5 Reasons to Sell Your Home Now!

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Since 2006, the housing market has taken a downward spiral in home prices and estimate of units sold. There are many reasons why we are in this unfortunate situation such as job loss, foreclosures, short sales, lending guidelines, etc. Experts are predicting that we have not seen the worst yet! We have not seen the lowest of our housing market. If you are a home seller, and are reasoning about selling in the next 4-5 years, now is the time. Here are 5 reasons to sell your home now:

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1. Home Prices are projected to drop 5-10% this year and maybe continue to depreciate over the next 5 years. Home sellers are losing money every single day due to depreciation. Why are homes depreciating? That takes us to the #2 reason you need to sell now.

2. Foreclosures and Short Sales are dominating our housing market today. On average, a short sale is selling for 20% less than a non-distressed home wholesaler and a foreclosure is selling for 40% less. The more foreclosures and short sales that continue to enter our real estate market, the more regular home sellers will be forced to cut their listing price to compete.

3. The Shadow list of not yet foreclosed homes will soon be released to our active market. We may have a flood of foreclosures filling our market by Summer/Fall of this year. What is the reason? The best real estate market as far as sold units in the history of the many Listing service was June of 2006. The majority of those loans written were sub prime mortgages or 5 Year Arms (Adjustable Rate Mortgages). These 5 year Arms reset in June 2011. This will bring a new wave of foreclosures, which will negatively influence home sellers.

4. Interest Rates are rising. As interest rates rise, a buyer's affordability decreases. Also, minimum reputation scores are rising. Less and less people are qualifying to buy homes.

5. You may be a Buyer too! If you are able to sell your home in this tough market, you can also look on the flip side. There may never be a best time to buy real estate! Interest rates are still low, there is a high list of homes to select from, there are numerous deals to be found and most sellers are in a position to negotiate.

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