Things can go awry when the right hand isn’t in sync with what the left hand is doing.
Selling and buying a home is no different.
Undoubtedly, one real estate transaction can be complex. When there’s two concurrent real estate processes in the works, the margin for error is thin.
Timing and luck will play a role, but there are some factors you can control during this delicate period to ensure that there’s smooth sailing as you sell and buy a new home.
So, what do you look for?
For starters, pay attention to the market, as it will be a big indicator on how to proceed. The time it takes to buy or sell a home will be determined by the market conditions. So, for instance, if you’ve decided to sell and move into another part of town, it’s important to evaluate the respective neighborhood to plan your big moves. See how long homes are staying on the market in those neighborhoods and if bidding wars are occurring.
As you navigate these markets, regardless of their similarities and differences, an experienced real estate agent with deep knowledge is another important factor in your control. Your agent will help you with the complexities associated with dual transactions by providing guidance on how to time it all out, how to plan it and how to negotiate both sides.
Pricing your home will be your decision based on the input of your agent. It couldn’t be more important for both maximizing profit while also placing a priority on your timeline. A strategically priced home, for instance, can give rise to multiple competitive offers in a short amount of time, which is invaluable as you plan your next move. As the importance of this step comes into greater focus, take the time to really understand the potential value of your home, and other financial considerations, such as your down payment and budget for your new home.
Work with a lender who can help you map out the financial path of the transactions.
Remember, you don’t need to close on your home sale before buying. Those who want to fast-track this process can make an offer on a new home that is contingent upon the sale of their current home. And, individuals can also request for an extension on closing to ensure that they meet deadlines and have the funding needed to close the deal.
Other options are available, such as waiting until your home is sold, or taking out a bridge loan or other creative solutions, such as renting your home, that I’d be happy to discuss with you.