Many different variables come into play when homeowners think about whether they should sell or refinance their home. These decisions can obviously have a significant impact on your overall financial health into the future, so take the time to consider all the pros and cons of each option. So, if you are one of the many homeowners feeling a bit unsure about whether or not you should sell your house in Hawaii or perhaps refinance instead, read on to learn how you can know for sure which is best for your situation.
Space
While you may have needed four bedrooms when you bought that nice home in Kailua several years ago, the kids have graduated and moved on — you don’t need all that space anymore and it’s hard to keep it clean. It may be time for you to sell and downsize, perhaps to a 3-bed house or even a condo.
Conversely, you may have been single when you bought that starter home in Aiea, but two children later find out that you really need a 4-bed house instead. Refinancing may be an option if the property has room for additions. However, most homeowners would rather skip the stress, mess, and noise of living in a construction zone, so you should consider carefully how your family will handle the headaches of renovations when deciding if you should sell your house in Hawaii or refinance.
Finances
External forces can substantially change our personal financial circumstances for the better or for the worse; either can strongly influence whether or not you should sell your house in Hawaii or refinance. If you find yourself living paycheck to paycheck, consider that lenders tend to have strict criteria these days about your credit rating (especially after the last mortgage mess). In addition, if you borrow more than 80% of the current market value, you’ll probably be paying an additional fee for private mortgage insurance (PMI); you should also check with the lender about other fees and costs associated with refinancing.
Finally, if foreclosure is a possibility (get help here), don’t stick your head in the sand like an ostrich and allow procedures to begin without taking any action. Listing a home on the Hawaii MLS to sell for the highest possible profit takes both time and money — you may have neither. If you are already in financial distress (you’re not alone), find out the average days on the market, which is the closest you can get to an estimate of when your home will go to contract (and then sell 30-75 days later if your buyer even makes it to the closing table). You’ll need to take a realistic inventory of the costs involved to list a home before moving forward, including real estate agent commissions, preparing and cleaning for showings, inspection, appraisal, repairs, and the costs of holding the property until the sale occurs (mortgage payments, property taxes, insurance, utilities, etc.).
Oahu Home Buyers
If you are trying to decide if you should sell your house in Hawaii or refinance, the experts at Oahu Home Buyers take the time to listen to your concerns and answer any questions with no obligation whatsoever. At Oahu Home Buyers, our professional buyers have years of experience helping homeowners in Hawaii out of stressful predicaments; why not find out how a direct sale to Oahu Home Buyers could be the solution to your problems?
At Oahu Home Buyers, we are your neighbors, and our goal is to help you make the best choice for your unique situation. Working with a professional buyer from [compay] on the direct sale of your home means no worries about repairs or commissions, or hidden fees in our straightforward contract. Contact Oahu Home Buyers at (808) 333-3677.