3 Ways to Buy and Sell at the same time
Here are 3 ways to Buy and Sell a house at the same time without having to couch surf in between!
Your first option is buying your new home with a contingent offer in place. That means, if your offer gets accepted, you have a certain amount of days to get into contract on your current home. If you don’t get into contract in that time frame, the sellers can cancel the contract. If your offer is coming up against other similar offers that are not contingent, theirs will almost always win, so you might have to offer higher price to make your offer more attractive. If your offer gets accepted, you list your current home right away and depending on the market and how you price your home, you may or may not get in contract in the stated time frame. So, it may work out or you might lose the new home and start the home search process over again.
Your second option is to do a reverse contingency, which means you sell with a contingency in place that allows to you back out if you don’t find another home to buy within a certain time frame. This severely limits the buyer pool, especially if it’s a buyers market. It also puts a lot of pressure on you to find a home that’s available right now.
Your third option is using the Homelight Buy Before you Sell program. Through this program, Homelight will provide a backup offer on your home at a Guaranteed Offer Price - the price they are committing to purchase your home for if it doesn't go under contract after 90 days on the market. Your equity can then be channeled toward an interest-free down payment loan or mortgage payment coverage before your home even sells. This frees you up to put a non-contingent offer in on a home and then, once you’re in contract on a new home, we’d sell your home on the open market. If your home doesn’t sell in 90 days, Homelight will buy it at the guaranteed price and if they sell it for more than they bought it for, you would still pocket the upside. This program is a flat 1.7% of the sale price. If you are interested in learning more, hit me up and I’d love to explain it in more detail, as my team is one of the few in the area that are partnered up with Homelight!