Should I Sell a Home During Inflation
The economy is weird right now and if you’ve read the business section of any website or newspaper lately, it seems like inflation is the topic that’s on the tip of everyone’s tongue. The pandemic has upended daily life for nearly everyone, the Federal Reserve is trying to stave off even more dire conditions by lending money for next to nothing, and the unemployment situation remains precarious.
Even so, real estate has remained an unusual bright spot, because homeowners and would-be buyers were generally less affected, monetarily speaking, by the pandemic than renters.
Although the housing market has remained strong, it’s not immune from outside economic forces, including inflation.
What to consider if you want to sell your home
If you’re looking to sell your home right now, now is a great time. The only issue could be what happens on the other side of the transaction.
Cons
Selling will be easy in comparison to finding another home. When you go to purchase your next place to live, you’ll be joining the group of eager buyers competing for a limited number of available homes.
Home prices are up by more than 17 percent since last year, according to the National Association of Realtors, which means the proceeds from your sale won’t go as far when you move to make your next purchase.
Low inventory, high prices, and high rents may make it hard to find your next home.
Pros
The pandemic has shifted priorities for a lot of homebuyers, and remote work led many to seek out more space.
Although more people wanted to move, the available inventory did not keep up, which forced prices up — a great thing for sellers.
Buyers are very competitive, often offering more money than the list price and waiving contingencies that are normally part of the contract.
Many housing experts think we’re near the top of the market in terms of prices, so it’s a great time to sell overall.
