Here are my thoughts on whether you should sell in our market now or wait.
Is now the right time to sell your Maui property? It very well could be. We’re in the middle of a very hot market. As a consumer, I’m sure you hear the phrase ‘hot market’ all the time, but what does it really mean? Here in Maui, a hot market means that when we list a property, it gets multiple offers immediately.
We’re seeing lots of activity, and plenty of buyers are waiting for properties to come onto the market. There is limited supply and strong demand. It’s a basic rule of economics that supply and demand drive prices. When supply is low, demand goes up, and so do prices. Markets all over the country are experiencing the same thing.
What do you do in a hot market like this if you’re a seller? Look at the market and understand how far you can push the edge. When I hear people brag about getting, say, 17 offers for their home after listing it, my question as a Realtor who’s been in this business a long time becomes, “Did they underprice the property?” That’s a scary thought because as a seller, you want to maximize your return.
My team and I always get the most money possible for our sellers. When I’m working with a client, I like to price their property on the top edge. If it doesn’t get 13 offers by the end of the first day on market, I feel like I’m doing my job. All I want is one offer within the first three weeks that will truly maximize the home’s price. Sometimes I’ve priced properties at prices I thought were very high and we still got multiple offers for them because demand was so high.
When pricing a home high, one of the problems you can run into is the appraisal not coming in at the contract price. That’s something you need to prepare for when going through the sale process so a low appraisal doesn’t crash the deal. Unfortunately, appraisers work with historical data, while buyers work with what’s available right now.
The most important point I want to convey when putting your home on the market is this: Use an agent who knows the market. Use an agent who has the predictive ability to know what might happen in the next three to six weeks. You don’t want your home to be sitting on the market unsold and unwanted.
If your home doesn’t sell in a hot market, it acquires a stigma. People start to wonder why it hasn’t been sold. It’s a delicate balancing act, and it all goes back to using an experienced agent who can interpret what’s happening, react quickly, and guide you down the right path that will maximize your home’s value.
I don’t have a crystal ball that can tell you whether you should sell now or wait. Will the market be higher in a month? It sure might be. Could something global happen and cause the market to tank? It might.
That’s why I’m a big fan of taking advantage of the market when you know that you can maximize your return on investment instead of hoping for a better market in the future. Be happy that you can sell today and do so for top dollar. If someone buys your home and prices continue to go up, I say good for them. Everybody wins! That’s the kind of market I love.
If you’d like to know more about selling a home in this market or what my team and I can do to help you sell for top dollar, reach out to me. I’d love to speak with you.