“I bought a home in January planning to hold it 6 months, resell and move to Florida where I’m taking a new job. Unfortunately, I overpaid a little and the value hasn’t gone up. I really need to sell and move on, but I just can’t lose money on this. Any suggestions?”
***ANSWER:
I understand how you feel. I’ve lost money on several non-real estate investments and it hurts. So here’s my advice, and it may sound a little blunt:
What you paid for the home is no longer relevant.*
Given today’s value, your equity, and your needs, if it makes sense for you to sell the home, sell it. If it doesn’t make sense, don’t sell it.
Though this is your home, you should make the BUSINESS decision that’s best for you, not an emotional decision based on some nebulous concept of “I can’t lose money.”
If you decide selling is in your best interests and you’d like my help, call me at (858)457-KENT.
*NOTE: Unlike property held for investment, loss on a principal residence isn’t deductible. Please consult your tax advisor.
