Last time we talked about buying your dream home but things can get a little complicated if you have a home to sell first. The question is how to buy your dream home and sell the existing one at the same time?
Setting Yourself Up For Failure
It would be ideal if you could go on the search for the dream home not having to worry at all about the existing property. In some cases you may be fortunate to be in this position. A cash purchase or renting out the existing home certainly can make your purchase easier. For the majority of us our capital is tied up in the existing house. What to do?
You might be tempted to start viewing homes before your home is on the market. What will you do if you find that dream home? You’re in no position to make an offer. At least not a very strong position. It is possible to present an offer with a condition that you have a home to sell but think about how you would feel if you were in the sellers shoes.
The Sellers Thoughts
- Your home is not listed for sale yet you want me to in essence take mine off the active market for you!
- It is important to know once a home is under contract our MLS rules are that we must mark it as such. The reality is most Realtors will not show homes under contract, what’s the point? We’ll show the ones our buyers can buy.
- I have no knowledge of your home, it’s location, condition, desirability.
- I have no knowledge of who you’ll select to market your home, how good are they.
- Will you over-price your home if you get it on the market in 5 days which is the most I would allow?
- How long should I give you to sell your home, what’s reasonable and will I wait that long or more?
With all these questions perhaps you understand why a home seller may simply not be interested in your offer. Even if you get your home up for sale really quickly, imagine if the first offer you get is subject to that buyer selling their property. Imagine now how your seller is going to feel, we’re adding yet another wait period to his sale. And so it can go, on down the home selling chain.
But, But, But
Yes I hear your objections.
- But we love the house!
- We know it won’t take long to see our house.
- What are we supposed to do?
- What happens if we sell our house and cannot find the dream home quickly?
- Where are we supposed to live in between?
Sorry folks, I don’t have a magic solution to this scenario. In reality it is necessary to find a buyer for your home, then go and find the new dream home. You can, if lucky have your closings close together, but there is risk involved and some sellers are not even interested in taking a contract subject to your sale closing. Home sellers like a much cleaner buyers contract.
If you are lucky to have family close-by you may have to go and live with them during the selling-buying void. You may have to find a short term rental. If you have a rental you may end up with rent still due and a mortgage starting too, but that’s better than leaving it too late and end up being homeless or paying the high cost of a hotel.
Your Best Dream Home Buying Success Starts Here
Buying homes is a stressful experience for all and when you’ve got a sale involved in the mix it’s rarely easy as pie. However your purchase may be stalled before it even starts if you do not make the commitment to sell and get your home on the market first. Some sellers will not even let you view their home if you have to sell first. I would tend to agree with them. Why are you even looking?
I agree, it puts pressure on you as a buyer to have to find your dream home in a short period of time but you have little choice in the matter unless you find some kind of temporary accommodation. There’s nothing wrong with starting your research, you can learn a little about starting your dream home search in my last post.
We help match home sellers with home buyers. It’s all about the marketing, the price and the energy we give to getting your home sold. Why not start with anright away to get the process of matching your home to the perfect buyer started. We look forward to making your dreams come true, you can call us a t847.363.3686. Or contact us