Welcome back dear readers of Financial Empires, today in our usual article we will talk about a topic that is particularly close to the heart of Italian investors, namely whether it is worthwhile to sell a house today. This is a question that many are asking, given that the real estate market is booming in this period. Through our practical guide we will try to understand when is the best time to sell a house.
Is it worth selling a house today?
Let’s start by doing an analysis on today’s real estate market to understand how to deal with a possible investment or whether to sell a house in Italy today.
To take stock of this situation, we must immediately start from an assumption:
The economic crisis we are experiencing in recent months has heavily affected the performance of the real estate market
Given that for this reason the houses for sale have increased dramatically, especially to meet the owners’ need for liquidity and, at the same time, the demand has reduced considerably, because banks are increasingly struggling to provide mortgages and when they do, the badgers are mind-boggling.
This is one of the triggers that have caused a freeze in the market and consequently, a whirlwind drop in property prices.
For a few years, the sale of houses was completely at a standstill, but now things are evolving.
So, to the question above, if it is worthwhile to sell a house today or to rent, we can say that selling is possible and also in a relatively short time.
Avoid running into mistakes
It is normal for these questions to arise before selling a property:
- When it is worthwhile to sell a house
- If it is worth buying a house or keeping the money
That’s why you have to follow other tips to avoid running into too many mistakes, given that the real estate market is recovering.
You can sell your house without selling out
But we would like to point out immediately that we are very far from the prices and valuations that could be found up to ten years ago, when we were inside a sort of real estate bubble that greatly favored sellers.
Today, however, buying a house is an operation that can be done at affordable prices and, therefore, is particularly convenient.
We can also say that, if necessary, it is possible to sell without selling off your property, as long as you are able to set a fair price, an essential condition for finding buyers willing to buy the asset you want to monetize.
On the contrary, there is a risk of having an income that is not adequate to the cadastral value of the house in question.
As we said earlier, this specific market has had a significant rise in the last year and is currently stable, as evidenced by a series of surveys on the housing market in Italy, commissioned by industry experts to a well-known research company.
When is it convenient to sell a house?
Is selling a house worth it today? Good question!
Let’s start by saying that to evaluate the best time to sell a house, you must first understand the real reason why you want to do it:
maybe because you want a bigger house or in an area closer to your workplace
This is certainly a strong motivation, but it goes beyond the mere financial investment to have an economic return.
Now we will analyze the issue in a purely financial way, in fact we will see when it is convenient to sell a house and how much house prices fall.
Best time to sell a house
One of the best times of the year to sell a house is undoubtedly spring, known to be a month of change, not only in the real estate environment but also potential buyers are often much more likely to close the deal, compared to other periods of the year, as the change of one’s property involves, in both psychological and physical terms, a massive expenditure of energy and stress.
This is why it must be handled with the utmost care.
Thanks to the fact that when the weather is nice, the property will be even more beautiful, bright and spacious, making it easier for the potential buyer to purchase.
On a cultural level, Italians are a people who have always had a particular predilection for buying a house.
In fact, in our country, about 75% of families own the house in which they live.
Therefore, home ownership for many families represents a tradition that has also strengthened in recent months, despite the economic crisis and the various increases that have hit our country, which is producing a significant rise in interest rates, on mortgages and loans. .
Contact a consultant
Therefore, at Financial Empires, we advise you to contact a credit consultant who can work alongside you, to evaluate and choose the best offers of properties on the market, taking into account the economic possibility of the applicant.
Another consideration to make is that in periods of greater inflation, the real estate market has always represented a resource for savings, due to the revaluation of the properties on which it has invested, in the medium to long term.
If you are wondering if it is worthwhile to sell a house today with an agency or to do everything yourself, we would like to tell you that investing in this market is very profitable and safe.
However, especially in these fluctuating market phases, it needs operators in the sector who are experienced and able to move easily in this world.
A real estate agent who knows the folds of the territory of relevance is certainly a guarantee for the success of sales.
Another extremely important financial concept is that of opportunity cost.
Precisely because when evaluating an investment in real estate, it is not only necessary to evaluate the potential absolute return, but to think about an alternative use of capital.
For example, a purchased property could generate a small income by renting it, or renovating a house and then selling it to generate a profit.
The variables are certainly many. It must be considered that real estate investment involves some path risks.
For this reason, in fact, it cannot be established whether the investment in the brick is always worthwhile, given that there is no specific case history, also because each deal has unique peculiarities that vary from the others.
However, the statistics tell us that in most cases, the profit margin is satisfactory, if you invest heavily and focus on the right horses.
When you buy your first home, the situation changes, here we have to distinguish real estate investment from actual purchase, because it is not a profit-making investment but a choice of heart.
Well dear friends of Financial Empires, now you know if it is worthwhile to sell a house today thanks to our practical guide aimed at directing you on the best choice to make in the real estate sector.
Financial Empires, The Editorial Staff
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