Brought to you by Scott P. Rogers, Funkhouser Real Estate Group, 540-578-0102, scott@HarrisonburgHousingToday.com
Brought to you by Scott P. Rogers, Funkhouser Real Estate Group, 540-578-0102, scott@HarrisonburgHousingToday.com
Friday, April 24, 2026
"Let's just buy this home -- I'm sure it will work OK for us for at least a year or two."
Occasionally, I hear this, and I always encourage buyers to pause and reflect before considering that path forward.
Buying a home that you are fairly confident will only work for you for a few years can be a costly decision... and one that is easy to regret... unless the house ends up working well for you for longer than you anticipated.
Transaction Costs Are Real
When you buy and then sell within just a couple of years, you're looking at closing costs when buying, and when selling, and the cost of moving, updating/decorating, and furnishing a home. All of those costs can add up!
On a $350,000 home, that could end up being $30,000 or more... and if you know on the front end that you will probably need or want to sell in a year or two, that's a steep price to pay.
What About Equity?
Some might want to rely on increases in home value to justify buying a house that you plan to sell a yar or two later -- but you'd need pretty strong appreciation in just 12 or 24 months try to break even on those costs. In a market with level-ish prices, or with very moderate price growth, that's far from guaranteed.
The Better Question
Before making an offer on a house that you are sure only works for you for a few years, let's think through what you'll do when that time comes... will be OK with selling after just a year or two, despite the high cost of what ended up being a short term period of homeownership? Will you keep the property as a rental property instead of selling? Will you wish you had rented for another year or two? Will you wish you would have bought a home that would work for you for 5+ years?
There will always be unanticipated life changes (for example, a new job out of the area) that can come up and cause you to sell after just a year or two -- but if you go into the purchase knowing you are almost certain to want or need to sell again after a year or two, let's dive into the what the total transactional costs might be and make sure you are comfortable with the overall financial picture.
Occasionally, I hear this, and I always encourage buyers to pause and reflect before considering that path forward.
Buying a home that you are fairly confident will only work for you for a few years can be a costly decision... and one that is easy to regret... unless the house ends up working well for you for longer than you anticipated.
Transaction Costs Are Real
When you buy and then sell within just a couple of years, you're looking at closing costs when buying, and when selling, and the cost of moving, updating/decorating, and furnishing a home. All of those costs can add up!
On a $350,000 home, that could end up being $30,000 or more... and if you know on the front end that you will probably need or want to sell in a year or two, that's a steep price to pay.
What About Equity?
Some might want to rely on increases in home value to justify buying a house that you plan to sell a yar or two later -- but you'd need pretty strong appreciation in just 12 or 24 months try to break even on those costs. In a market with level-ish prices, or with very moderate price growth, that's far from guaranteed.
The Better Question
Before making an offer on a house that you are sure only works for you for a few years, let's think through what you'll do when that time comes... will be OK with selling after just a year or two, despite the high cost of what ended up being a short term period of homeownership? Will you keep the property as a rental property instead of selling? Will you wish you had rented for another year or two? Will you wish you would have bought a home that would work for you for 5+ years?
There will always be unanticipated life changes (for example, a new job out of the area) that can come up and cause you to sell after just a year or two -- but if you go into the purchase knowing you are almost certain to want or need to sell again after a year or two, let's dive into the what the total transactional costs might be and make sure you are comfortable with the overall financial picture.
