Are you thinking about selling your house but think there is nothing to buy so I can’t move!. Let’s talk about some techniques to help you feel confident about selling and buying a home at the same time in Westfield, Cranford, Clark, Scotch Plains, Fanwood and Mountainside Areas. So, Should You Buy Or Sell First?
Sell Your Home First
If you sell your current home first You will have the proceeds from your current home when you purchase. These funds will make your offer more attractive when you buy and provide you with greater flexibility. The downside is you either have to buy another home quickly or make arrangements for temporary living in Westfield, Cranford, Clark, Scotch Plains, Fanwood and Mountainside Areas. Short Term Rentals can be costly, Many places don’t allow month-to-month rentals if you’re a new tenant. That means you may have to pay for multiple months of rent even if you need something shorter.
Buying Before You Sell
Choosing not to sell your house before means there is the potential for two mortgage payments at the same time. Homeowners need to have a plan for how they’ll pay the loans, plus closing costs. This can be financially challenging. The best solution is to talk to your lender. A lender will provide you with guidance on whether or not you can afford two homes at the same time or creative financial solutions to cover the costs of the 2 homes.
Coordinate Your Closings
Another option is to coordinate your closing in Westfield, Cranford, Clark, Scotch Plains, Fanwood and Mountainside Areas. There are 3 approaches to the type of sale:
- If it’s financially possible prep your home for sale but don’t list until you are under contract to buy. You should hire a qualified agent like me to stage, photograph and prepare all the marketing in advance so you are ready to sell when the time is right.
2. Request a “Sale contingency”. A Sale Contingency states the transaction is contingent upon the successful sale and settlement of the buyer’s current home Simply, The buyer accepts the seller has to find a new home prior to closing.
3. Request a “Lease Back”. This is when the seller closes on the home but rents the house back from the buyer for a limited period. The seller will a have little more time to close on their new home. This leaseback option is often referred to as a “use and occupancy clause”. It allows the seller to stay but they aren’t considered a tenant and will not have all the same rights a normal tenant would. These lease back arrangements can be challenging because often they require that money be held in escrow to cover potential damage and a separate agreement for the terms of the rental must be negotiated and agreed upon. Sometimes they are necessary and it is a viable option
.
Consult With Your Agent
It is possible to sell and buy a home at the same time in the Westfield, Cranford, Clark, Scotch Plains, Fanwood and Mountainside Areas. It just requires coordination and planning. I can help you decide which option will work best for you.