It can be tricky buying a new home while your current house is on the market, but people do it all the time.
Here are some ways to make it happen:
- Rent out your current home - If you're not sure you want to give up your current home yet, consider finding renters. With the mortgage payment getting paid, it'll free up monthly funds to help you qualify for a mortgage on a new home.
- Get a loan - If you can qualify to take out another loan, you might try a HELOC or even a bridge loan, which is a short-term loan with a high interest rate.
- Utilize contingencies - A popular option for buying and selling at the same time is to list your current home for sale first before looking for another home to put an offer on. Once you have accepted a buyer's offer, you're clear to put an offer on a new home, but you must list the sell of your current home as a contingency for closing on the new one. That way you have an out should the sell of your home fall through.
- Obtain a temporary residence - Sell your home first and get that over and done, then find temporary lodgings to rent while searching for a new place. It is a hassle to move twice, but you can take your time to find the perfect place without worrying over a settlement contingency.
Keep in mind that timing is crucial as you're dealing with two real estate contracts simultaneously rather than one, and this is where having a dependable, experienced real estate professional to keep track of deadlines really makes a difference. Call us today with any questions about listing or buying a home!