Why Buying a House Before Selling a Good Deal?
There are tons of reasons why you might need to sell your current house. It could be anything from the need to down payment, relocate, expand your living space or simply buy a new house. Of course, any of these reasons are valid, but there is always one issue in such situations. Is it better to sell your old home or buy a new house first?
Some folks or even real estate agents would argue that you should always sell your old home first, as this steers you clear of having to deal with two mortgages. Now, while that might seem like a great idea, it might not be the way to go sometimes.
That’s why we have come up with some great reasons why buying a house before selling is a great idea. Read on.
Taking Advantage of the Trends In the Real Estate Market
The real estate market goes up and down. As a hot market, there will be situations when the demand for homes is greater than the supply of homes available for sale.
This is known as a seller's market and it would be a smart move to quickly get the home you want since the odds are in your favor. That would be a win-win situation for you as you get a good deal on your new home, and you don't risk selling your old home and not having somewhere to move into.
When The Financing Is Just Right
There might be times when you get the right purchase price, bridge loan, short-term loan, home equity loan, private mortgage insurance, cash-out refinance, or equity line of credit for your new property. Home buying can be tricky financially.
Talk to a mortgage broker when looking to get a real estate transaction that works for you. You would get the best closing costs on your home purchase. If you need a new mortgage, you'd need to understand your existing mortgage, your current home's equity, and monthly payment and a mortgage lender can help.
Your Dream Home Is In the Picture
If you come upon your dream home while house hunting, you should grab the opportunity, especially when the new property is too good to pass up or you have a vested account balance. The real estate housing market is a competitive market so if you don't make a move, someone will and you might lose an opportunity of a lifetime. In such a situation, a home purchase gives you an edge in the home selling process as you can generate enough cash too, especially when cash buyers are involved.
It’s Less Stressful
Putting up your existing property for sale can be stressful. What with keeping it clean and presentable and having to vacate the premises when potential buyers come checking? It even gets more challenging if you have kids and or even pets on your current property.
But when you buy a new home, you don't have to go through these hassles anymore.
It Saves You From Inconveniences
Buying a home before home sells saves you the issue of having to move out of your existing home before the deadline the buyer sets. If you are not prepared for it, you might have to face added expenses and the inconvenience of having to find temporary housing or a short-term rental and moving in and out of it.
Buying a house before selling allows you to go about the home sale process on your terms. An experienced real estate agent can help. They might have a buy before you sell program or help with your home buying process.
How Does it Work?