Question

Since coronavirus happened my husband and I started saving every extra penny we got. We were able to save around $10, 000. Now my husband has decided to use the money to make upgrades to house to get it ready to sell two years ahead of our schedule! I am terrified. He is still working and putting in over time. If we sell our home we would pay off our debt completely, have 20% down payment on a new house and have about $35, 000 left over. Are we doing the right thing? Is it normal to feel scared? Sad to sell our first home?  

Answer 1

All valid feelings. I would say go for the upgrades just keep these in mind. 1. DO NOT over do it on the upgrades. You will only recoup a certain percentage but never 100% of what you put into it. 2. DO NOT touch the 10k you set aside. Upgrades should be done with funds beyond that. The 10k should be your emergency fund not your house fund. 3. Remember that upgrades should be done with a future owner in mind, not to your personal tastes. Keep it simple and neutral. 4. Be willing to admit what your capabilities are and know when to hire out for certain projects.  

Comments

@dissever1  this!  

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@dissever1 Yes! I was so surprised when we had our realtor in for a market analysis two years ago and we wanted her opinion on what we should upgrade over time with an eye to selling in several years. She wanted us to touch shockingly little! She know what is already selling and what our home value is and she really didn't want us to invest money in anything and I thought we needed a lot of updates.  

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@dissever1 yes good advice, especially #1. I wouldn’t put too much into a house at all, because it’s too hard not to pick out things you like, or that are in style right now, and the buyer doesn’t like it.  

Answer 2

YES! This is what we did and now is an awesome time to sell. Price RIGHT

Comments

It is also very normal to feel scared. Find a realtor that makes you feel comfortable with and can feel good asking a lot of questions. Feel free to DM me and I can interview a few for you.  

Answer 3

Personally, if you are confident in your income to continue, I am good with spending appropriately.  

Answer 4

I made myself so sick selling my first home. I miss it but I love my new (old, new to me) house)

Answer 5

You’re absolutely allowed to feel sad about selling your first home. We just moved into a new home and put our other on the market. it’s literally breaking my heart bc I bought that house before I knew my husband. I love our new home and it is more appropriately sized for starting a family, but I’m closing a chapter of my life.  

Answer 6

Yes, yes and yes to your 3 questions

Answer 7

Sounds like a solid plan!  

Answer 8

We did EXACTLY what you did and it was the best thing we ever did! We sold our first house, made enough to pay off all our debt, buy a house twice the size, and we still had enough for some new things in the house, a fully funded emergency fund plus a decent chunk left.  

Answer 9

Homes are selling for top dollar in our neighborhood, so we are probably going to sell  I am also terrified and really attached to the home we are in now. I also REALLY love the location and neighbors.  

Comments

@syllabic972 I was 19 years old when we bought this house. It's where our 4 children came home to. It makes me so sad to sell  with fours kids and two dogs our home is too small for us

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@truncation8 I completely understand. My daughter came home here, we also gutted the entire home and completely renovated it. We have literally put blood, sweat, and tears into this! You will create wonderful memories in your new home!  

Answer 10

You will need several thousand dollars to pay closing costs and buyers often want sellers to pay closing costs.  

Comments

@fredericksburg but sellers can just say no . And the buyers will most likely still buy the house . We have bought 2 houses and both sellers wouldn't pay the closing costs

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@fredericksburg Yes! And if in your market you will most likely have an FHA buyer (that is my market here) then you will pay even more at closing as the seller so have your realtor talk to you and run your numbers for a realistic closing estimate.  

Answer 11

Yes. Do it ! But play w the numbers . You might not sell for what you think ya know

Answer 12

I’d almost say don’t make any upgrades and offer money towards items (such as if carpet needs replaced offer a set amount and they can them pick what they want when they move in , lights etc. even with painting provide an allowance. People will choose what they want and even if you think you’re picking what someone would like chance is they won’t.  

Comments

@luckin great idea.  

Answer 13

I would not spend that emergency money yet, the crisis has not passed.  

Answer 14

We are doing the same thing! But before you spend you money, get a realtor and stager to come in! No use putting money in and not getting it back. They can tell you the upgrades that will get you more money!  

Comments

@janitajanith9052 yes she is coming tomorrow

Answer 15

It has been recommended by many to hold on to your cash to see how the economy plays out.  

Answer 16

We're actually under contract to buy our next house, as of yesterday! Squee! This situation also sped up our timeline and I have been having ALL THE FEELS about leaving our first home!  

Answer 17

I just an hour and a half ago submitted my very first offer ever on a house, its a back up over as they already have an accepted offer, but it was such a nice house so we're gunna see where the backup offer goes and look at a couple more in the mean time :)

Answer 18

Sounds fantastic. Don’t forget about closing costs and taxes on profit.  

Answer 19

As a building company I work with, really hard to get subs now. Holds everything up! Just FYI. If it were me, I’d save still and let things settle. Workers in your home could be dangerous now too.