Why A Looming Recession May Mean Its Time To Sell

A man stands atop a red line and tries to predict a future recession

With many economists and experts predicted a recession soon, many home sellers are wondering if now is the time to sell their home. It can be intimidating to think about, but many economic signals indicate that it could be a serious possibility in the next year to year and a half. If you’re on the fence about selling your home, here are a few factors to take into consideration.

What type of home do you own?

A recent study by the real estate brokerage group Redfin recently conducted a study to determine which homes were most likely to lose value in a recession. The conclusion was that condos and townhomes lose the most value overall, while single-family and two-story homes generally kept the most value. If you have a condo or townhome, your best financial option may be to sell quickly, before a recession torpedoes the value of your home.

What’s your current financial situation like?

If you’re strapped for cash or need to sell your home fast, a cash sale may be the best decision for you. In a recession, the housing market becomes what is known as a buyer’s market. This simply means that buyers have more sway in home buying negotiations since fewer people will be looking to buy a home. In this scenario, getting the value you want for your home will be even more difficult, and you may have to take significantly less money in order to land a sale.

What are your future plans?

People sell homes for a number of reasons. It may be their livelihood, or it could be a home they inherited from a loved one. A new job opportunity can also mean it’s time to sell, so it’s best to closely evaluate your situation before a big decision. If you anticipate a big move in your future, then a quick cash sale may best set you up for success.

El Paso’s Best Cash Buyers

El Paso’s real estate market continues to grow in size and value, and El Paso Cash Home Buyers expands with it. If you’re looking for the most cash return for your home, contact us to have money in your hand in as little as seven days!

The Perils of a Traditional Home Sale 

A massive decline in property values shown by wooden houses and a downward arrow overhead

If you’re not sure whether you should sell your home the traditional way, first read up on some of the issues that may arise from a traditional home sale.

How a Traditional Home Sale Works

Remodeling

Contractor gluing wallpapers onto a white background during a home renovation project

A traditional home sale can take months to years, depending on your location, the condition of your home, asking price, neighborhood that you reside in, and a plethora of other factors. The first step in a traditional home sale is often the remodeling period, which can take weeks or even months to complete and will bleed your wallet dry of thousands of dollars in the process. In some areas, older and stagnant homes can stay on the market for several years or even a decade, which can make a remodel a necessity to get your home sold. El Paso Cash Home Buyers allows you to skip this expensive step, since we buy your home as is.

Home on the Market

For sale sign in front of home waiting to be sold in a slow housing market

After the lengthy remodeling process, now the home has to sit on the housing market and wait for potential buyers to inquire. This can lengthen the home buying process by several months depending on where you live, and this can eat up more of your money since you have to maintain the home while it sits on the market. If you needed a quick turnaround for your property, this could be one of the worst decisions you could make for achieving that goal. If you find yourself in this situation, don’t hesitate to call us—we can have your home sold ad cash in your hand in as little as seven days!

Signing the Contract

Real estate agent instructing potential homeowner on how to sign the contract for the new house

 

Once a contract is finally agreed to between you and a buyer, you would think that you could wipe your hands clean of your old home, get your money and move on, right? Nope! The process is still not over. The buyer still needs to get a mortgage worked out by a mortgage company, and will likely have to get the home professionally inspected as well. This can add 30 to 90 days to the already several month or several year-long process, and this assumes that the buyer doesn’t change his mind halfway through and you have to start the process all over again. In a cash buyer sale, you can have money for your home in as little as a week, which means having cash to use right away for all your needs.

Hidden Fees and Commission

A hidden fee is revealed behind a light blue wallpaper

Once you finally reach a final deal on the home and all aspects of the home selling process have been finalized, you’ll still have a mountain of headaches from fees, taxes, and other financial surprises at the close of the sale. Fees may come from the realtor, title company, or attorney that helped close the sale, and that doesn’t even factor in the commission that the realtor may take from the sale, which can shave several thousand dollars off the money you recieve. In the end, the home selling process is typically a major financial and mental burden of the seller, and can be potentially ruinous if you need money in a short amount of time.

Skip the Hassle with El Paso Cash Home Buyers

The traditional home buying process can be a hassle. Call us today for quick cash for your home!