If you’re contemplating selling your house at this moment, it’s likely because something in your life has undergone a change. While factors like mortgage rates play a crucial role in determining your next purchase, it’s essential not to lose sight of the underlying reason driving your desire for a change.

Undoubtedly, mortgage rates have risen from the historically low levels observed in recent years, impacting affordability. Presently, some homeowners are opting to postpone selling, fearing that a higher mortgage rate on their next home would be undesirable. As explained by Danielle Hale, Chief Economist at Realtor.com:

“. . . homeowners who secured a 30-year fixed rate in the 2-3% range are hesitant to give that up in exchange for a rate in the 6-7% range.”

Nonetheless, your evolving lifestyle and changing needs should take precedence. Here are a few common reasons people choose to sell their homes nowadays, any of which may outweigh the importance of maintaining your current mortgage rate.

As noted by Ali Wolf, Chief Economist at Zonda, in a recent tweet:

“Both first-time buyers and move-up buyers are active . . . the latter motivated by life changes. Divorce, marriage, new higher-paying job, and unsuitability of existing home are all factors referenced.”

Relocation: Numerous factors can drive the desire to move to a different area, such as changing jobs, wanting to be closer to loved ones and friends, seeking a dream location, or simply yearning for a change in scenery. For instance, if you reside in the suburbs and have just landed your dream job in NYC, you might contemplate selling your current home to move to the city for work.

Upgrading: Many homeowners sell their homes to transition into larger properties, especially when they require more space for entertaining, a home office or gym, or additional bedrooms to accommodate a growing family. For example, if you currently live in a condo and decide it’s time to find a home with more space, or if your household is expanding, it might be the right time to seek a home that better suits those needs.

Downsizing: Due to inflation driving up daily expenses, homeowners may choose to sell their homes to reduce maintenance and costs. Alternatively, they may sell because someone has recently moved out, leaving behind more space than necessary. It could also be the case that they have retired or are seeking a change. For instance, if you have recently retired and desire to move somewhere with a warmer climate and less maintenance, your new lifestyle may be better suited to a different home.

Change in Relationship Status: Divorce, separation, or marriage are common factors that lead individuals to sell their homes and purchase new ones. For instance, if you have recently separated, continuing to reside under one roof may prove challenging. Selling and downsizing may be more suitable options.

Health Concerns: Homeowners facing mobility challenges or health issues that necessitate specific living arrangements or modifications may opt to sell their current homes and find ones that better cater to their needs. For instance, you may be considering selling your home and using the proceeds to help finance a unit in an assisted living facility.

While higher mortgage rates present some affordability challenges at present, your needs and lifestyle should also be taken into account. As mentioned in a recent article from Bankrate:

“Deciding whether it’s the right time to sell your home is a highly personal decision. There are numerous crucial questions to consider, both financial and lifestyle-related, before putting your home on the market… Your future plans and goals should form a significant part of the equation…”

In conclusion, if you’re ready to sell your house and make a move, it’s advisable to connect with me. Having an expert by your side will help you navigate the process and find a home that fulfills your needs.