SELL OR HOLD?

I am talking about your property not your stocks and bonds. There are some similarities: house values and stock prices are subject to the basic laws of supply and demand. Buy low ans sell high is the credo in both cases. Home owners/builders and people who own stocks expect to sell their investment for more than it cost them to acquire it and make a profit.

Right now, we are witnessing a sharp increase in the availability of homes for sale and a decrease in home values. Should you sell now or wait for the market to rebound?
There is no simple answer to this question but there are several steps:
1. Know the current value of your property:
It does not matter how much you paid for your property when you bought, what matters is what it is worth in today's market. You can save yourself a lot of money by getting it appraised by a licensed Appraiser before deciding whether to sell or hold; anything short of doing this amounts to guesswork.
2. Analyze the consequences of your action:
Rather than waiting for an offer to come then reacting to it, you actually run the scenario before deciding what action to take:
a) Your appraisal is the maximum value of your property in a given market (a),
b) The balance of your current mortgage (b),
c) The expenses involved in selling your property,(listing fees, closing costs, other) (c).
Determine the outcome: a - b -c = d

3. Make your decision :
The outcome represented by the letter d can be a profit or a loss, now you can decide what action will serve you the best. The number of options available depends on your imagination and your financial position.
This outcome allows you to price your home correctly if you decide to sell, it will help you to negotiate with your lender, potential buyers, and tenants (if you decide to rent).

The decision to hold or sell is entirely yours, not your broker's or anyone else. The advantage that you have is that you are working with REALISTIC NUMBERS and that what is needed to deal with real world problems.

Market update: It has been reported that sales of new construction and existing homes fell 7.8% and 4.3% respectively.