The #1 Question To Ask Your Realtor Before Making an Offer on a Home
When you're considering making an offer on a home, it's crucial to ask your realtor one key question: "Is this a home you would want to sell for us five years down the road?" This question can help you assess the long-term value and resale potential of the property.
Real estate professionals have insights into various factors that can affect a home's future value. For instance, a home located on a busy street or with other undesirable features may be harder to sell later, even if it seems like a good deal now. Realtors can provide valuable information about the neighborhood, upcoming developments, and other factors that might drive up home prices in the future.
Holding onto a home for at least five years is generally recommended to see a return on your investment. Some buyers have profited from quicker sales due to rapidly appreciating markets, but five years is a safer bet considering historical trends.
Enhancing Home Value
Realtors can also advise on how to increase a home's value. Common improvements include:
Installing new flooring
Painting
Enhancing curb appeal
Special Considerations for New Construction
New construction homes can be tricky. They're often priced higher per square foot, similar to buying a new car and driving it off the lot. Reselling a new construction home shortly after purchase may result in a loss due to transaction costs like closing fees and realtor commissions.
Additional Questions to Ask
"What is the highest sale in this neighborhood?"
"Are we setting a new high sale?"
These questions help gauge the market and potential for future appreciation. If your home is the most expensive sale in the area, it might be harder to increase its value significantly.
Conclusion
By asking the right questions and getting detailed insights from your realtor, you can make a more informed decision and ensure your home is a sound investment for the future.