Relocating and Need To Sell Your House Quickly?
Your Guide To Moving Out Of California State
California has seen an incredible surge in out-migration recently—with people relocating for work, family obligations, Politics or looking to save money. Whatever the reason, these individuals have decided that opportunities elsewhere offer a better path and are taking their talents on the road.
Selling a house in California can take many routes - but the first step is knowing exactly how you want to approach it. Taking into account your schedule, potential buyers and changing market conditions may complicate things; however with careful thought and consideration, this process doesn't have to be daunting!
Get the guidance and resources you need to navigate successfully through your home selling journey. Our complete guide provides details on every aspect of the process, as well as different options available and important Tax considerations - so you can have a smoother experience all around!
Things to Consider:
When relocating out of state, it is important to carefully plan the order of operations for selling your current residence, moving to a new location and buying a new home.
Homeowners who choose to sell their existing house before purchasing a new one should consider negotiating for a leaseback option on the old property in California, which would allow them to move out of their current residence while maintaining ownership until they have secured a home in their new location.
A home sale contingency is a clause which can be included in the contract for purchasing a new house. It provides protection for buyers who wish to buy a new property before selling their current one, by allowing them to back out of the agreement if their existing residence does not sell within an agreed upon time frame.
When selling a house in California, the process generally involves three stages: preparing for listing, entering into a contract and closing the sale.
When selling a house in California, homeowners should be aware of the potential income tax implications as a result of making capital gains from the sale.
Consider All The Available Options To Get The Best Outcome When Selling Your House to Move Out Of State
When selling a house in California and moving out of state, it is important to consider all the available options in order to get the best possible outcome.
Homeowners today have the unique opportunity to choose from three different methods when considering selling their home and moving.
Each method offers its own pros and cons depending on your timeline, motivations for relocating, financial situation, etc.
It is important to keep in mind that although each option may present slight variations according to one’s circumstance, there are still a variety of paths available for homeowners seeking change in real estate markets.
1) Sell Your California Home, Then Buy The New Home
Selling your California house before buying and moving into the next one is a sensible method to consider as it enables you to use home equity in order to help finance the down payment. Furthermore, purchasing another property prior relocating can mean having two mortgages simultaneously, so make sure that your finances are well-prepared for such an arrangement!
While the financial upside of selling your house first is clear, the potential downside depending on your timeline, is the time it can take to sell a house in California. It’s important to consider the real estate market conditions on your new home and whether you can find another home to move into before closing on your old one. If not, you'd have extra costs for temporary housing like hotels or Airbnb rentals - in addition to prolonging the whole moving process.
2) Buy Your New Home, Then Sell, If Home Financing Is Not a Problem
Buying a new home before selling your old one is preferential but financially unviable for most, unless you have the funds secured or can negotiate an advantageous contingency clause in the purchase agreement that allows flexibility on both sides. Sometimes a bridge-loans can mend this time crunch, and Solve can assist with putting together a great financial strategy.
Taking on two mortgage payments simultaneously is a costly endeavor. Nonetheless, it may be the only viable option for some looking to buy their dream home.
3) Sell Your California Home and Rent for a Short Period of Time
Instead of rushing into your next purchase, consider taking a step back and renting while you wait. By temporarily letting go of homeownership in California, you have an opportunity to explore options free from the pressure that comes with immediate buying decisions - giving yourself quality time to make better-informed choices for future investments.
Moving to an unfamiliar area can be intimidating, but renting is a great way to explore the local community and make an informed decision about where you'd like your future home. With careful consideration upfront, you can avoid buyer's remorse by finding a property that best suits your family’s needs in terms of lifestyle and location.
Although, if you're moving for business purposes, are Relocation Assistance Available to You? Take advantage of the unique employment opportunities that could come into play. With some savvy negotiation, you may be able to enlist your future employer's help in subsidizing relocation costs and mitigate financial strain incurred during this period of transition.
When Negotiating a relocation package, be sure to consider:
The Cost for trips traveling to find your new home
Temporary living expenses (Airbnb, hotel stays)
Home Moving Expenses
Other discretionary spending for things like furnishing, food, and other needs
Ready to Sell Your California Home, Now What?
Are you preparing to sell a home in California? Follow our three-phase guide for successful real estate transactions and check out our Sellers' Timeline Checklist for more details! Before listing, get yourself ready by doing the necessary paperwork. Then put your property on the market and find a suitable buyer — we've got tips for navigating contract negotiations that'll help seal the deal. Finally, make sure all parties are satisfied with closing procedures before celebrating completion of this exciting process!
Tax Consequences: Can the Money from the Sale of the Home Be Considered Income?
When selling your house in California, an understanding of the federal tax implications is critical. Make sure you're aware of them before making any decisions.
Selling a house in California can bring a profit which is considered taxable income by the IRS. Depending on how long you've held onto the property, your gain could either short-term or long-term. If it's less than a year old, then you'll more than likely incur a short-term capital gain; however if its age exceeds twelve months, that boosts your possibility by benefiting more favorably to a long-term capital gain!
The IRS taxes short-term capital gains at your standard income tax rate with a cap of 37%. For long-term investments, you can benefit from more favorable taxation rates that max out at 20%, depending on which bracket you fall into.
Are you looking to sell a house in California and move out of state?
We understand that moving can be stressful and there’s a lot to consider when selling your home. That’s why Solve Lending & Realty is here to make the process easy for you. With our expertise, we’ll help with your sale, financing and transition into your new home.
We want you to have an efficient and successful move so that you can focus on what lies ahead. Our experience has shown us how much stress sellers feel when they don't know where find the right resources or who to trust during this process but that's nothing we need worry about- we've got it all covered!
Don't wait another day; get started now by taking advantage of Solve Lending & Realty's services! Contact us today get expert advice on how best handle everything from financing your relocation to finding the perfect new place call home. Let's start making this move happen!
Solve Home Seller Solutions
How To Sell Your House Fast, Your Way
In today’s competitive sellers’ market, it takes more than just an MLS listing to sell your home quickly and for top dollar. That’s why we at Solve Lending & Realty provide comprehensive digital marketing services to help you showcase and advertise your property across multiple platforms, giving you a competitive edge over other listings in the area.
We offer access to an exclusive network of over 31,000 investors who are ready to purchase any property in any condition. With our team of experienced professionals, we will develop a tailored marketing plan that showcases your property and connects it with this vast pool of eager buyers. Allowing you to quickly and confidently sell your home for top dollar without any hassle.
We are a family-owned & operated real estate company specializing in buying particular homes within California’s major metropolitan areas. Our credit line is limited, so we’ll be able to let you know if we have funds available to meet your timeline needs. Although, you can rest assured that you’ll receive a competitive offer on your property within a timely manner.
The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only.
Company NMLS ID: 2013271
www.nmlsconsumeraccess.org
Equal Lender Opportunity
Equal Housing Opportunity
Company DRE ID: 02123993
www2.dre.ca.gov/PublicASP/pplinfo.asp
The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. This is not a commitment to lend or extend credit. Information and/or dates are subject to change without notice. All loans are subject to credit approval.
By submitting above, I authorize an affiliated Solve Lending & Realty representative to call me, send text messages and emails to me about property valuations and financing options at the number entered above even if I'm on a National or State "Do Not Call" list. You can opt-out anytime, data and message rates may apply.
©2022 Solve Lending & Realty