Home Price Appreciation: What Does it Mean for Home Sellers?Posted Friday, October 29, 2021
If you have a house for sale, rising home prices can be music to your ears. Since the ticket price for buying a house is much higher, prices are also related to home price appreciation, a term that’s helpful for you to understand. Let’s dig in and learn more about home price appreciation and what it means to you.
Appreciate Your Home’s True Value
Home appreciation is the increase in your home’s value over time. How much your home appreciates can be related to the supply and demand of houses for sale, home improvements, local development, inflation, and interest rates. Right now, the high demand of people interested in buying a house is having a big impact on the real estate market. Many people are interested in buying a house, but far fewer homeowners want to put up their house for sale. When demand exceeds supply, buyers pay more, and prices soar, which makes for a happy real estate agent.
Put Your Equity to Work
Today, since home prices are rising, your house for sale may be worth more than you realize. And when your home appreciates, your home equity grows too. Your equity is the difference between the amount you owe on your home and your home’s current market value. For example, if your home’s current value is $325,000 and you still owe $100,000, you have $225,000 in equity. You can use that equity to start a business, pay for college, or move into the home of your dreams.
Make Your Move
If you’ve been thinking of listing your house for sale, now may be a perfect time. We suggest not waiting too long to take advantage of the higher-than-average home price appreciation we’re seeing. Experts believe appreciation rates will begin to normalize next year.
Whenever you decide to make a move, choose a real estate agent who will look out for your interests as a seller. An experienced agent will conduct an expert market analysis of your home and set the correct price – one that ensures you get the best value for your home.
If you’re looking for a top-rated listing and real estate agent, look no further. Contact The Sharon Falco Group today at (630) 307-2760.