Is the 5-Year Rule Still a Smart Strategy in Today’s Market? 🏡📈

If you’ve ever bought a home—or even just thought about it—you’ve probably heard of the “5-Year Rule.” It’s simple advice with smart logic behind it: plan to stay in your home for at least five years before selling.

Why five years? 🧐 Because that’s typically how long it takes for your home’s value to grow enough to cover the costs of buying and selling. Between closing costs, loan fees, and agent commissions, the upfront expenses can add up. Staying put for five years allows time to build equity and ride out any short-term market fluctuations.

📊 Over the last few decades, national housing trends show that—even with ups and downs—home values tend to rise over five-year periods. That’s not a guarantee, but it’s a good reminder that real estate is a long game. The longer you hold, the better your odds of walking away with equity gains.

That said, real estate is always local. Some markets appreciate faster than others, and factors like interest rates, supply, and neighborhood demand all play a role. That’s why it’s important to look at hyper-local data, not just national averages, when making big decisions.

If you’re thinking about selling before five years—or wondering whether it’s the right time to buy—it helps to know where your property stands in today’s market. A quick equity check could give you the clarity you need to plan your next step. ✅

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