If you’re looking to buy and sell a house at the same time, there are a couple of ways you can go about doing it. You could buy a home first, then sell your current one, or you could also sell first and then buy.
Before you attempt these, you first need to review your finances. Getting pre-qualified with a lender will let you know exactly how much home you can afford. Your agent can also help you determine how much you could sell your home for, your equity position, and what you’d be able to use as a down payment on your next house.
Now, here’s what you need to consider when it comes to the strategies mentioned above:
- Buy first, then sell. This allows you to search for a home without the pressure of having to sell first. You also won’t need temporary housing, and you can move without the rush. However, you could end up having to pay for two mortgages at the same time until you do sell. The other issue is that you don’t know your equity position; we can make an estimate, but we don’t really know what the market will bear.
Review your finances before attempting dual transactions.
- Sell first, then buy. If you choose to sell first, the good thing is that you’ll know exactly how much equity you’ll have for your next house. You also won’t have to pay for two mortgages at once. However, you may need to look at temporary housing through a family member, friend, or leaseback with the buyer until you find and purchase your next home. This strategy is certainly doable, but it will take some preplanning and flexibility on your part.
If you have any questions about navigating two transactions at once or real estate in general, don’t hesitate to give me a call or send an email. I’d love to hear from you.