Buying and selling a house at the same time can be tricky but the team of Audrey and Kip will help to make this process as smooth as possible.
Selling your home before putting an offer on a different one would seem to be the best option, but it really depends on the local real estate market. Research the market in your desired area. This will let you know whether it’s a buyer or seller market. The type of real estate market in your locale can really dictate whether the process will be fast or drawn out.
The general rule of thumb is to sell first in a buyer’s market and buy first in a seller’s market; but this isn’t always the case. You can really get an understanding of what might work best for you by talking to your trusted real estate agent. They know the market!
Finances will play a huge part of both transactions. Especially, if you need to buy before you sell.
Do you have equity in your current home? The equity that has built up could be enough for a down payment on another home. Just beware, any equity is only accessible after closing on your home.
Do you have an idea of what your home will sell for based on current market value?
Have an inspection done to see what repairs or updates may need to be done on your house. This will help you formulate an amount to be deducted from the sale price or concessions you may need to make to a future buyer.
If you want to buy before selling, make an offer with a home sale contingency, which means you will buy the new home once your current residence sells. You can also request an extended closing (if you’re certain your home will sell), which extends your closing past the typical standard of 30-45 days.
If you want to sell before buying, you can make an offer with a settlement contingency. This contingency works when you have an offer on your home, and you want to buy another which means you’ll buy the home contingent on the sale of your existing home.
If you happen to sell and haven’t made an offer on another home, you can sign a rent-back, which means you go through with the sale of your home, but you rent the home back from the new owners for a specific time (anywhere from 60-90 days), giving you time to find a new home or make other living arrangements.
Ballenger Realty wishes you all the best in your real estate endeavors. If you have any questions please don’t hesitate to contact us at 267.300.8469