re looking to upgrade.
I’m not just talking about the equity you’ve most likely gained since purchase, but the amount of discount (and I use that term loosely) you are “giving up” on your sale based on the downward fluctuations in the market being cancelled out by the discount you get on your upgrade purchase in that same time frame.
Just because your neighbour sold for $40k more last month doesn’t mean that you’d be taking a loss, especially if you are turning around and purchasing a bigger home at the same “downturn discount” the Market has taken from the month prior.
Even if the market continues to fluctuate for the next while, you’ve taken advantage of selling your home at the a high price point which in turn allowed you to purchase at the price point you did. Eventually that market will swing back up in your favour and you will start building equity into your new purchase, maybe even a second upgrade would be in your future!
Focusing on the micro month to month numbers will only cause you to hesitate when you should be acting accordingly.
