When you are thinking of selling your home and buying another, you face the inevitable question: Should I buy a new home first or list my property first? Let’s take a look at both options. If you attempt to buy a property before listing your home, you run into a couple of challenges. First, sellers may not take you seriously as a buyer. After all, you haven’t put your own home up for sale yet. As far as they are concerned, you might merely be testing the market.
Second, your property might not sell as quickly as you thought it would. If you have removed subjects on your new home and it has an early closing date, you might end up owning, and paying a mortgage on both properties, at least until your home sells. This may make you feel desperate to sell for a lower price than you would have wanted.
If, on the other hand, you list and put your property on the market before buying a new home, the sellers will know you are serious. That puts you in a better position when you want to make an offer. Also, if your home sells quickly, you’ll have the peace-of-mind of knowing exactly how much of a new home you can afford. You’ll be able to shop with confidence. Of course, like the first option, there is a chance that the closing dates won’t match and you’ll end up owning two properties for a period of time. Solutions such as bridge financing are available to help if the closing dates on both your purchase and sale don’t match. A REALTOR® who has experience dealing with these situations on a regular basis will be able to guide you through the process.
Judy and Forrest regularly help their clients right-size their lives and move into new homes that fit their current needs. They have an incredibly high success rate of negotiating closing dates to match up so that bridge financing doesn’t have to come into play. Whether you are downsizing or upsizing, Judy and Forrest can help. Call for more information.
written by: Judy Sehling
Realty Real Estate You Can Trust