REPLACE SHOULD WITH COULD
"Should I buy before selling?" Answering this requires more information about your personal situation and what you're looking to accomplish, but could you and still be okay? Absolutely, yes. The housing market is HOT right now and heavily in the seller's favour. If you purchase a home before selling your current one, the current market is on your side. On the flip side, if you sell your home before buying in the current market, you could end up in a sticky situation. You may have to settle on the next house because of time constraints and lack of options, or you could be hurdled into the cut throat rental market.
But there are always two sides to every coin. For example, the market could flip suddenly, and you could be left holding two properties. It's important to look at every angle before making a decision. Enter the trusty pro and con list.
PROS & CONS
Pros of Buying First:
• You have peace knowing where you are going
• You can concentrate on the purchase before you have to concentrate on the sale
• You have an idea of when you will be moving so can make arrangements
This is our recommended strategy for hot markets where you don't want to risk not being able to find something to buy before you have to move out!
Pros of Selling First:
• You know exactly how much money you have coming from your sale
• You can more easily arrange for interim financing (financing to hold 2 properties temporarily)
• You don’t have to qualify financially to own 2 properties
• You have assurances that you won’t be holding 2 properties (unless you want to!)
• You have peace knowing where you are going
• You can concentrate on the purchase before you have to concentrate on the sale
• You have an idea of when you will be moving so can make arrangements
This is our recommended strategy for hot markets where you don't want to risk not being able to find something to buy before you have to move out!
Pros of Selling First:
• You know exactly how much money you have coming from your sale
• You can more easily arrange for interim financing (financing to hold 2 properties temporarily)
• You don’t have to qualify financially to own 2 properties
• You have assurances that you won’t be holding 2 properties (unless you want to!)
This is our recommended strategy for slower markets, where it can take much longer to sell, or a sale at a certain price within a certain time frame is not certain.
SERIOUSLY, WHAT SHOULD I DO?
In the end, there's no concrete answer for the buy/sell dilemma, but confident decisions are possible when all the facts are on the table and the big picture becomes clear. To avoid ending up in the aforementioned hopeless loop of circular reasoning, we recommend contacting a Realtor. That's something we can confidently say you should do, if you haven't already. A Realtor can guide you through the decision based on your specific situation by giving tailored advice. Nothing can replace an expert with real estate knowledge to answer all your questions, advocate for you, and give you peace of mind.
If you're looking for a Realtor to partner with on your home buying journey, we're here to help! Contact us.