While it may be an inconvenience, this is a common scenario that can usually be handled with a little creativity and compromise. Here are some options to consider:
1. Flex Your Muscles as a Seller
In some cases, a buyer may agree to a rent-back clause that allows the seller to continue living in the home after closing for a set period and negotiated fee. We can discuss the benefits and risks involved and whether it’s a good option for you.
2. Open Your Mind to Short-term Housing Options
If you’re lucky enough to have family or friends who offer to take you in, that may be ideal. If not, check out furnished apartments, vacation rentals, and month-to-month leases. If space is an issue, consider putting some of your furniture and possessions in storage.
3. Embrace the Idea of Selling Now and Buying Later
With cash on hand from the sale of your current home, you’ll be in a better position to budget for and buy your next home. And by focusing on one step at a time, you can alleviate some of the pressure and uncertainty involved.
“What if I get stuck with two mortgages at the same time?”
If you can’t afford to carry both mortgages, then selling before you buy may be best. (See Tip #3.) But if you have flexibility in your budget for some overlap, it is possible to manage a home sale and purchase simultaneously.
If you can afford a Bridge loan I have Bridge Loan Services that provide access to competitive rates and dedicated support from well-established industry leaders, with the exclusive option to get up to six months of your bridge loan payments fronted when you sell your home.
If you're interested, more information can be found at Bridge Loan Services.
Here are some steps to help streamline the process:
4. As You Get Ready to Sell, Simplify
You can condense your sales timeline if you only focus on the renovations and tasks that matter most. We can advise you on the repairs and upgrades that are worth your time and investment.
5. Prep Your Paperwork
If you’ll need a mortgage for your next home purchase, get pre-approved in advance. And start pulling together relevant records for your current home, such as appliance warranties and renovation permits. That way, you’ll be ready to provide quick answers to buyers' questions should they arise.
6. Ask About Other Contingencies That Can Be Included in Your Contracts
For example, it’s possible to add a clause to your purchase offer that lets you cancel the contract if you haven't sold your previous home. This tactic could backfire, though, if you're competing with other buyers. Given current market dynamics, we can discuss the pros and cons of contingencies and what’s realistic.
7. Relax and Accept That Compromise Is Inevitable
Rather than worry about getting every detail right with your housing search and home sale, trust that things will work out eventually––even if it doesn't look like your Plan A or even your Plan B or Plan C. Luckily, if you've got a good team of professionals, you can relax knowing that others have your back and are monitoring the details behind the scenes.
8. Don't Worry Too Much if Your Path Is Straying From the Convention
Remember that rules-of-thumb and home-buying trends are just that: they are estimates, not facts. So if your home search or sale isn't going exactly like your neighbor’s, it doesn't mean that you are doomed to fail.
9. Enlist Help Early
This leads us to our final tip: If possible, call us early in the process. We'll not only provide you with key guidance on what you should do to prep your current property for sale, but we'll also help you narrow down the parameters for your next one. That way, you'll be prepared to act quickly and confidently when it comes time to list your home and make an offer on a new one.
Call Today For Tailored Advice That Works For You
Buying and selling a home at the same time is challenging. But it doesn't have to be a nightmare, and it can even be fun. Contact us for a free consultation so that we can help you review your options and decide the best way forward.
Chris Muellenbach
Is a Certified Divorce Real Estate Expert, Certified Probate Expert, and Broker Associate with Compass Real Estate. During his 20+ year career, Chris has assisted his clients in hundreds of real estate transactions including professional athletes, celebrities, and even an American Idol winner. Those transactions are fun to mention, but the most gratifying part of the job is helping everyday people sell one of their most valuable assets, they're home.