A homeowner’s decision to sell abruptly often stems from an unplanned life change, such as a job relocation, a death in the family, a divorce, or an injury or medical condition. The DiMora Team are real estate experts in the Novi and Northville neighborhoods and we know that the “5-year rule” is basically a rule of thumb that says you can be at a greater risk of losing money if you sell before you’ve owned a house for five years. There is also a tax rule in place that allows a seller to exclude up to $250,000 of the capital gains ($500,000 if married and filing jointly) from the sale of their home if they’ve lived in the home for two of the previous five years. Owning a house for five years typically allows it to appreciate while you pay down the principal, building equity that you’ll earn back when you sell. Selling before the five-year mark could result in a financial loss — but that isn’t always the case. Regardless of when you sell, there will be costs associated with the sale. The difference is that with a quick sale, the property hasn’t had much time to appreciate, which means the expenses could cut into (or even obliterate) any equity. Check out below to see what sold in Country Place in June 2022:
21246 E. Glen Haven Circle, Novi: 2 bedrooms, 1 bathroom, 904 sq. feet, 1 car garage, Sold Price: $177,000
Country Place Home Sold
June 2022
Particularly in a market like what we’ve seen in recent years, where inventory is at a historic low and homes are seeing multiple offers, and homeowners could actually benefit from selling soon after buying — particularly if they’re under 50 years old and have a lot of homeowning years ahead of them. For more information on Country Place, or similar Northville or Novi neighborhoods such as Crosswinds West, Highland Lakes and Lakewood Parkhomes, contact The DiMora Team today at 248-505-7728 or jim@dimora.com.