How to buy and sell a house at the same time

I get asked this question all the time. I happened upon an article from the Wall Street Journal and thought it may be a good time to address this. A lot of people are concerned about the timing of transactions so they can seamlessly move from one home to another — at a time when houses typically spend more days on market and thorough mortgage underwriting can make for unpredictable closing schedules.

“We are seeing sellers realizing that even though they might not be able to get as much money for their property as they hoped … they’re able to get so much house for their money now, they’re able to balance that and it makes sense for them,” said Jessica Edwards, consumer specialist and real-estate agent based in Wilmington, N.C.

Early on, you’ll want to speak with a real-estate agent and understand what your home will realistically sell for. If you don’t have the equity to sell your existing home and come up with a down payment on another home, your process may stop right then and there.

After making the decision to follow through, educate yourself on the market. The Webbs, for example, searched for a home for three months before their existing home went under contract. That helped them stay aware of what was on the market so that when it was time to get more aggressive and put in an offer to buy, it didn’t feel like it was a quick decision.

Before [sellers] put the property on the market, they should go out there and see what their money can buy,” said Jacky Teplitzky, managing director of Prudential Douglas Elliman in New York. The process of buying a new home and selling your old one should be happening simultaneously.

Just don’t get too attached to homes that catch your eye until you have a contract for the sale of your existing home.

Selling side thoughts include the big challenge of  making sure it’s always ready to show. Whenever a potential buyer visits, the house should look better than any other property in the price range. 

That doesn’t have to mean spending a lot of money, either. A little sweat equity and a willingness to maintain a show-ready home will do.

Keep the counters and sinks clean, de-clutter, tidy up the closets, keep windows clean, have the beds always made, keep the place free of odors and keep the lawn trimmed, he said. A fresh coat of paint doesn’t cost much yet can make a huge difference in brightening up interiors.

But what if you don’t find a new home in time? Consider and be prepared with alternatives

Once you have a contract on your existing home and have found another you’d like to buy, good communication between all parties is essential to timing the transactions, allowing for a seamless move from one to another.

But it’s not the end of the world if you don’t find a home in time.

“If you put the house on the market and it sells faster… you’re better off temporarily living somewhere for a couple of months,” as opposed to settling for a home you’re not in love with, Edwards said. You’re also not going to miss out on market opportunities by waiting, since forecasts indicate housing markets are likely to remain affordable a year from now.

It is an achievable transition when you are armed with information and realisitic expectations. 

If you have been thinking about making a move - call or email me for information.

www.joymariehomes.com

484-614-2204

jmcd211@gmail.com

Source: National Association of Realtors and Wall Street Journal Marketwatch