Juggling home selling and home buying will pull your concentration in two different directions. It's easy to make mistakes, stress out and lose track of important pieces of information. Reduce stress by choosing what you would like to concentrate on first. If you choose to sell a home, you're more likely to have nowhere to stay during the duration of finding a new place to stay. If you choose to buy a home, you're more likely to end up paying two mortgages.
BUYING your home
Choosing to find a new home first will ensure that you will have somewhere to stay before you sell the home. Use the money from selling your home as a way to recoup the money used to purchase a new one. However, you will have to find a way to fund the new home. Work with your realtor and your mortgage company for possible ways to handle this situation. Examples are bridge financing and home equity line of credit. There's a possibility that you will have two mortgages, home insurance and utility bills during the transition. You also won't know how much to spend on a new home. It's easy to overspend.
Selling your home
Choosing to sell your home first ensures that you will have money to use. You'll get an estimate of how much you can afford on a new home. It can used to pay the entire cost of the home, a down payment or the first month's mortgage payment. The downside is desperation. Buying the first home available isn't the best answer. The best answer is a home where you researched the place thoroughly beforehand. You also need to find a place to stay during this time. You can choose between staying with loved ones, at a hotel or in a short-term apartment. Your items need a place to stay too. Find a storage place to store it in until you're ready to move to your new home.
Which one is better for you? That depends on what resources are available to you. While you can try to buy and sell your home at the same time there's no guarantee that the transition (find a new home and sell your home) will be timed to perfection. Decide if you have more connections (and possibly cash) for storage and a place to stay or to buy a new home. Contact us for more information on buying and selling your home.