A very important question I get asked often. Should I buy or sell a home first. It becomes a balancing act and one that we have helped hundreds of clients with.
Here are a few factors to consider and we will sit down and go over the entire process with you in great detail.
We will advise you properly.
Buying and selling at the same time can be complicated and at times overwhelming, As your Realtor, we will not only be able to help you determine the market value of your home, but also be able to talk you through timing, strategy, and negotiation.
Evaluate the local housing market
Knowing what the market in your area is, is often the biggest factor in timing your home purchase and sale correctly. This is a key factor as it will help to determine which comes first. Whether you’re just moving across town, or if you’re moving across the country, If you’re selling in one market and buying in another, you’ll need to factor that into your timing. The length of time it takes to buy and sell can vary dramatically depending on the real estate market in you area of interest. There are 3 types of markets in Real Estate. Buyers Market, Seller Market and a balanced Market.
What is a buyers market?
In a buyers market, there are more homes available than people looking to buy. You will have an easier time finding your new home than you will selling your old home. You will most likely not be competing with other buyers so you will be able to negotiate with the Sellers. Sellers may also be willing to accept your offer, with a condition to sell your home, which means you agree to purchase their home contingent on selling yours first.
What is a sellers market?
In a sellers market, there are more buyers looking for a home than there are homes available. Less supply with more buyers. Often multiple buyers will make offers on the same home creating a bidding war, driving the sale price higher then the list price. In a sellers market, your current home will likely sell more quickly than you’ll be able to find a new home. There are many options to consider which we will go over in detail.
What is a balanced market?
In a balanced market, there is about the same supply of listings for the same amount of buyers looking. In this scenario, their is room for some negotiations, but homes usually sell for just lower then the list price. But you have to act fast before another buyer steps in and makes an offer.
We will advise you properly.
Buying and selling at the same time can be complicated and at times overwhelming, As your Realtor, we will not only be able to help you determine the market value of your home, but also be able to talk you through timing, strategy, and negotiation.
If you’re in a… |
What to do |
Buyers market |
Make an offer with a sale and settlement contingency |
Buyers market |
Request an extended closing |
Sellers market |
Make an offer with a settlement contingency |
Sellers market |
Ask for a rent-back agreement |