Q: Should I Sell My Home First or
Wait until I Have Bought another Home?
A: This is a tough decision, but the
answer will depend on your personal situation, as well as the condition of the
local housing market.
If you put your home on the market
first, you may have to scramble to find another one before settlement, which
could cause you to buy a home that does not meet all your requirements.
If you cannot find another home, you may need to move twice, temporarily
staying with relatives or in a hotel.
On the other hand, if you make an
offer to buy first, you may be tempted to sell your existing home quickly, even
at a lower price.
The advantage of buying first is you
can shop carefully for the right home and feel comfortable with your decision
before putting the existing home on the market.
On the flip side, the advantage of
selling your existing home first is that it maximizes your negotiating position
because you are under no pressure to sell quickly. It also eliminates the
need to carry two mortgages at once.
Talk with your agent for advice.
Discuss the pros and of each and whether certain contingencies written
into the contract can ease some of the pressures.