Should You Buy or Sell First? Here's How to Decide
May 7
2 min read
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If you already own a home and you're planning to make a move, you're probably wondering: Should I sell my current home before I buy the next one, or buy first and sell after? It's one of the most common questions I get and the answer really depends on your specific situation.
Let’s look at both options so you can figure out what makes the most sense for you.
Selling First: The Safer Financial Move
Many people choose to sell their current home first, especially if they want more financial clarity before buying again. When you sell first, you know exactly what your budget is for the next place.
Benefits of selling before you buy:
You’ll know your exact sale price, which helps avoid guessing what you can afford.
You won’t risk carrying two mortgages at once.
If you’re making an offer on a new home, being "sold and ready" makes your offer more appealing to sellers.
What to watch out for:
There’s a chance you might not find your next home in time and need to rent short-term or stay with family.
You could end up moving twice, especially if there’s a gap between your sale and your purchase.
Tip: It’s possible to negotiate a longer closing date (3 months) giving you more breathing room.
Buying First: More Flexibility, But More Risk
Some homeowners decide to purchase their next home before listing their current one. This is more common when inventory is tight or you have very specific needs for your next property.
Reasons to consider buying first:
You won’t feel rushed, you can take your time to find the right home.
Moving can be smoother if you line up both transactions properly.
In a fast-moving market, buying first can help you get ahead of rising prices.
Potential drawbacks:
You might have to carry two mortgages for a period of time, which isn’t feasible for everyone.
If you need to sell quickly after buying, you may feel pressure to accept a lower offer.
Depending on the market, sellers might not accept an offer that’s subject to the sale of your current home.
Tip: Talk to a mortgage specialist about bridge financing. It’s a short-term loan that helps cover the gap between buying and selling, but it’s important to understand the costs.
Let the Market Guide You
Market conditions play a big role in this decision.
In a hot market where homes sell quickly, you might feel more comfortable buying first.
In a slower market, it often makes more sense to sell first so you're not stuck holding two homes longer than expected.
If you're unsure what the current conditions are in your area, I’d be happy to break it down for you.
Every Situation Is Different
There’s no universal answer to the "buy first or sell first" question. It depends on your finances, your timing, and your tolerance for risk. What’s most important is having a plan that aligns with your goals and having the right people on your side to guide you through the process.
If you're thinking about making a move, let’s chat. I’ll help you weigh your options and build a plan that fits your timeline and comfort zone. (778)-792-4226 📱
