With the right timing, plan of action and a trusted professional on your side, buying and selling a home at the same time can be done with as little stress as possible. Here are a few tips for balancing the sale and purchase of a home simultaneously.
Understand the Market
Is it a buyer’s market or a seller’s market? You may be dealing with both markets at the same time. Understanding the local market for both the location of your current home and where you’d like to buy next will help significantly as you navigate this complex process.
Get Your Finances In Order
Use the state of your finances as a compass for the direction you take. Talk with your mortgage professional and your financial planner to understand your numbers, including the amount of liquid cash you have, the equity in your home, and any loan options you might qualify for.
Evaluate the Timing
Buying and selling at the same time can be a precarious process, especially when it comes to timing. If you have enough saved for the down payment, as well as money in savings to comfortably afford the monthly expenses that may come with having two homes for a period of time, you may be able to buy before you sell your home. If not — that’s okay. If you will need to use your equity on your current home for the down payment, there are options available as well. I would love the opportunity to guide you through the process.
Consider Your Options
There are a variety of options to consider, whether you decide to buy before you sell or sell before you buy. Options include a home sale contingency, a short-term rental, a bridge loan, an extended closing, a HELOC (home equity line of credit), and more.
Trust a Professional
It is important to have a trusted professional on your side throughout the complexities of buying and selling at the same time. If you are buying and selling in the same market, you might consider working with the same agent for both transactions. I can help streamline communication and make the process as smooth as possible.