Many people do not consider buying and selling a house both at the same time mainly because it is a very difficult and complex process. However, if you have the proper planning and if you keep in mind a few essential points, you can make this work done. It is not something impossible but just a little more different than the one-way transaction that you do when you are either buying or selling. For many people, it seems daunting and not something they would opt for, but measuring the pros and cons of it can actually help them evaluate better.
This article here helps you do that evaluation and assessment and find out if it is for you to do. Also, another very big factor that plays a very crucial role is the kind of real estate agent you are taking help from. This factor will be in your favor if your real estate agent turns out to be completely trustworthy and genuine. Just by keeping a few things in mind and having a thorough and proper plan will enable you to buy and sell your home both at the same time and very smoothly. So here are a few of the suggestions and ideas:-
- Firstly you need to understand that it is a balancing act and both these transactions that you do depend on each other. It is always suggested that you should never buy a new house first and then find a party to sell. It is not being hinted that if you go by this way it will not be possible for you but it will just lead to some added financial pressure on your side. If at all you are able to find your perfect home even before selling then there are some things you can do about that: you can go for a bridge loan because these are short-term loans and they basically help you when you have to pay off any debts of your old home.
Bridge loans are particularly helpful when you wish to purchase your new home first and then sell off your old one. You can also use the money that you acquire from selling off your old house to pay off the bridge loans. You can also go for a home sale contingency in the offer that you make. However, in today’s scenario, people usually do not opt for home sale contingency much.
- Now if you are planning on selling off your new home first and then purchasing a new one then it is always a better option to choose for primarily because it eases you on the monetary grounds. This way you will be more certain about how much money to invest in your new property and you will have better control over the amount you are spending. If it is possible for you then try and keep the date of selling your old home same as buying your new one. It may sound a little difficult in the first place but if you can plan it out properly then it saves you from the pain of having to move twice and you can easily move out from a home and shift into the new one.
You need to try and make this settlement to your advantage and in order to do so, you need to be a little flexible and state proper negotiating terms with your buyers and sellers in the contract. In case this does not work out then as a backup option you need to look out for a temporary rental; you can stay in that one until it is time for you to move into your new house. What you can also opt for is a rent back contingency where you can ask for your home back on rent; this will be given to you by the buyer who has not yet turned into the owner of the house and you can ask for it as long as the deal hasn’t been closed on the dotted line.
- Now you need to be introduced to ways in which a real estate agent can help you in this whole process. Since this is all a very new experience for you and you aren’t aware of the decisions to make, your real estate agent will step into the scene. He/She will help you make the right choices in terms of investing the money for the right plot and also evaluate the market value of the plot. They will use their expert skills and compare the prices for you and then make you select the one that is best for you. They will also help you in negotiating with the buyer of your house and help you in listing the perfect selling price for your plot.
You should also ask all kinds of question and get your real estate agent verified properly before you finalize on a particular one; make sure the person is a proper professional and particularly great at his job because this is both selling and buying at the same time.
- The last and most common point is that you need to check on your finances; you need to make sure that the purchase you do is after you have taken a suggestion from your financial partner and it is certain that the purchase is feasible. Your available finances will also determine the amount of the loan that you will have to take.
Maybe after going through this article, you will understand that however challenging it seems, buying and selling at the same time is very much possible and that too by you. All it requires is extensive research on this topic and also a meticulous plan so that based on that plan you are able to move ahead better while the process is ongoing.