- There’s no wrong answer when it comes to the order of buying and selling
- Keep in mind the pros and cons of each option before making a decision
- Contact Colleen Terbet Sain when you know how you’re handling the purchase or sale of your home
Buying a new home while still owning a current one is a dilemma faced by many homeowners. The real estate industry has often compared it to the classic philosophical question of which came first, the chicken or the egg. At first glance, it may seem like an easy question to answer, but upon closer inspection, there are many variables to consider.
The decision to buy a new home before selling your current one depends on your personal preference and circumstances. However, there are pros and cons to both buying first and selling first, which we will explore in this blog.
Pros of Selling Before Buying Your Home
Selling your Raleigh home before buying a new one has several benefits that may appeal to some homeowners. Here are some pros to consider:
Better Home Staging
If you’re still living in the house you’re selling, you can use your furniture and decor to stage your home for potential buyers. An empty house can look uninviting and may not give buyers a good sense of what the space can be like. However, it’s essential not to overcrowd the area with furniture and decor. Leave only minimal items that can make the space look warm and inviting.
Increased Purchase Offer
In the real estate industry, the word “contingent” doesn’t sound appealing. If you’re selling your home, and the purchase of your new home is contingent on the sale of the property, the offer may not be as attractive to potential sellers. However, if you sell your home first, you will have the funds ready to make an offer without any contingencies.
Selling your home first gives you more time to shop around for your next property without any pressure to close a deal quickly. There are no contingencies or another property waiting for you, which means you can be pickier with your offers.
No Question of Final Profit
Selling your current home before buying a new one eliminates the risk of walking away with a lower profit than expected. With no contingencies, you can close the deal without worrying about any unexpected expenses or repairs that could reduce your profits.
Cons of Selling Before Buying Your Home
While selling your Triangle area home before buying a new one has its benefits, it also has its drawbacks. Here are some cons to consider:
Need for Temporary Housing
If you sell your home before buying a new one, you will need to find temporary housing. Whether it’s renting a short-term rental or staying with family or friends, it’s not an ideal situation to live in limbo for an extended period.
Uncertainty About Timing
What if the purchase of your new home takes longer than expected? The longer you stay in temporary housing, the more it can strain your finances and relationships. Month-to-month rentals are not secure, and you may have to move again if the sale of your new home falls through or gets delayed.
Selling your home before buying a new one means that you will have to move twice. Even if you pack most of your belongings and store them, you’ll still have to pack your essentials and transport them to temporary housing. Moving twice can be costly, time-consuming, and stressful.
Pros of Buying Before Selling Your Home
If you have the option to purchase your new home before selling your old one, it may seem like the route to go. There are a few reasons why this is an ideal scenario, such as the following pros.
More Time to Find Your Dream Home
When you buy a new home before selling your old one, you have a secure space to call home. This means you have more time to locate your new dream home without anyone pressuring you or chipping away at your bank account. You don’t have to completely rearrange your schedule to make showings work, and you can take your time to ensure you find the perfect place.
You’re In Complete Control
Buying before selling your old home gives you complete control over your moving timeline. You don’t have to rush the process, as you’re not under any pressure to move out of your current home. This allows you to take your time to ensure everything is properly organized and safely packed, minimizing the stress associated with moving.
Selling an Occupied Home Can Be a Hassle
Trying to sell a home while still occupying it can be challenging. You have to schedule showings, stage your Raleigh home properly, and keep it clean and tidy at all times. Larger families may find staging to be the biggest obstacle, especially if things have accumulated over the years. Some showings can also be scheduled last minute, meaning you’re having to rush out of the house. If you buy first, you’re already out of the house, and don’t have to deal with the hassle of selling an occupied home.
Only One Move
When you buy a new home before selling your old one, you won’t need temporary housing. This means that your first and only move from the house you’re putting up for sale is to the house you purchased, saving you time, money and the hassle of multiple moves.
Cons of Buying Before Selling
Buying a new home before selling your current one may seem like a good idea, but it’s important to also consider the drawbacks. Here are a few reasons why you may want to hold off on buying before selling:
Added Financial Strain
When you own two homes, it can be a major financial strain. You’ll have two mortgages to pay, and you’ll need to continue paying utilities, taxes, and insurance on the home you’re selling. This can put a significant dent in your finances, leaving you with less money to put towards your new home.
Double the Responsibility
Owning two homes also means you’ll have double the responsibility. You’ll need to maintain both properties, which can be time-consuming and expensive. It can also be challenging to keep the home you’re selling clean and presentable for potential buyers while you’re living in your new home.
Uncertainty in the Market
The real estate market can be unpredictable, and it’s possible that the value of your current Triangle home could decrease while you’re still paying two mortgages. This could leave you in a financially precarious situation.
No Matter the Order, Call Us Today
No matter which option you choose, I’m here to help. I can help you determine which option is best for your situation and guide you through the buying or selling process. Contact Colleen Terbet Sain today to get started on your real estate journey.