There are a few vital questions you need to ask yourself as a potential seller in a buyer’s market:

1) Do I NEED to sell now??
If the answer is “yes” and you must sell your home due to job transfer, change in marital status, retirement or the like, then you must be prepared to go the extra mile it takes to really make your home stand out in a crowded market!

2) Do I have enough equity in my home to break even at today’s market value?
You may have made a great purchase just a year or two ago and now find yourself in a position to have to sell for less than your purchase price. This is the ebb and flow of the market – and as we all know, things are particularly tough on the seller right now. Can you bring money to the table if need be to get out of your current property? If not, it may be time to consider a short sale especially if you can demonstrate that your monthly mortgage poses significant hardship.

3) Where am I going next?
If you are moving due to job transfer or looking to retire to a patio home, you may find that you can sooth the ache of value lost on your current property by capitalizing on a great buy in the next home.
Now is the perfect time to move UP! A 10% loss on your $250k home might be softened by a buying opportunity in which you pick up a $350k property at a 10% savings. Try to keep the big picture in mind:
250,000 – 25,000 (10% hit) = 225,000
350,000 – 35,000 (10% hit) = 315,000
= A $10K ADVANTAGE TO YOU!

Try not to get caught up in what you think your home should be worth – you finished the basement, put tile in the kitchen and five new evergreens in the backyard. Keeping a tally sheet in this market will just make you crazy. A good real estate agent can help you decipher what the market is saying about the current value of your home.

If you MUST sell now, make sure you seek professional advice, and try to make the most of the buyer’s side of this market as well!