When you bought your home, did you consider how long you planned on living there? Have you been there longer than you planned, either because you still love where you are at or maybe because moving is a hassle? According to the National Association of Realtors, the average length of time in a home from 1985 to 2008 was 6 years (with only two data points differing from that “magic” 6). However, something changed in 2008, and the average length of time in a home started increasing…the average from then to now is almost 9 years. So what happened?
The burst housing bubble is a definitely a contributor. When house prices dropped so much, many people ended up in a negative equity situation—where they owed more on their mortgage than the property would be able to sell for. Even as the housing market has recovered, many people are still wary and are choosing to stay where they are at, continuing to pay their mortgage and increase the equity in their home.
Staying isn’t always the best decision if you are in a house that doesn’t suit your needs (i.e. a huge 4 bedroom if all your kids are off in college, or an hour plus commute to your new job). If now might be the time to make a change, let me know how I can help.