Should I Stay or Sell?

The decision to buy a house and the decision to keep a house are different but closely related. Some of the same questions you had to sort through and ask yourself when buying apply to whether or not it’s time to stay or sell. Not everything applies, but if you’re wondering how to make sense of these decisions, it can help to revisit these questions, especially the 2^nd and 3^rd.

3-Fold Test to Determine Buying A House

When buying a house, three questions help to determine whether or not you’re ready: 

1. Do you qualify?
   How much will a bank let you spend?
2. What can you afford?
   How much can you or do you want to spend?
3. If you found the perfect house in the perfect place today, would you buy it?
   Are you ready to be a homeowner?

When you’re buying a house, it can be tricky to get the answers to number 1 and number 2 to line up. Sometimes you qualify for way more than you want to spend, and sometimes you are willing to spend far more than a bank will let you borrow. But, when you’re buying, and you find the sweet spot for numbers 1 and 2, then you get to answer number 3: “Am I ready, or am I nervous?” Are you willing to take on the additional responsibility of repairs, taxes, maintenance, and homeowners’ insurance?

Using these questions to decide whether to stay or sell

Once you’re in your home, you don’t have to qualify for a loan unless you need to refinance (as some homeowners do for updates and repairs). Deciding to stay or sell depends much more on the 2^nd and 3^rd questions.

Can I still afford my house payments? Jobs change, taxes and insurance tend to go up not down, and your house payment may creep up slowly over several years. If you aren’t making more money, you may be thinking about whether or not you can still afford your house.

Or, maybe can you still afford the house, but you’re getting tired of the upkeep and maintenance, or maybe it’s no longer the perfect house in the perfect place for you and your family. Did you move to a job with a longer commute? Do you need more or less space as kids grow or leave home?

Final Thoughts

Buying a house is a big decision, but as life, work, and financial situations change, you may face decisions about staying in your home or selling it.

We understand that online research can only get you so far. Sometimes, you need to talk with someone to think through things out loud or ask questions. If that’s you, we have you covered, you can call us anytime.

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