Suppose you manage to sell your home and move into another. Doesn't it all even out in the end? You sell your home for a few grand under what it was worth last year, and you buy a home for under a few grand...

The only losers are folks who need to sell and won't be buying.

The real winners are first time buyers.

__________________
You don't need a weatherman to know which way the wind blows - Robert A. Zimmerman

Actualy you make out buying up in a down market.

Most people move up to a new home thats worth about 50% more than the old.

So lets say you are selling your $200k house and buying one for $300k.

Lets say in this city prices have dropped 10%.

So now its $180k for yours, but the home you want is $270k.

Your $10k ahead.

__________________
1999 SL500
1969 280SE
2023 Ram 1500
2007 Tiara 3200

That is the logical way of thinking, unfortunately the average person is not logical.

It's not a loss until you sell for a loss.

Unless, of course, you write a decent contract on a new house and then you can't sell the old house due to worsening conditions. In a down market, maybe its best to sell yours first and rent back, while dealing on a new house.

__________________
1985 380SE Blue/Blue - 230,000 miles
2012 Subaru Forester 5-speed
2005 Toyota Sienna
2004 Chrysler Sebring convertible
1999 Toyota Tacoma

Another disadvantage of buying up in an up market is property taxes. You are paying more in property taxes since you are buying a more expensive home.

Look at me. My old property taxes on the home I sold in 2005 were about $1,500 / year, whereas with my new home purchased in 2005 I am now paying about $7,000 / year.

__________________
Paul S.

2001 E430, Bourdeaux Red, Oyster interior.
79,200 miles.

1973 280SE 4.5, 170,000 miles. 568 Signal Red, Black MB Tex. "The Red Baron".

Another way of looking at house values is to ask what they would rent for. Around here, cost of homes has risen far higher than rents. From this point of view most homes in Denver are overvalued.

__________________
1977 300d 70k--sold 08
1985 300TD 185k+
1984 307d 126k--sold 8/03
1985 409d 65k--sold 06
1984 300SD 315k--daughter's car
1979 300SD 122k--sold 2/11
1999 Fuso FG Expedition Camper
1993 GMC Sierra 6.5 TD 4x4
1982 Bluebird Wanderlodge CAT 3208--Sold 2/13

Before or after real estate fees?

Tom W

__________________
[SIGPIC] Diesel loving autocrossing grandpa Architect. 08 Dodge 3/4 ton with Cummins & six speed; I have had about 35 benzes. I have a 39 Studebaker Coupe Express pickup in which I have had installed a 617 turbo and a five speed manual.[SIGPIC]

..I also have a 427 Cobra replica with an aluminum chassis.

.......and title fees.........and mortgage tax..........and tax stamps..........and title searches...........and points..........and appraisal costs...........and attorney fees...........and...........

You gotta pay those fees anyway so it's still a wash.

__________________
You don't need a weatherman to know which way the wind blows - Robert A. Zimmerman

...........only if you sell.........

In Michigan you get an extra title whack for paying cash.....yip.

Of course, I don't work cheap ya know!

__________________
1999 SL500
1969 280SE
2023 Ram 1500
2007 Tiara 3200

Actually, none of that matters............when you're staring down a 5% commission on a sales price of $875K.

And, believe it or not..........you cannot sell this property yourself.

I came within an inch of selling a house for $900k a few weeks ago. Only a 2% split though, I rather see 2.5 or 3.

2% of $900k is still a nice profit, even after all the crap we have to pay is paid.

__________________
1999 SL500
1969 280SE
2023 Ram 1500
2007 Tiara 3200

Well.........everybody has their hands in the pie to the tune of $4K-$5K. But, when a real estate agent gets to stuff their pockets with $45K..........there's something wrong with the picture.

Spare me the details of the split in commission. Just show me anywhere near $45K in effort and costs to sell such a property..............