I had to share this great post from my colleague in Stuart Florida. He makes some great points on the prices of homes in the current market.
Low home prices won't last forever, but it could be some years before you could get the price you would like for the home you are selling.
Right now, buying and selling are a trade off. That is, you sell for a lower price, but you also buy for a lower price. With the home you buy at this time, you'll get a lot more for your money than what that home would cost in years to come.
Under the present conditions, you and other prospective buyers would do well to ask yourself what the personal cost of not moving forward would be.
The home you would buy is the place you need today. It would have more rooms and be more efficient for everyday housekeeping and activities. The enjoyment and excitement factors involved in getting the new place could be significant.
One of the big questions involved in buying is whether you have enough equity in your present home so the mortgage can be paid off.
If that's not a problem for you, this is an excellent time to begin your search for the right home.
How long would it take to sell your present home? If it's in a neighborhood people like and it's in good condition, it might not take very long. Friends of mine were shocked when their home sold in two weeks.
It's true that if you wait several years before selling your place, you will probably get a few thousand dollars more for it. But why wait until your children are grown up or away at college before going into a home where each could have their own room, or a guest room for visiting grandparents or maybe a recreation room they would all enjoy?