You've found yourself scrolling listings at night, and one question keeps coming up: how do I buy the next house when my money is tied up in this one? I hear it every week from Valley homeowners. Below I answer the questions people ask me most, so you can see which approach fits your situation before we ever sit down.
Which should come first, the sale or the purchase?
It depends on what matters most to you. Selling first protects your budget. Buying first protects your move. Writing an offer that depends on your sale sits somewhere in between. None of them is wrong. The right one depends on your equity, your loan approval and how flexible your timing is.
| Approach | Biggest plus | Main thing to plan for |
|---|---|---|
| Sell first | You know your exact budget, and your offer doesn't depend on another sale | Where you'll live between closings |
| Buy first | One move, with no rush to find a home | Covering the down payment and two payments for a while |
| Contingent offer | You don't carry two homes | Some sellers see it as a weaker offer |
If I sell first, where do I go?
This is where a good contract helps. I often ask the buyer of your home for a short stay after closing, in writing, so you're not packing boxes and house hunting the same week. We can also choose a closing date that gives you room to breathe. If you do need a short-term rental, you still come out ahead: you're writing offers as a buyer with no sale to wait on, and sellers like that.
What does a lender need to see if I buy first?
Your lender will look at whether you can qualify while you still own your current home, and where your down payment is coming from. Some lenders offer loan options built for this situation, and every lender's rules are different. Ask for the details in writing before you start touring. Once you've moved, your old home can be cleaned, staged and photographed while it's empty, which usually shows better than a home full of moving boxes.
Will a seller accept my offer if it depends on my sale?
Sometimes. It's more likely when your home is already listed or under contract, when it's priced to sell, and when the rest of your offer is strong. When it's a home you really want, I'll talk to the listing agent before we write anything, so we know how a contingency will be received. If you're still picking the right home, my post Slow Down While You Choose, Move Fast Once You've Chosen explains why moving quickly at the right moment matters.
Can my current loan help my home sell?
If you have an FHA or VA loan, a buyer may be able to take it over. That can draw extra interest to your listing and help your sale go faster, which takes pressure off your purchase. See how it works on my assumable mortgage page.
How do two closings stay lined up?
Two deals means two sets of deadlines: two inspection periods, two appraisals and two escrow companies. I track both on one calendar and keep your lender and both title officers talking. If you'd like to see what one of those deadlines looks like, read Getting Through the Arizona Inspection Period.
Ready to look around? Browse my featured homes, or search Scottsdale, Phoenix and Mesa. Learn more about how I help on both sides on my buying and selling pages.
Let's map out your move
Tell me about your current home and what you're looking for next. I'll show you what your home could sell for and which path makes the most sense for you. Call or text Terry Day at 602-483-4665.
Terry Day, REALTOR®, DeLex Realty, Scottsdale, AZ