Buy First or Sell First? 5 tips. Sullivan | Panorama | South Surrey | Sellers | Buyers | Family Realtors
Buy first or sell first? This is usually the first question we ask when we know a move is imminent. The answer to this can vary depending on market conditions and our financial position at the time.
Buy first and the pressure is on to get your current home sold because you likely need the cash to close on your purchase ... In a down market this is downright stressful.
Sell first and the fear of not finding your dream home right away and having to rent or stay with family is downright daunting. Throw kids in the mix and everything becomes more complicated (as it usually does!)
Our peeps in the profession generally suggest selling first to reduce risk and stress but in these hot conditions with multiple offers now the norm and homes in the hood selling in less than a day we are seeing families throw caution to the wind. Families are buying first, assuming their home will sell with ease. But who will be the unlucky family who gets caught paying 2 mortgages when the tide turns?
Millionaires aside – for most of us - selling first remains the smartest way to surf the waves.
Here are some things to consider when taking the plunge in this hyper hot market:
1. Don't be too picky. Consider other areas and types of homes that may not have been on your radar in the past.
2. Be picky when it counts. When provided with the opportunity to review multiple offers on the sale of your home - if the highest bidder wants a quick close - consider accepting a lower sale price in exchange for longer closing dates … 3 months or more if possible.
3. Negotiate your dream rental. If you buyer needs a quick completion but can be flexible with the possession … Ask your buyer to rent the home back to you for 3-6 months.
4. Get a Plan B. Open your mind to short term rentals or staying with family. A condo on the beach? Your parents basement in Fleetwood? Uncle Bobs whatever? Whatever your back up plan, ya gotta have one.
5. Take the plunge! Dipping your toe into real estate will never get you to your goal. Get a professional realtor on your side to break the steps down into bite size pieces and start packing.
If this blog post hasn’t convinced you to sell first … take comfort in the fact … we have yet to leave a client stranded. The tide turns faster than you may think, don't get stuck in the sand.