I know, its CRAZY that a Real Estate agent is telling you not to sell your home

With the Real Estate market over the past few years going bananas with appreciation and wealth generation, you are probably saying what is wrong with this guy!

Hear me out:

Everyone’s circumstances are different and for some this might not be a reality but for most it can be, and with some proper planning more people will be able to take advantage of this advice.

For anyone that bought their home within the past couple years (2019-2021), you should not sell your house for one simple factor – Your mortgage rate is most likely below 4%.

Unfortunately some people have been spoiled and believe that a rate below 4% is normal… that is not the case at all.

Looking at history, interest rates have fluctuated between 5-18% consistently. For reference in 1974 the average interest rate was 10% and then in 1981 went all the way up to 18.44%. Now you might say homes were cheaper back then, which is not untrue but also looking at data from 2000 the average rate was 8.38% which is still 1.38% higher than we are currently seeing

We may never see rates below 5% again or at least for a long time. For the people that were able to capitalize on these rates, Bravo! Now hold on to them!

If you do need to buy a new home for any reason and that could be growing family, job relocation, Downsizing, etc, try not to at all cost to have to sell your current home.

Even if your rate was above 4% I would still give the same advice but this pertains even more to people with these low rates.

Rent out your house, trust me in the long term, this will financially help you more that you can even fathom.

If you NEVER had to sell another property you own, don’t!

Heres some reasons why to rent it out (Long term or short term)

• Mortgage Buy down
• Rental Income / Cash Flow
• Tax incentives
• Generation wealth – something to pass down to your kids or relatives

Something to remember also is that over time Real Estate will appreciate which is just one of the huge added benefits

As I tell all my clients, do not hold your hat on appreciation though, this should be an added bonus.