Home buying or selling are both complex processes on their own. Needless to say, buying and selling a home at once is surely difficult as well. Especially if you’d do it the wrong way, you’ll probably end up on critical pitfalls. It would drain your cash, energy or even leave you homeless for some time.
That’s why you should know the important steps in pulling off such a feat today. This would keep you on the right track to avoid tremendous hassles.
Essential Steps in Buying and Selling a Home at once
Gauge and Plan your Finances
Always begin by drafting your finances carefully. Selling and buying a home at the same time means owning two homes under your name in a few months. That translates to further expenses, aside from the cash you should prepare for a down payment, closing fees and preparing your home for sale among other stuff. An additional burden is lenders who are unwilling to provide the mortgage loans you need since you still own your old home.
Find a Reliable Real Estate Agent
Considering that you’re eyeing a complicated move, you should find a professional to help you sail through. Be sure to hire a seasoned realtor you can trust, then ask him for some advice in buying and selling a home at once.
Plan your Schedule Properly
With the help of your realtor, carefully draft a schedule you should follow for the entire process… For example, plan when to put your home on the market, and if do you need to put a gap between selling and buying processes. Consider how much you expect to earn from selling a home as well since this will tell how much can you put as a down payment.
Hop on the Selling Process
You can then prepare your home for selling, and place it on the market. Be sure to focus on the selling process first, even though you really want to move to a new home as soon as possible. Note that you need to comply with the negotiation before closing to avoid charges; or worst, losing a buyer.
Thing is, it’s safe to do some house-hunting during this phase. Just be sure not to make any move, such as sending an offer letter to a seller.
Face the Gap between Selling and Buying
Now, you should know where to stay while buying a new home after selling. Apartments and other rentals are obvious choices, but be sure to pick one that doesn’t come with long lease contracts. After all, you’d move again after a couple of months. You can consider leasing a warehouse or storage facility for your large boxes and other household items too.
Further expenses is a major drawback of such option. That’s why, consider renting back your old home instead, which is great if you’re on a seller’s market. Include it during negotiation with the buyer.
Buy your New Home
After selling your old one, you’re now ready to buy a new home! First, get preapproved for a mortgage loan. You’re now on a safe period when lenders would be willing to provide you enough amount. Then, go through with the buying process with your realtor as a guide.
These are the essential steps in buying and selling a home at once. Yes, this is surely a big hassle, but it will give you somewhere to leave for good after the process.
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