With low mortgage interest rates and depressed home prices, the last few years have garnered a lot of talk about how great a time it is to buy a home in Knoxville. While that has absolutely been true, let’s talk about why it might also be a great time to sell your Knoxville home. Here are some reasons why right now may be the perfect time to put your Knoxville home on the market.

First reason is HIGH DEMAND. Knoxville home buyers are serious about buying and are out in full force, holding true to what we are seeing on a national level where buyer traffic is 31% stronger than a year ago. National statistics are showing that homes are selling at the fastest pace since the market spiked in response to the home buyer tax credit. The latest National Association of REALTORS Existing Home Sales Report showed that monthly sales increased 9.7% over the same month last year. Total sales have been above year-ago levels for 22 consecutive months.

The second reason is that inventory is beginning to increase. Nationally, total housing inventory last month rose to a 5.2-month supply at the current sales pace, compared with 4.3 months in January. Many experts expect inventory to continue to rise as more sellers are again above water on their mortgages as a result of rising home prices. Selling your Knoxville home now, while demand is still high and before supply increases may get you top dollar.

The third reason is increasing competition with new construction.  The last few years, sellers haven’t had to compete with new homes, but with low inventory levels, and a recovering market, more builders are ramping up their construction.  As they get more comfortable they will build more homes, thus increasing the competition with your existing home. Better to sell now, with less competition from new, energy efficient homes with modern amenities.

The fourth reason is rising interest rates.  According to Freddie Mac’s Primary Mortgage Market Survey, interest rates for a 30-year mortgage have jumped to 3.98% which represents an increase of more than ½ point since the beginning of the year. Economists across the board seem to be projecting interest rates to keep rising. The longer you wait to sell, the higher your interest rate will likely be when purchasing your next home.

The final reason is lifestyle.  Why is it that you are looking to sell your Knoxville home in the first place?  What is more important right now, a few more dollars or moving on with your life?  Perhaps you are selling to get closer to family, or looking to retire to a different area, or downsizing financially to give yourself more freedom. When you weigh the benefit of a few more dollars against the real reason you are selling, it most likely gives you the biggest reason to sell your home now.

 

Are you a homeowner and thinking about selling your Knoxville home?  The time is now! The market is starving for inventory. This home in Fox Run went under contract in a few days.  Call us today to discuss what your home is worth and your options.

 

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Troy Stavros, Broker and Partner with the 865 Real Estate team stated, “With faster price appreciation being caused by low inventory of Knoxville homes for sale, low appraisals could become a bigger problem.”

The National Association of Realtors reported on Tuesday that inventories of homes were at the lowest levels since 2001 and the median price a home resale was, at $180,800 in December, up 11.5 percent in a year. Stavros continued, “In a rising market, because appraisals are based on recent sales prices of comparable properties, depending on when the sales occurred, they might not be high enough to support the newest numbers. As a homeowner who knows the property and neighborhood intimately, there are things you can do to assist an appraiser”.

Here are some ways to achieve the highest possible appraisal:

* With the assistance of a Knoxville real estate agent, provide the appraiser with comparable sales. Don’t just hope the appraiser knows about the house just like yours that sold for the same price, give proof. Preferably 3 or more comparables to support the value.

* Make sure the appraiser knows the neighborhood. With the way appraisers are chosen, there is a chance of unfamiliarity with the area. Supply as much information about the quality of the neighborhood as possible. Including information like neighborhood amenities, new local restaurants and attractions. Anything that can add value to the location.

* Provide the appraiser with documented information on the upgrades and renovations completed on the home. Everything from cosmetic, to structural, to mechanical. It all can add value.

* Clean, clean, clean. Showing the home to an appraiser can be more important than showing it to a buyer (a buyer can walk away if the home does not appraise!) The home should look as good as possible. Turn on all the lights. Light some candles. Clean up the yard. The better the home looks the more perceived value it will bring.

* Either give the appraiser the information on the home upon arrival or prior to departure. Do not follow them around. Not only can this be uncomfortable and distracting for the appraiser, but can raise concerns that there may be issues with the home.

Are you looking for ways to update your home prior to selling that might grab a buyer’s attention?  The following tips can guide you with some ideas that can add the right bang for the buck.

When deciding what will increase resale value, we need first to look at what buyers want.  Why wait and start these projects a month before putting your home on the Knoxville real estate market? We suggest you start small and start early, so you can enjoy the fruit of your labors now.

If you are thinking about throwing your home into the Knoxville real estate market sooner than later, a good first step would be to consider calling a few professionals. Three in particular would be a home inspector, who can tell you what items will need to be addressed and may cause red flags to buyers. Second and third, a real estate agent and local interior designer or stager, all of which typically have the pulse of buyers and know what they are looking when visiting homes for sale in Knoxville.

Landscaping can add plenty of curb appeal to a home as well as make a backyard feel comfortable.  Buying big trees and shrubs can get expensive, so we recommend you invest in your landscaping early, giving it time to mature so it is ready when the time comes to sell.  That being said, nothing can take away from nice landscaping like a sad lawn. So, maintaining a healthy, green lawn can really set the tone before the buyer even gets out of the car.

Along with your landscaping nothing makes a first impression like a crisp clean exterior, so a good pressure washing of the home’s exterior and walkways can make an impact.

The last step to curb appeal, deals with the last steps before walking into the home, and that is at the front door. Upgrading exterior doors that are visible from the street can change the look of your home completely.  A nice, classy, front door, can get a buyer excited about seeing the interior of the home.  Think about it, where are buyers standing, and what are they looking at, as they wait for their Knoxville real estate agent to let them in the home!

The 70’s called and they want their lighting back!  Unless you are planning on selling your home to Austin Powers it’s time to get rid of some of the historical artifacts.  That includes outdated lighting fixtures, wallpaper, old carpeting, gold hardware, and possibly even the popcorn ceiling.  Just updating to something simple, but current, can turn a big negative into an non-issue.

Kitchen remodels can come  with a big price tag, so if yours is fairly current, small updates like new knobs on the cabinets or a new paint color may be all you need.

Speaking of paint color, this is the least expensive way to make a huge impact on your home.  Painting outdated or extravagant colors to a fresh coat of a modern neutral color, can not only make your home look newer, but cleaner as well.

Last on the list, is another addition that is worth completing sooner rather than later so you can utilize it.  That being built-in storage.  Adding shelving or cabinets in a hall, bedroom, closet, garage, family room, or just about anywhere for that matter can add quite a bit of appeal. Who doesn’t like extra storage?  We know buyers do!