Did you know that homeowners have a statistically significantly higher net worth than renters? Per CNBC, "In 2019, homeowners in the U.S. had a median net worth of $255,000, while renters had a net worth of just $6,300. That’s a difference of 40x between the two groups." One of the top reasons why that's possible is that the homeowners aren't constantly bouncing around from house to house typically. In a typical market, one of the best reasons to make a home purchase is because you want to stay put, and you want to grow financially with net worth from that home purchase on the basis of staying put in your new home. If you would break even on a sale hypothetically, you should still strongly consider staying put in order to be in a better equity and net worth position.
While for most, you are better off staying put for decades rather than reselling soon after purchase, there are some exceptions:
1. You Want to Buy Another Property & Keep Your Existing Property, & Are Willing to do What it Takes to Be a Good Landlord (My Exception)
2. Your Job or Another Life Change is Causing You to Relocate & You Don't Want to Rent Out Your Home From a Distant Location
3. You've Outgrown Your Home, & Have Ruled Out an Addition or Remodeling
4. You're Concerned About Increasing Flood Zone Costs & Are in x500 or AE Zone & a Hurricane Evacuation Zone
5. You Don't Feel Safe in the Neighborhood & Have Exhausted Measures to Feel Safe
6. You Want to Buy a Home of Significantly Higher Value When Strong Appreciation is Projected
7. You Want to Downsize In a Market That's Not Rapidly Appreciating & Wouldn't Consider Alternatives
Here are some examples of reasons that are not good for selling:
1. You Want a Better Interest Rate
2. You Want a House With Something That Would Cost <10% of Your Current Home to Add to Your House
3. You Want To Cash Out the Equity on Your Principal Residence to Buy Something for Leisure
4. Someone You Don't Know is Offering You a Cash Offer for Your House
5. Someone Scared You About the Neighborhood Going Downhill Without the Data to Prove It
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