For most people, 2020 was a nightmare. Between battling COVID-19, job loss, economic uncertainty, and fighting with family members about the election, it’s safe to say that most people took some emotional and physical damage.
As 2021 progresses, many homeowners are still struggling to get back on their feet.
For some homeowners, the real estate market has been the one saving grace of the last year. But, not everyone is as fortunate. If you own rental property or your home doesn’t qualify for a traditional sale, you could be out of luck when you need quick access to cash.
If you’re hesitant to liquidate your property because you’re afraid to lose money, there’s good news. Now might the absolute best time to liquidate your home and get the most money possible.
Here are a few reasons that you might want to act now if cashing out is a consideration:
The housing market is hot
The housing market is tight in most states. The Wall Street Journal reported that the housing market is short by nearly 4 million homes. This means that there are 4 million homes fewer than the number needed to meet demand. When home shortages occur, prices on available properties go up.
In addition to a lower number of homes on the market, interest rates hit a historic low over the last year. As average mortgage rates sit below 3%, many buyers who may have waited want to take advantage of the lower rates are jumping at the chance to buy a house now. The extra competition is creating more demand and pushing housing prices higher.
You can take advantage of the housing shortage and earn more money from your property by selling your property for cash.
You can liquidate your house as-is
Expensive repairs can be a nightmare for a property owner. If your property is damaged by unruly tenants or your primary residence needs more care than you can afford, selling your property as-is allows you to eliminate the stress of paying for repairs.
Suppose your home has expensive problems like foundation issues, water damage, mold, electrical issues, or sewage problems. In that case, you may not even be able to sell the home the traditional way. If a potential buyer uses financing to purchase a home, their lender will want to inspect the property. Many lenders will refuse to fund a home purchase if the house has significant issues. Liquidating your property for cash may be faster and simpler than trying for a traditional sell.
Whether you’re dealing with a real estate property that’s fallen into disrepair or you inherited a home and belongings and are feeling overwhelmed, we can help. We’ll take your property as-is and let someone else do the dirty work or repairing and selling the property.
You could avoid foreclosure
In 2020 more than 4 million homeowners in the United States had their homes in forbearance. Many people struggled to make their mortgage payments each month. In addition, many Americans faced mounting debt and medical bills because of COVID-19. If you cannot keep up with mortgage payments and need to avoid a foreclosure selling your home for cash now could be a beneficial option.
Foreclosures negatively affect your credit score for years and make it difficult to get approval for credit cards. Additionally, you may not be able to buy another home for several years following a foreclosure. Liquidating your home could provide the cash you need to pay off debts and avoid financial issues down the line.
You may be able to sell your home even while it’s in forbearance. If you’re unsure whether liquidating your property is the right choice for you, we’re here to help. We’re happy to answer any questions you have.