BUYING AND SELLING AT THE SAME TIME
Buying and selling a house at the same time can be a daunting task, but with the right approach, it can be manageable. Here are five key points to keep in mind when navigating this process:
Timing is key - It's important to coordinate the closing dates of your sale and purchase as closely as possible to avoid any potential complications. This will also help to minimize the amount of time you have to spend in temporary housing. Ask your realtor on the best way to approach this transitional phase. Sometimes I recommend listing the house first, but other times I recommend my clients to get their next house under contract first, it all depends on where you are in the “season of real estate” and how your hyper-local market is doing at that time.
Get pre-approved for a mortgage - Before you start looking for a new home, it's a good idea to get pre-approved for a mortgage. This will give you a better idea of what you can afford and will also make your offer more attractive to sellers. You lender should be able to give you a few different scenarios of what to expect if you sold your house at X or Y amount, along with how long you can bridge between the loans/addresses.
Use a real estate agent - A realtor can help you navigate the buying and selling process and can also help you find a home that meets your needs and budget. They can also help you price your current home competitively and market it effectively. My personal strength is my own experience, I know how it’s like to sell and buy a house, having to organize all your paperwork, packing, cleaning and timing the move, all the while keeping the house showing-ready and exiting the house before showings. It is a quite a bit of work, but it’s always so rewarding once the dust settles and you get to enjoy your new home.
Be prepared for contingencies - Buying and selling a house at the same time can be risky, so it's important to be prepared for contingencies. For example, you may need to include a contingency clause in your purchase contract that allows you to back out if your current home doesn't sell within a certain timeframe, or you might have to plan for a whole month in between the properties that you may need to find a short term rental for, or you might even have to adjust the closing dates on either side of the transactions to make sure it all matches up. Definitely have your realtor show you a good roadmap with generic dates to expect, but always be prepared to pivot when changes arise.
Keep an open mind - Buying and selling a house at the same time can be stressful, but it's important to keep an open mind and be flexible. You may have to compromise on certain things, such as the price or location of your new home. But with the right approach, you can make the process as smooth as possible. I personally have served many clients manage this whole process and so far have a 100% success rate on getting everything set in motion for my clients, so don’t worry, many families go through this transitional phase, and it can certainly be done with some effort. Hey, you might even find it easy and relaxing as most of my clients go through decluttering and purging in a way that they wouldn’t have otherwise, because knowing the rented moving truck was coming, they had a clearer vision on what to keep and what to clear out!
Overall, buying and selling a house at the same time can be a challenging process, but with the right approach and by keeping these five key points in mind, you can make it manageable. It is always a good idea to seek the guidance of professionals like realtors, mortgage lenders, inspectors, and movers to ensure that everything goes smoothly.
Are you planning to buy and sell at the same time? I’ve personally moved my family 6 times along with helping hundred plus clients do the same. I’m happy to share all my expertise and tools with you. Message me here to inquire and learn more!