The Nightmare Decision: Selling First or Buying First?

How to solve the dilemma of being stuck withcould still lose your home anyway.
two houses at once? This is the mystery whenIn these types of situations where a bridging loan
selling your existing home because you have tois requested and approved, the original home (#1)
move and re-buy. Real estate agents are oftenis still on the market, waiting for a buyer.
asked this question: shall I buy first or sell first?Meanwhile you move into the new home (#2) and
Nobody wants to answer that question, as therestart paying two mortgages.
is no correct answer. Or maybe there is, butSuppose that the market is slow and there are
no-one wants to hear it.no buyers for house #1? After three months you
So here it is.are still paying two mortgages and then the
It is better for a seller to sell the property beforemarket plunges. You have to drop the price of
buying a new home and then go into rentedhouse #1 considerably, meantime house #2 has
accommodation while looking. Ugh! There - it's outalso dropped from the price you just paid for it,
there now.and on top of all this you are paying two huge
Of course, this is only one viewpoint, so let's lookmortgages.
at the pros and cons.Three months have passed and no sign of a
With anything in life, you must look at the worstbuyer; would those three months have been
scenario before you make a decision. You cannotbetter or worse for you if you had been living in
risk losing your house simply because you cannotrental accommodation? Once you have answered
bear to have your life disjointed for a month orthat question, you know the answer that will suit
two. If you think it has been difficult at times toyour lifestyle.
make the payments on your home, how will it beIt's not all bad; there are some advantages to
to make two payments on two houses everyselling first and buying later. Obviously, by vacating
month?your home at a date that specifically suits
If you are in a position where you know you cansomeone else, it is an added incentive to a buyer
afford to make two mortgage payments, maybeto choose your home.
you could ignore this advice. However, it can beOnce your home is sold and you decide to buy,
very difficult to be cleared for two loans at once,you will be in a better position to offer a lower
even if you think you can afford it, so getprice if you are not involved in a chain. How about
pre-approved for two loans before you act. Ifthis one: after living in rented accommodation, you
you do move out, try and leave some furnishingswill REALLY appreciate your new home?
in the home, to help it look 'lived in'.This article was written on behalf of Eddy Kicker,
There is a sneaky way around this - that is bya Relocation Specialist who focuses on Greenville
pretending that you are renting out your existingSouth Carolina real estate. If you are planning to
home. This shows you have a (falsely) higherbuy or sell a home in the Greer SC real estate
income than you really have. Don't let anarea, Eddy welcomes the opportunity to assist
unscrupulous broker talk you into this scenario.you.
Apart from the fact that it is a federal crime, you