I bought my home for $245,000 and put about $15,000 into it…
If I could sell right now for $255,000-$260,000, and just lose money in interest and closing costs, would it worth it for me since I could talk a builder / seller down pretty good right now on another house….
Since it is a buyer's market, I lose money selling but make it up where I buy? What's the downside to this? Plus better mortgage rates….
Why are you wanting to sell?
Is it just because you think you can get a better deal elsewhere and you think you can pull some slick financial move? If so – sounds risky and not likely to pay off.
Now, if you have some crazy mortgage that is resetting and you can't afford it and are facing foreclosure – then selling quick and cheap is probably something to look at.
You purchased your house for 245,000 have put 15,000 into it = so you have 260,000 in your house. If you sold now for 255,000 you would lose 5,000 Plus 15,3000 commission (6%) Plus additional closing costs on the old home. Since it's a buyers market – there is a good chance the buyer will want you to contribute some to their closing costs.
Then you are going to incur commission and some closing costs on the new home. You would have to purchase the new house for 40,000 below value just to break even.
Unless you have a reason to sell – I'd stay where you are. It will take a few years, but the housing market will rebound. It probably will not go back to the all time highs – but will stabilize.
You won't get any "deals" with new constructon.
New construction homes have been relatively unscathed in the mortgage crisis.
References :
I agree, the builders in my area aren't offering any special deals right now, they know the market will improve and they are just waiting it out.
Why don't you rent your house out rather than take a loss?
References :
Oregon Realtor
Even ignoring the closing and commission costs, that's essentially a zero sum game. Whatever benefit you think you'll gain from the new purchase will be taken out of your sale.
Think about it. Why would you think a buyer would be willing to buy your house for a higher price than you could spend to buy another? Why wouldn't THEY go buy the other house?
When you're buying and selling in the same market, there really is no benefit to be gained.
The lawyers and real estate agents will love you, though. You'll end up losing that money, while they gain it
References :
Why are you wanting to sell?
Is it just because you think you can get a better deal elsewhere and you think you can pull some slick financial move? If so – sounds risky and not likely to pay off.
Now, if you have some crazy mortgage that is resetting and you can't afford it and are facing foreclosure – then selling quick and cheap is probably something to look at.
You purchased your house for 245,000 have put 15,000 into it = so you have 260,000 in your house. If you sold now for 255,000 you would lose 5,000 Plus 15,3000 commission (6%) Plus additional closing costs on the old home. Since it's a buyers market – there is a good chance the buyer will want you to contribute some to their closing costs.
Then you are going to incur commission and some closing costs on the new home. You would have to purchase the new house for 40,000 below value just to break even.
Unless you have a reason to sell – I'd stay where you are. It will take a few years, but the housing market will rebound. It probably will not go back to the all time highs – but will stabilize.
References :
It only makes sense if you really have to sell now.
References :
yes, i think it does make sense to sell. anyone with cash is going to come out king. you will soon be able to buy the same house for 1/2 the price. study your markets / cities and be prepared. i think the deals will be in new contrustion that is already built or in existing homes that have motivated sellers and/or foreclosures. obviously, it will be best to get a new peice of property that a builder is auctioning . a sale is better than a foreclosure . the foreclosure will most likely be quite damaged inside have more repair. but the right price make all the difference so consider all the options.
References :
Brilliant site we will bookmark it and come back later.