Buying a house and selling a house at the same time is no easy undertaking. Really, it’s usually quite a juggling and multitasking feat that requires handling a host of moving parts and getting the timing just right. If you don’t get it right, you could wind up paying on two mortgages at once, or, on the other hand, you might have no home to live in for a time. But it can be done if you know what to expect and do some careful planning. So be sure to check out these 5 tips to help you buy and sell a house at the same time in [market-city].
1. Lay the Groundwork and Get Ready
As with any complicated and difficult undertaking, it all begins with preparation and laying the groundwork. So when you want to buy and sell a house at the same time in [market-city], start getting ready for both the buying and selling as soon as you can because planning and preparation can “save you from making big mistakes.”
First, you have to prepare your home for listing and selling. “That will include making any necessary repairs to remove red flags for buyers, as well as decluttering and cleaning . . . Almost every house is too cluttered from the point of view of selling because selling a home is an entirely different activity from living in it . . . After cleaning and decluttering, get photographs and videos of the home completed, so those materials are set to go when you’re ready to list the property.”
An experienced Amarillo and Surrounding Area and Eastern New Mexico agent can provide valuable assistance in preparing to sell a house, especially with respect to getting top-quality listing photos. To find out more, just call (806) 333-0551.
Then you have to get ready for the buying part of it. And a big first step here is getting pre-approved for a mortgage. Here’s what industry pros say on this . . .
“Number one is to make sure your finances are in order. Many people say, ‘Oh, I know, I have great credit. I know I can get approved . . . But lending guidelines are changing every day. To get an offer accepted in today’s hot housing market, you’ll either need to have the cash to buy it outright or be fully pre-approved for a mortgage to finance the home without any conditions from a lender that your existing home must sell first. The pre-approval process for all borrowers should really start before they jump in and begin house hunting.”
2. Get the Timing Right
Next, to buy and sell a house simultaneously, you should think about and work on the timing, ensuring you can get all the pieces to fall into the right places at the right times.
“Once your financing is in place, a real estate agent can help you time the sale and purchase. One way is to negotiate the closing dates to work best for you. It’s not so hairy if you think it through and organize everything properly.”
Consider this ideal timeline in order to get an idea of how to get the timing right . . .
- Get your current home ready to sell, and then begin shopping for a new home.
- Once you’re under contract to purchase and after the inspection and negotiations are out of the way, “put [your] current home on the market and indicate a settlement date timed to coincide with the purchase closing.”
- Try to close the sale of your old home in the morning after all your stuff is in the moving van,
- Close on purchasing the new home in the afternoon so that you can move right in.
Needless to say, the timing seldom works out this well, and things don’t usually go so smoothly, so you also need a backup plan in place.
3. Have a Backup Plan
Here are a couple of things to keep in mind concerning your backup plan when trying to buy and sell a home at the same time . . .
You may need a place to stay for a short time if the timing of the two closings is off. “If the purchase will close a day or more after the sale closes, you’ll need a place for you and your stuff. If it’s only for a day or two, maybe you stay with friends or at a hotel and keep your belongings on a moving truck.”
The closings may be further apart than just a day or two, and in that case, you’ll need to take a different tack. If the closing on the purchase is delayed, you might consider a rent-back agreement with the buyers of your home so that you can stay in the home for a period. “These agreements usually top out at 60 days but often are used for just a few days to give sellers some flexibility . . . In today’s competitive market, some buyers offer to let the seller stay for free.”
Do be aware, though, “that squabbles can arise with a rent-back arrangement.” Your best bet, then, is to consult a Amarillo and Surrounding Area and Eastern New Mexico agent at (806) 333-0551 before entering into such an agreement.
4. Consider a Sale Contingency
Another way to protect yourself in the event that the steps get out of sync when you’re trying to buy and sell a house simultaneously is through a sale contingency.
Simply put, a sale contingency is an offer “that is contingent on selling your current home.” Having a sale contingency in the purchase contract will allow you to back out of the deal with impunity if you cannot sell your home. “This contingency allows you to cancel the purchase without any legal consequences and can save you from losing your deposit.”
There is the possibility, though, that your contingent offer may lose out to another buyer’s no-contingent offer. So, again, talk to your agent about the best way to proceed here.
5. Work With an Experienced Amarillo and Surrounding Area and Eastern New Mexico Agent
Perhaps our most important tip to help you buy and sell a house at the same time in [market-city] is to work closely with an experienced local agent. You must get many things right to pull off this multitasking, timing, and step-juggling feat. A good agent can help you do that, providing the guidance you’ll need to navigate the whole process smoothly. If you’re thinking of buying and selling a house at the same time, contact us at (806) 333-0551.