In southern California, it can often be challenging to differentiate between what your home is actually worth on the market, and just what real estate agents with stars in their eyes would tell you. These two numbers are rarely going to be the same, and sometimes, you need to make some difficult choices about your sale process.
The Most Money
The way it usually works is there’s a triangle in anything that concerns logistics. This triangle, which includes cheapness, quickness, and effectiveness, is universal in business, and this includes real estate. Even when you’re simply out to sell your home, and don’t want to become a “pro” investor in properties, this still holds true.
If you want to hold out for the highest amount of money, even the white, hot California market isn’t enough to guarantee you’ll get a rapid sale. After all, pre-marketing is a factor before your property even goes on the market, and so is the amount of time you’re going to be stuck with your current property. When time is of the essence, you may need to sacrifice the highest price, just to be out of it sooner.
The Least Time
There’s a lot that goes into determining how long your time horizon is going to be. On the one hand, you may still owe something on your property, and monthly payments don’t stop just because you’re working to sell the place. Even when you own the property outright, there are still utilities, property taxes, maintenance, and miscellaneous costs you’re going to have to keep on dealing with.
Perhaps your home would be on the market for several months, and you’re trying to relocate your family, your career, and everything else in your life during that time. The highest amount of money you’d ultimately receive might actually be worth less to you than the time you’re putting in, to say nothing of having to spend more in the interim without getting anything for these additional costs.
At some point, you’re going to have to decide whether some more money is going to be worth a lot of additional time and hardship. This isn’t a choice to make lightly, as you can still do well and get on with your life even if you don’t get the top of the market price.
Beyond the Hype
One thing that many people never talk about is escrow. In many cases, escrow tacks on extra fees after the fact, forcing you back into the transaction even after you’ve sold your home. This comes along with all of the closing costs that normally come in, even after you’ve waited around for a buyer to come through.
When a real estate agent works to sell your property, they are going to tell you what you want to hear because they want your business. Often, working with professional caliber socal home buyers is just the easier solution.
The post The Fastest or the Most Profitable Sale? appeared first on Clever Dude Personal Finance & Money.