If you currently own a home and are thinking of selling it and buying a new one, you might be daunted by the process of juggling both transactions. Luckily, I’m here to give you a few tips on how to navigate the process.
First, talk to your lender. Before you even begin to look at homes, you should make sure that all of your finances are in order. You’ll want to ensure that nothing has changed in your financial picture that you’re not aware of and to figure out your options.
There are three ways to go about handling both these transactions at once:
1. Sell your current home first. To do this, you’ll need to list your home on the market at an appropriate price that you know will help it sell quickly. This can be an advantageous way to go about it, since a lot of sellers will be hesitant to accept an offer that’s contingent on you selling your current home.
Once you close on the sale of your current home, you could potentially do a rent-back agreement, in which the purchasers of your home agree to let you live there for a predetermined period of time for rent. This would allow you time to find and purchase a new home to move into.
2. Buy your new home first. In this situation, you might be saddled with two concurrent mortgages, so it may not be ideal, depending on your financial situation.
3. Buy and sell in the same day. It might be tricky, but it is possible to plan things in such a way that you can close on the sale of your current home and the purchase of your new home in the same day. Of course, this doesn’t give you much time to move, so you may have to plan ahead.
If you have any questions about today’s topic or about the local real estate market, feel free to reach out to me. I look forward to hearing from you.