That depends on the individual case. Certain properties (e.g. vacation homes) are in higher demand at certain times and are therefore easier to sell.
Selling real estate – waiting for the right time?
There is no one right moment to sell real estate. However, there are times when selling is most likely to benefit the owner. That said, life often throws up situations where plans cannot be put off for long.
Market observation
In times of low interest rates, high demand, and even higher real estate prices, owners can achieve good sales prices. In periods of high interest rates, on the other hand, demand for real estate declines because many prospective buyers cannot afford a mortgage. This leads to a drop in prices on the real estate market. The European Central Bank has currently announced an interest rate hike. Depending on how the situation develops, demand and thus real estate prices could fall.
However, real estate prices and values also vary from region to region. A real estate agent with local market knowledge is best placed to answer questions about how local real estate markets are developing.
Condition of the property
The right time can also depend on the structural condition of the property. If no necessary maintenance and repair work has been carried out for years, this reduces the value of the property and thus also the potential sale price.
If owners want to get the highest possible sale price or even depend on it, it is advisable to carry out any necessary maintenance and repairs. Modernization can also increase the value of a property. It is best to discuss with a real estate expert which measures are really worthwhile in order to achieve a higher sale price.
If you don't want the property to become a bargain
There are situations in which a quick sale is necessary. This includes when foreclosure is imminent. To avoid this and prevent the property from being sold below its value, it is advisable to approach the sale as quickly as possible with the help of a real estate professional. Inexperienced sellers in particular can make mistakes that prolong the sale or lead to a sale below value.
Avoiding speculation tax
In order to avoid paying speculation tax, owners must live in the property themselves for 36 full calendar months (3 years) and be registered there. Incidentally, speculation tax is also payable in the event of a foreclosure sale.
Are you considering selling your property or do you have any questions? Then get in touch with us! We will be happy to advise you.
Notes
For reasons of better readability, the generic masculine form is used in this text. Female and other gender identities are expressly included insofar as this is necessary for the statement.
Legal notice: This article does not constitute tax or legal advice in individual cases. Please have the facts of your specific case clarified by a lawyer and/or tax advisor.
Photo: © Shtak3t/Depositphotos.com