Here are some of the most frequent concerns we hear from clients who are trying to buy and sell at the same time.
“WHAT WILL I DO IF I SELL MY HOUSE BEFORE I CAN BUY A NEW ONE?”
Here are some ideas to make sure you're in the best possible position when you decide to list your home:
Tip #1: Flex your muscles as a seller.
In a competitive market, buyers may be willing to make significant concessions in order to get the home they want. In some cases, a buyer may agree to a sell and lease back agreement (also known as a "sell house and rent back" option) that allows the seller to continue living in the home after closing for a set period of time and negotiated fee.
Tip #2: Open your mind to short-term housing options.
While it can be a hassle to move out of your old home before you’re ready to move into your new one, it’s a common scenario. If you’re lucky enough to have family or generous friends who offer to take you in, that may be ideal. If not, you’ll need to find temporary housing. Check out furnished apartments, vacation rentals and month-to-month leases. If space is an issue, consider putting some of your furniture and possessions in storage.
Tip #3: Embrace the idea of selling now and buying later. (not my favorite option!)
This option comes with a possible consequence: What if you wait too long and the prices have gone up?
**My best experiences have been this: List your place, get an offer on it, and start your home search!
Tip #4: As you get ready to sell, simplify.
You can condense your sales timeline if you only focus on the home renovations and tasks that matter most for selling your home quickly.
Tip #5: Prep your paperwork.
You'll also save valuable time by filing as much paperwork as possible early in the process.
Tip #6: Ask me about other conditions that can be included in your contracts.
Part of my job as a Realtor is to negotiate on your behalf and help you win favourable terms.
Tip #7: Enlist help early.
If possible, call me early in the process. I will not only provide you with key guidance on what you should do ahead of time to prepare your current home for sale, but also help you narrow down your list of must-haves and wants for your next one. That way, you'll be prepared to act quickly and confidently when you spot a great house and are ready to make an offer.
“WHAT IF I GET STUCK WITH TWO MORTGAGES AT THE SAME TIME?”
This is one of the most common concerns that we hear from buyers who are selling a home while shopping for a new one, and it’s realistic to expect at least some overlap in mortgage payments. But unless you have a large enough income to comfortably carry two mortgages, you may not pass Canada's beefed up mortgage stress test until you have a contract on your first home.
Contact me for a free consultation, we can review your options and decide which way is the best way forward for you!~
Your Fraser Valley Realtor,
Lee-ann Thiessen crb
- Canadian Real Estate Association (CREA) National Statistics -
- Scotiabank Global Economics Housing Note - https://www.scotiabank.com/ca/en/about/economics/economics-publications/post.other-publications.housing.housing-note.housing-note--may-12-2021-.html
- CBC News -
- Appraisal Institute of Canada - https://www.aicanada.ca/article/possible-valuation-issues-with-life-lease-housing/
- Financial Consumer Agency of Canada -
- Government of Canada - https://www.canada.ca/en/financial-consumer-agency/services/mortgages/preapproval-qualify-mortgage.htm
- RBC Bank -
- Canadian Real Estate Association - https://www.realtor.ca/blog/are-spring-and-fall-housing-markets-a-thing-of-the-past/20405/1361