Homeownership requires a lot of financial discipline, and for many Calgarians, that has only become more poignant in recent years.

As a result of shifting economic circumstances, the ongoing costs of owning a house, such as mortgage payments, utilities, property taxes, and maintenance, have largely increased. Today, many homeowners in Calgary are facing uncertainty about whether they can afford to keep their homes. 

If you’re in this type of situation, it’s important to understand your options and take action as soon as you can. Choosing to sell proactively rather than waiting for the bank to take action can save you both time and money. 

In this blog post, we’ll look at everything you need to know if you’re struggling to afford your mortgage and are thinking about selling your house.

Will My Mortgage Payments Go Up?

Mortgage renewals are currently a hot topic in Calgary real estate, and for good reason. Many homeowners who purchased homes during the COVID-19 boom are facing mortgage renewal in the near future, and their monthly payments may rise sharply as a result of interest rate fluctuations. This, paired with other economic factors and life changes, can make homeownership no longer affordable for some people. 

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Talk to Your Lender

If you’re already facing difficulty with your mortgage and are concerned about your monthly costs going up at renewal, it’s important to take action sooner rather than later. The longer you wait, the fewer options you’ll have at your disposal. 

Before you do anything else, reach out to your lender. In most cases, mortgage providers will offer some degree of flexibility or have alternative solutions they can recommend. 

Should I Sell My House If I Can’t Afford My Mortgage?

If you’ve closely analyzed your options and don’t feel like you will be able to keep up with your new mortgage, you may need to consider selling your home. Of course, this outcome isn’t exactly ideal, but it’s much better than overextending yourself financially and/or having your lender invoke the power of sale. 

Selling your home under these circumstances can be hard, especially if you feel tied to your home. That said, approaching the sale on your own terms can be far more advantageous from a financial, logistical, and even emotional level. 

What Happens if You Wait Too Long?

Your mortgage provider will only provide so much leniency. After a while, they may initiate a power of sale scenario. In other words, they intervene to sell your home and recuperate whatever is owed to them. This is typically done without any input from you, and it can be incredibly disruptive to your day-to-day life. 

Having the bank sell your home can also take away from your returns. Remember, your lender is just looking to get back what is owed to them with as little hassle as possible. They may not sell it for top dollar, leaving you with less money when all is said and done. 

However, if you take action and sell proactively, you’ll have complete control over the selling process, leading to less stress and a better outcome. 

Take the First Step of Selling

Think you might need to sell your home? The best way to get the ball rolling is by connecting with a local real estate agent. 

A great Realtor doesn’t just make the selling process feel seamless; they also have the expertise and strategies to ensure you sell for the absolute best price. Once they have a sense of your concerns and preferred outcomes, they’ll help you make the most of your situation. 

Your agent can also connect you to properties that match your needs and budget after your sale, ensuring you have a foundation for the years ahead. 

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Sell the Right Way

While you may be selling your house under less-than-ideal conditions, it’s still important to do things the right way. Rushing the pre-listing process often means sacrificing your returns, and it can even leave your house sitting on the market for longer than you expected. 

Steps like cleaning, decluttering, making repairs, and staging can all add value to your home. Your agent will help you decide which of these strategies are worth implementing. 

Make the Most of Your Home Sale 

Searching for a full-service Calgary real estate team that can help you make the most of your home sale? Look no further than Dolce Real Estate Group.

With close to fifteen years of on-the-ground experience, we’ve guided thousands of sellers through all types of market fluctuations, industry changes, and economic conditions

We understand that your home is a substantial asset; that’s why we invest in our selling strategies to help you get the greatest possible return. Rather than cutting corners, we leave no stone unturned in ensuring a smooth and successful market journey.

Want to get a great return on your Calgary home? We can help! Call 403.999.5882 to get in touch or send us an email at info@dolcerealestate.ca.

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