Buy or Sell First?                                          
If you already own a home and are thinking about making a move, you have to make a decision. Do you buy your new home and then sell your old one? Or sell first and then buy?

The biggest obstacle to selling first is that you may have to move twice - into a rental, then again into your next home. In a tight market, this could mean spending more time in a rental property than you might like.

Many buyers need to sell first in order to free up cash to purchase a new home. If you buy before you sell, you can choose a contingent offer or a bridge loan. Here are some considerations:

* An offer contingent upon the sale of your current home can be "bumped" if another buyer makes an offer that is not contingent.

* In order to make the contingent sale appealing to a seller, most buyers offer full price. When you make a contingent offer, you may lose negotiating power on both ends, both in offer to the seller, and sometimes by accepting a lower price on your current home in order to sell quickly.

* A bridge loan provides interim financing to "bridge the gap" until your original home is sold. It does means making two house payments, so you need to decide how long you will be comfortable paying for two homes at the same time.

There is no one solution that fits all homeowners. Whether you decide to buy first or sell first depends on your individual circumstances and the market conditions in your area. I would be happy to talk with you more about this to make sure you make the best possible decision.
 

Most homeowners find that their stress levels are much lower when they sell before they buy.

                    
Find out in advance whether you will need the money from the sale of your home to qualify for a loan on your new home.