You Can Do It: How to Survive Buying and Selling at the Same Time
Would you like to sell your home and shop for a new one at the same time? It’s a daunting process, especially in a Seller’s Market where inventory can sell quickly. The complex logistics of the process can be overwhelming. What is a homeowner to do?
Some homeowners are tempted “wait it out” and sell/buy at a future date. However, because inventory is expected to remain limited in the most coveted neighborhoods, ‘waiting out’ a competitive housing market may not work.
With that said, it’s not time to throw in the towel. Current homeowners can capitalize on the current seller’s market which may provide the opportunity for a great transition to the home of your dreams.
Let’s discuss a common question I hear from clients who are in this situation.
“WHAT WILL I DO IF I SELL MY HOUSE BEFORE I CAN BUY A NEW ONE?”
What an excellent problem! Compromise becomes the name of the game. In our current real estate market, it not easy to predict accurately when you’ll be able to move into a new home.
Don’t panic. This is time to be flexible and creative.
Before listing a home, consider these tips to assure that you are in the best possible position for making the transition as seamlessly as possible:
Tip #1: Flex your Seller Advantage.
Many buyers are willing to make concessions to get their offer accepted. Rent-back is a common seller incentive allowing the seller to continue to remain in the home after closing for a set time and fee—often at no charge.
For some Sellers, this offers a unique opportunity to tap into their home equity to secure down payment money to support their own purchase. Liability can be an issue with rent-back, but a well-written contract protects both.
Tip #2: Short-term Housing is a Great Option
Many sellers are reticent to “move twice,” but short-term housing options such as staying with a family member, vacation rentals, extended stay hotels and month-to-month apartment rentals reduce stress—and can even be fun!
For some sellers, renting in the neighborhood they are considering can give them the chance to get to know the area better and make a more informed decision for their next home purchase.
Tip #3: Don’t Stress About it
Don’t get bogged down. Sometimes selling a home in advance and taking your time moving forward is a great option.
The purchase of the replacement property will not be contingent upon the sale of an existing home and sellers know exactly how much cash they have which put them in a much better position when it comes to buying their next home. Secondly, being able to focus on one aspect at a time provides the opportunity to move forward with greater confidence.
Finally, because the pressure to find a ‘perfect” home in a set amount of time can be overwhelming, the opportunity to move forward more intentionally may ultimately be a great relief.
Talk to me early to get great advice for your situation. Together, we can work on a plan to help YOU achieve your real estate dreams on your timeline and within your budget.
Check out the resources on my website and contact me for a free consultation so that I can help you review your options and decide the best way forward.