Chad Hegrat
Buying or selling a home is a monumental task on its own. Whether you’re a first-time buyer, a seasoned seller, or someone navigating the real estate market for the first time in years, the process is often overwhelming. But what if you’re trying to juggle both tasks at the same time? The act of buying and selling a home simultaneously introduces a whole new set of challenges that require careful planning, flexibility, and patience.
The biggest hurdle many face when trying to buy and sell at once is timing. Ideally, you’d like your home sale and purchase to align perfectly so that you’re not left without a place to live or stuck in a temporary situation. However, this rarely happens naturally. There are a few different options to give both the buyer and/or seller more time to get their ducks in a row. Many find success by simply negotiating an extended closing date. Another common option is a rent-back agreement, where you sell the home but continue to live in it as a renter for a set period after the sale closes. Regardless of what you decide, the ability to maintain flexibility is crucial during this process. If you’re open to adjusting the plan, then you’re more likely to find success.
Ensuring your finances are in line also plays a pivotal role in this process. If you haven’t sold your current home yet, obtaining a mortgage for your new one can be complicated. Lenders will typically want to see the sale of your current property before approving the new loan, which can create a financial squeeze. Contingent offers are a great way to overcome this. This would mean your offer is completely dependent on the sale of your existing home. However, this can make the offer on the new home less attractive. There are also options like Bridge Loans, which are short-term loans designed to cover the gap between the sale of your current home and the purchase of a new one. While this may give you more purchasing power, it does come with higher interest rates and fees. It is important to weigh out the pros and cons of each before making any sort of decision.
On top of the financial and timing difficulties, there are also emotional factors to consider as well. Selling a home can be an emotional experience, especially if it’s been a long-time family residence or a place filled with memories. Similarly, purchasing a new home can feel stressful with the pressure of making a big financial decision. Finding the right real estate professional with expertise to help walk you through can be a game changer. Do your best to lean on the support from friends or family and be patient with yourself as you work through this process. Just remember, it’s a marathon, not a sprint.
In the end, while buying and selling a home at the same time is undoubtedly challenging, it’s not impossible. Whether it’s seeking advice from professionals, finding creative solutions to your moving challenges, or simply staying patient through the ups and downs, the right approach can minimize the stress involved in this process.