At the beginning of every year, I meet with many people who say they want to move as soon as school gets out. It’s very understandable that parents want their kids to finish the school year before packing up their home and moving to a new place. The key question is how do you align the timing of selling your home and buying a new home?

Tips for Selling and Buying a Home in 2023

Moving is stressful whether it’s down the road, across town, or to another state. The idea of not knowing how long it will take to sell your home and wondering if you can find the right home when you are ready to buy is overwhelming. The good news is that there are many approaches to strategically plan the selling and buying process. Here are options to put your mind at ease.

Buy first, then move, then sell

This option requires that you have down payment funds ready and that you qualify for a new mortgage while still holding your current home’s mortgage. If that is possible, apply for a mortgage and start home shopping. Find your next dream home, make an offer, close the sale, and move in. The last step is to list your old home after you are settled into your new place. Depending on market conditions, you should budget for several months of double mortgage payments.

Buy first with a bridge loan, then move, then sell

This option could be for you if you don’t have down payment funds available for your next home but you qualify for a new mortgage while you still hold your current mortgage. Bridge loans come in several forms. We work with trusted companies that offer these loan programs to provide short-term loans to cover the down payment. There are costs involved but they are manageable and this is a great strategy to help you buy first before selling.

Make an offer contingent upon selling your home

In a slower real estate market, this is a viable strategy. It involves making an offer on a new house subject to the sale of your current home. Your current house must be listed and sold within a specific timeline. If your home does not sell, then you can’t move forward with the purchase of the new home. In a strong real estate market, very few sellers (if any) are willing to accept a contingent offer and you may need to offer a higher price to get the offer accepted.

Sell first, then buy

This option is perfect for those who prefer to minimize financial risk and for those who only qualify for one mortgage at a time. Selling first allows you to know the exact amount of sale proceeds that you have to put down on your next home. The tricky part is coordinating the timing. There are multiple approaches to making this work, but the most common timelines are outlined below.

Option 1 - List Home for Sale --> Accept offer --> Close Sale --> Rentback* --> Find New Home --> Write Offer --> Offer Accepted --> Close Sale --> Move to New Home --> Give Keys of Old Home to Buyers.

*Rentback is when you rent your home after closing the sale. This allows you time to move to the new house before giving the keys to the Buyer of your home.

Option 2 - List Home for sale --> Accept Offer --> Close Sale --> Move to Temporary Housing* --> Give Keys of Old Home to Buyers --> Find New Home --> Write Offer --> Offer Accepted --> Close Sale --> Move to New Home.

*Moving to temporary housing while you are home shopping does mean that you move twice and you may need to store your furnishings.

Consulting with a trusted Realtor to guide you through this process is the key to success. The Carey Hughes Homes team will help you build a moving strategy to suit the needs of your situation and family. Your goals will be our priority. We define the best timeline to sell your home and the best approach for finding your next dream home.

If you are hoping to move this summer, now is the time to get the process started. It takes at least 60 days to transition from one home to another but the process could take up to 4 months. Here is an example timeline for moving to a new home by August 1.

March 1 >> Consult With CHH to Build a Strategy

March 1-March 31 >> Prepare Home to be Sold, Make Repairs/Updates, Depersonalize, Stage

April 1 >> Photography

April 7 >> Launch Listing

April 30 >> Accept Offer

May 30 >> Close Sale

June 1 to June 30 >> Rentback or Temp Housing During New Home Search

June 15 >> Get Accepted Offer on New Home

July 15 >> Close Sale, Get Keys to New Home & Move In

If the Seller of your new home needs rentback time*

*July 15 to July 31 >> Seller Rent Back & You Remain in Temp Housing

*July 31 >> Get Keys to New Home

*August 1 >> Move In

This is the time to get your moving strategy set. Let’s meet now to make your move to your next dream home happen this summer! Send us a message to schedule a free consultation.