Key considerations: start the selling process immediately upon receiving orders, price competitively (military markets have high inventory near bases), understand your VA loan assumption option, consider renting if selling timing does not align, and use a local agent who understands military market dynamics. VA loan assumption can be a selling advantage.
Timing: Start 3-4 Months Out
Upon receiving PCS orders, start the selling process immediately. Ideally, list your home 3-4 months before your move date. This timeline allows for proper preparation, marketing time, and a closing window that aligns with your departure. Waiting until the last minute limits your options and may force a rushed decision.
Pricing Strategy: Competitive Near Bases
Military markets near bases often have higher inventory because of frequent PCS rotations. Pricing competitively is essential to attract buyers quickly. Overpricing in a military market can mean your home sits while you PCS, leaving you with a rental or a price reduction. Price based on recent sales of comparable homes, not on what you want to net.
VA Assumption as a Selling Point
If you have a VA loan at a low interest rate, the assumability of your loan is a major selling advantage. Buyers can assume your VA loan at your rate, potentially saving them thousands over market rates. This is especially attractive when current mortgage rates are higher. The assumption process requires VA approval but can significantly increase buyer interest.
Agent Selection: Military-Experienced
Work with an agent who understands military PCS moves, VA loan assumptions, and the local base housing market. Military-experienced agents understand the unique timelines, the importance of the BAH, and how to coordinate with remote sellers. An agent who has helped other military families will anticipate challenges before they arise.
Renting Option
If the selling timeline does not work with your PCS dates, renting the property is a viable alternative. A property manager can handle tenant placement and management. Your BAH can help cover the mortgage. You can sell later when the market is more favorable or when you have more time to manage the process.
Tax Benefits: PCS Sale Exclusion
Military sellers may qualify for special tax provisions. The capital gains exclusion rules are relaxed for military members on PCS orders. You may be able to exclude capital gains on the sale of your home even if you have not lived in it for 2 of the last 5 years. Consult with a tax professional who understands military-specific tax rules.
