My personal opinion is that I would not sell now but each case has exceptions to it. In general I always advise people who are moving up, to hold the asset and convert it to a rental. If you are looking at it as a wealth building exercise and can accumulate 3 or 4 quality homes in 20 years verses trading a home out over that same period then I would prefer the former over the latter. Of course this is all in the absence of trying to time the market to avoid price distortions. As much as people hate the jargon that the real estate market always appreciates in the long run, it has been a true statement.
Now if you are attempting to be a real estate market timer then you may want to consider selling. It was not hard to forecast the previous crash. The frenzy that we are seeing now is not going to last, however it is not going to be a precursor to any sort of crash either. If you think there will be a substantial depreciation event in the near future then sell now. That is a no brainer. I do not, so I would not.
