The question asked by nearly every home seller. The answer depends on your risk tolerance level and personal circumstances. Review the following scenarios to decide what might be right for you.
Scenario 1 - You are in a seller's market
Typically you want to start with the transation that will take the most amount of time. This means, if you are in a seller's market, you would want to buy first since finding the right home to purchase will likely take more time than it will to sell. Answer: Buy first
Scenario 2 - You are in a buyer's market
On the flip side, if you are in a buyer's market, you wil usually sell first and then buy. Answer: Sell First
Scenario 3 - You are able to write a "subject to sale" offer
A "subject to sale" offer is the best of both worlds; it allows you to purchase a home on the condition that you are able to sell your own. Not all sellers will accept a subject to sale offer, but in a buyer's market, they are more likely to do so. Answer: Buy and sell at the same time
Scenario 4 - You can afford to own two properties
If you can afford to pay the mortgage on two properties temporarily, you eliminate some of the risk involved in purchasign before you sell. Answer: Buy first
Scenario 5 - You have some place you could live in the interim
Whether you sell of buy first, there is a small risk that the possession dates on both properties may no line up. Have a backup plan for a place you can stay while waiting to move into your new home. Answer: Sell first
SHOULD I BUY OR SELL FIRST?
