I purchased a home in CA, near the SF Bay Area. I purchased in May 05. It appears the home may be losing value. I could sell and move-out (I have a traveling job) to another lower-cost home I have.
What do you think? Will the market pick-up in 8-12 months?
If I sell now, I may take a loss.
Any advice appreciated.
2006-07-25 16:47:17 · 7 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
I heard the market was going to be great for buyers. But usually that means bad for sellers. It is hit and miss. I hope whatever decision you make works out for you! Good luck, Hon!
2006-07-25 16:53:22 · answer #1 · answered by Gothic Martha™ 6 · 0⤊ 0⤋
How much equity have you gained in the home? That is the question you need to ask yourself because you can put that toward either a bigger home in lower home cost area and have the same payment or you can get yourself the same home and have lower mortgage. Rates going up and will stay high for the next two years. Bernanke is projecting this because Greenspan told him so. You can rent and see if the equity will build but it will probably build slowly. Renter in the home sure but are you comfortable with spending X amount dollars to repair and keep the house in condition or would you rather just sell outright take the equity you got and run. Im in Northern CA if you want to talk email me or call.
2006-07-26 01:17:23 · answer #2 · answered by Openthathouse.com 4 · 0⤊ 0⤋
The market will follow the trend of dropping by approximately 20%, staying there for several years and then skyrocketing.
If you can afford to, keep it and rent it out (or your other property).
If you sell it now, you will take a loss and lose your tax benefits.
2006-07-26 00:01:13 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Building cost is high due to high commodity,SF population will keep increasing due to new immigrant and other reason( only SF city along by 2010,project grow show increase 20000 people),where do people live?,if you can afford to hand on, don't need to sell,but interest rate will remain high for a year to come.
2006-07-26 01:10:01 · answer #4 · answered by Anonymous · 0⤊ 0⤋
with climbing interest rates the sale of houses will dwindle, and not because of lack of houses to sale but because of lack of interest in buying. which puts the burden on the seller.
This could change anytime-6 months, a year, you never know. if you can make your money plus some on renting that may be the better option, but if you fear the lose you will take on a later sale will be greater than you care to bear then get out.
2006-07-25 23:57:07 · answer #5 · answered by Ralph M 2 · 0⤊ 0⤋
i may be 11, but the prices in calfornia have gone up too high too fast and the market has to crash and lower within the next 6-18 months. so i say sell and you wont loose any money... unless the rates are already lowering.
2006-07-25 23:55:23 · answer #6 · answered by Gare Bear® 2 · 0⤊ 0⤋
Rent it out...
2006-07-25 23:50:24 · answer #7 · answered by Kelly + Eternal Universal Energy 7 · 0⤊ 0⤋