How to Buy and Sell a House Simultaneously

How to Buy a House and Sell a House at the Same Time?

If you are a homeowner and want to move, selling one home while buying another may be stressful. Should you buy the next home first? Should you sell your house at the same time?

There are many ways to buy and sell simultaneously, and with the right Real Estate Agent and information, you can formulate a plan that best suits your situation.

Sell Your Home Before Buying the Next

One potential timeline is to list your house for sale and refrain from buying your next home until you have closed on the sale.

Pros

We are only dealing with one real estate deal at a time, which can lower stress levels and spread out paperwork and decision-making.
You won’t have to risk paying two mortgages at once.
There is no rush to find the right home to buy, allowing you to wait for the property and the deal you want.
Your offer won’t be contingent, making it more attractive in a seller’s market.

Cons

The most obvious con to this strategy is that you won’t have an obvious place to live or store belongings if you don’t buy your next home and sell your house simultaneously. In the interim, you’ll need to find storage and a short-term living situation.
There is no guarantee that you will find the property you want in the timeframe you expect. You may be left with seller’s remorse.
You risk an unfavorable change in the real estate market if you wait to buy.

Sell Your Home and Rent it Back.

In some unique cases, you may be able to rent your home from the buyers for a period to bridge the gap between selling and buying.

Pros

You won’t have to move everything to a storage unit between houses or rush to move everything in one day or weekend.
This strategy allows you to complete one real estate deal before entering into the next, spacing out the stressful decision-making and time-consuming.
You won’t have to make contingent offers, as you’ve already sold your home. This makes you a more competitive buyer in a seller’s market.

Cons

If you agree to a short-term lease with your buyers, your timeframe for buying is limited to that.
You may feel rushed into a decision or need to find storage and a short-term rental after all.

Buy First, then Sell Your Existing Home.

Some people prefer to purchase their next home before listing their existing home for sale.

Pros

The most obvious upside of buying before you sell your house is that you know where you’re moving to after you sell your existing home.
You won’t have to move twice since there will be no temporary housing.
You don’t have to pack things away in storage.
It’s a less rushed moving period.

Cons

You risk being left with two mortgage payments.
Your offer may be approved for a lower mortgage if you don’t plan to sell your existing home first.

Buy and Sell Simultaneously – How to Do It

You may choose to accept an offer to sell your home while you are in escrow for the next house.

Pros

This may be the right strategy if you are on a tight timeline.
You can complete all buying, selling, and moving tasks simultaneously.

Cons

This makes for a rushed timeline, with two real estate deals to manage simultaneously.
Buying and selling your house simultaneously will often mean making contingent offers, which are less competitive in a sellers’ market.
Keeping your home ready for showing while packing to move may be stressful.