Three questions to help you decide whether to buy or sell first.
Should I sell my home before purchasing a new one? Sellers ask me this question all the time because it’s much easier to sell than it is to buy in today’s market. On top of that, many homeowners need the money from their initial sale to purchase their new home. If you need to sell and buy at the same time, here are three questions you should ask yourself first:
1. Can you afford two mortgages? Most people choose to buy before they sell if they have the option. The problem is that paying for two mortgages is expensive and can add a lot of stress to your life. However, it will give you plenty of time to conveniently sell your old home for top dollar.
2. What type of home are you buying? If you have a specific location you’re targeting, you can’t always sell first due to time constraints. In this situation, you can use a bridge loan, make a contingent offer, or take out a home equity line of credit to buy first.
3. Do you want to move twice? Most people don’t, but it might be necessary if you sell first. To avoid this, you can try negotiating a rent-back agreement with your buyer. This way, you can stay in your old home while searching for your new one.
If you have questions about today’s topic or anything else, please call or email me. I am always willing to help!