Friday, November 22, 2019 / by Jo Skipper
I’m Buying a New House, Do I Need To Sell my Current Home First?
Whatever stage in your life has brought you to this point, a new baby, a new step in your career, downsizing, you have decided that the time has come to find a new place to call home. This decision is not one without a number questions. Do I need to sell my current home first? Run through this list of pros and cons with me to see if it can help you decide what is best for you in your situation:
Many people need to sell their homes first. This is mostly due to the mortgage burden. A bank will not allow them to add another debt to their current load. In other cases, these individuals often do not want to even consider paying for two homes at once.
The fact of the matter is even in a seller’s market some homes simply do not sell as quickly as they hoped for. Many individuals have unrealistic expectations which leaves their home on the market and frustrations boiling over. To reduce the likelihood of this situation happening be sure to work with a trusted agent who will help guide and align your expectations.
Selling your home first will allow you to realize your current financial situation in it’s true form. There is no guesswork of when your home will sell and for home much. This is a certainty that many people need in this process.
Other people want the freedom and flexibility to buy their home first. If the threat of two mortgages or maintaining two homes is not overwhelming then purchasing a home before selling your current one can have clear benefits.
The most important factor in this is timing. Your dream home has hit the market and it would fit your needs in every way. Now, you must have it before anyone else does. In order for this to work you must weigh the worst case scenario with two homes. Be sure you are comfortable with these numbers before taking the leap.
Moving from one house to another is a convenience many people need. Moving is difficult and stressful enough so don’t do it more than necessary. If you have to sell your home first then you may be stuck moving your possessions many times. Temporary housing, storage units, ect. The headache can be too much to bare.
Other options exist in the real estate world such as a rent back and house to sell contingency. These will be explained in a following video and blog. No matter what option you are leaning towards be sure to converse with your real estate professional who can provide the current market conditions to help align your goals.