Should You Buy First or Sell?

When deciding whether to buy a new home before selling your current one or vice versa, it's important to consider the following factors:

If you buy first:

1. Pressure to sell: Buying a new home before selling your current one can put pressure on you to sell quickly, potentially leading to compromises on price or other concessions.
2. Hot real estate market: If the local real estate market is highly competitive and properties are selling quickly, you may feel more secure buying first.
3. Marketability of your current home: If your current home is priced well and in good condition, it is more likely to sell quickly. However, if it requires significant repairs or is priced higher than comparable homes in the area, it may take longer to sell or sell below the asking price.
4. Potential double mortgage payments: If you buy first and your current home remains on the market for an extended period, you may end up paying two mortgages simultaneously, which can strain your finances.

If you sell first:

1. Affordability of the next home: Selling your current home before buying a new one allows you to know exactly how much you can afford for your next purchase.
2. Informed offer: With the sale of your current home finalized, you have a clear understanding of closing dates and possession timelines, enabling you to make informed offers on new properties.
3. Temporary housing and storage: If you can't immediately take possession of your new home or haven't found a suitable property yet, you'll need to arrange for temporary housing and storage for your furniture during the transition period.

Ultimately, the decision should be based on your personal circumstances, financial situation, and comfort level. It may be helpful to consult with a real estate agent who can provide guidance based on market conditions and your specific needs.

To learn more about Virani Real Estate Advisors or to discuss a property sale or purchase, email us at [email protected], visit one of our offices, or call 604-913 1000.