In Real Estate, one of the most frequent questions I am asked is if it is better to sell first or buy first when it comes to wanting to buy a new home. Read on to learn more about this decision and educate yourself on what steps might work best for you!
When you’re thinking about buying a new home, one of the first questions you have to consider is whether to sell your current home before buying a new one. On the surface, this may seem like an easy decision; however, there are many factors that can influence your decision and ultimately determine what’s best for you. Let’s take a look at some of these considerations and how they might impact your decision-making process.
Financial Considerations
When deciding whether to sell first or buy first, you should consider how selling your current home will affect your finances. If you’re able to sell your home quickly and for a good price, then it may make sense for you to go ahead and put your house up on the market first. That way, you’ll have more money available for a down payment on the new house and won’t have to worry about financing two homes at the same time.
On the other hand, if there’s a chance that it could take longer than expected to find a buyer for your current house—or if the sale price isn’t as high as you’d hoped—then it might be better for you to purchase the new home first. That way, if need be, you can move into the new place while simultaneously trying to find a buyer for your existing home. Just make sure that when purchasing the new property, you include an “escape clause” in your offer so that if something goes wrong with either transaction (for example, if the deal falls through on either end), then neither party is legally obligated to complete their end of the agreement.
Timing Considerations
In addition to financial considerations, timing should also play an important role in determining whether or not it makes sense for you to sell or buy first when purchasing a new home. If there’s little overlap between when your current house is likely to sell and when it would make sense for you to buy (ideally within 90 days), then selling first may be the better option since this would give potential buyers more time and less pressure from competing offers from other buyers who are also looking at properties in their desired area/price range. On the other hand, if there’s enough overlap between when both transactions can occur (i.e., close within 90 days), then buying first may be advantageous as this would give potential buyers less time/pressure from competing offers from other buyers who are also looking at properties in their desired area/price range.
Conclusion
Deciding whether or not to sell before buying is ultimately based on personal financial and timing considerations specific to each individual situation. It’s important that homeowners weigh all of their options carefully before making any decisions; consult with real estate professionals whenever possible because they will have valuable advice regarding what course of action may work best under certain circumstances. By taking into account all factors involved in both transactions – including financials and timing – homeowners can make informed decisions regarding which strategy makes sense given their specific needs and goals when buying a new home!
If you would like to discuss your specific situation and get my advice as a Realtor on how to navigate your home buying/selling process I am just a call / text / or email away!