As families grow and jobs change, the opportunity may arise to upgrade your home. Selling a home is a big decision, but that’s only one step of the process. If you’re currently placing your home on the market, chances are you’re up to speed on the buying process, but, maybe, not as experienced selling. If you are planning on buying a house while selling a house there are a few extra steps to consider.
If you are using a professional to sell your home, do your research and choose a real estate agent with a good reputation and one that knows the area well. They can provide guidance on pricing as well as other tips for preparing your home for sale.
Buying a House While Selling a House
How to buy a house while selling your own comes down to an extremely important factor: timing. It’s difficult to coordinate the selling of an existing home with buying a new one. Working with the same real estate agent on both transactions simplifies the process—and dramatically decreases your workload.
A real estate agent can help you choose the best asking price for listing your home and will go to bat for you in the market to ensure you don’t overpay for the house you wish to buy. While these highly skilled professionals handle the financial aspects of your move, you can set aside time to pack up furniture and make last-minute changes as everything else gets squared away.
Negotiating also plays a big part in the process of buying a house while selling a house because you’re essentially handling two very different financial transactions. As recommended in most tips for selling your home, homeowners should use the cash from the sale of their current house for the down payment on their purchase.
Paying for a down payment like this usually requires two closings in one day, or just a few days apart, so timing is crucial when buying a house while selling a house. If possible, you may close on the sale of your current house in the morning and complete the buying process in the afternoon of the same day.
Create a Backup Plan
When buying a house while selling a house at the same time, it’s always important to have a backup plan. If you found a buyer for your current home, but aren’t ready to move in, consider a short-term rental, or ask the buyers for a rent-back agreement. This will allow you to stay in the home and pay the new owners rent until you move.
If you’re having difficulty selling your current home, but no difficulty in finding and purchasing your next home, consider using savings, home equity or a bridge loan to finance your new home or rent out your current home until it sells. Whether you’re tackling the process of buying a house while selling a house alone or using professionals to guide you, there are systems in place that can help you create a buffer and relieve some stress.
Buying a house is an exhilarating experience. You have the opportunity to upgrade your lifestyle and maybe live in a community on a lake, or purchase a luxury home with all the amenities you have ever wanted. It is easy to get caught up in the excitement of buying a new home, but you still need to take time to sell your current one.
Tips For Preparing Your Home For Sale
There are several things you can easily do to prepare your home for a fast sale.
- Enhance curbside appeal - clean up the yard and tend to the landscaping
- Remove clutter - maximize the perceived space of the home
- Depersonalize - allow people to visualize themselves in the home
- Paint interior - if needed or it has been a while and do so with contemporary colors
- Put a sign up in the yard - normally a realtor will do this, but if you are selling your home yourself you will need to
- Take photos - only use great photos and consider a virtual tour in your listing
- Let some sun in - open all blinds and drapes during open houses and showings
- Make repairs - your agent will suggest any necessary repairs which should be done
- Eliminate bad smells - pets, garbage, etc., make sure your home smells fresh and clean
- Improve kitchen appeal - do whatever you can to make the kitchen more appealing
- Get organized - people looking at the house will open every door, make sure everything is organized
- Take pets elsewhere - for any showings or open houses, make sure you take pets out of the house