One of the most challenging and interesting questions posed by seniors is, "When is the best time to sell our big house? We'll be retiring soon and want to make sure we maximize our equity in order to purchase a smaller home and have money left over".

This question is intriguing since seniors today are: (1) more savvy than ever about maximizing their equity; and (2) equally savvy about market trends and timing their sale to hit the peak of the market for their big house.

Market trends impact timing a sale. Lots of factors impact a property's salability including supply and demand, the economy, and demographics. For baby boomers wanting to unload their 4,000+ square foot house, all three components may become problematic in the next few years.

The generations poised to purchase move-up homes in the next decade are typically more conservative than their parents. Many of these twenty and thirty-something's pride themselves on not entrenching themselves in massive debt (like their parents did). Instead, they purchase modest common-sense houses without a lot of fluff and conversely build up their 401(k)s and savings with the mortgage payments they save (totally polar to their mortgage-laden parents).

The bottom line is that it's doubtful that baby boomers will be able to as effortlessly unload these large homes on the generations that follow compared to how they initially embraced purchasing these large homes. Or to do so may require a price softening and/or incentives to attract these buyers to the plethora of homes available. While the supply may be abundant, the demand may be miniscule.

The next factor to impede the sale of large homes is the economy. Predicted to soften into a slump or possible recession by 2007, rising interest rates will mean fewer buyers and a generally tougher time for all sellers. Home affordability will continue to be under pressure due to rising purchase prices. Couple with this inflation-sensitive increases in utility costs that drive up monthly bills for heating and cooling and the large home may slip from the affordability category for many potential buyers.

In order for most senior consumers to maximize their equity when selling their large home, timing the sale on the high-side of the market is critical.

Timing. When it comes to selling your large home, razor-sharp timing can make the difference between moderate equity and ample resources for retirement, investment, and/or college tuition.

So how can you locate and track the information you need to sell at the peak of the market?

While there are myriad resources, three indicators can assist even the financial novice in interpreting market conditions:

Comparable properties: Hire a real estate consultant to track the listing and sale of comparable properties like yours. By the time you've received information over two to three months, you'll be able to track the following:

Comparable properties: Hire a real estate consultant to track the listing and sale of comparable properties like yours. By the time you've received information over two to three months, you'll be able to track the following: