Buyers and sellers are feeling the uncertainty in the housing market. With
rising interest rates and a slower selling pace, it may seem overwhelming.
If you are planning to both sell your home and buy a new one, the current
environment may be even more frustrating. Where do you start? Sell first?
Buy first? The good news is with the right strategy, you can take the risk out
of this kind of move by working with your agent and utilizing contingencies.
Most people assume that they have to sell their home before they make an
offer on the replacement property. This can feel risky in any market, but
when we’re facing higher interest rates, variable home inventory, and
market uncertainty, you may feel this puts you out on a limb. What if you
sell your home and don’t find a good replacement? What if interest rates
rise even more and you are stuck renting?
Your agent can help with this. There are contingencies in every real estate
transaction. Most people know they can make an offer contingent upon
selling their current home. In this case, the buyer makes an offer and asks
for 30-60 days typically to get an offer on their existing home. The reverse
is also true. If you are unsure of the value of your current home in this
market, you can also accept an offer to sell contingent on finding a home to
buy. Both options protect you in the event that you are unable to find the
right home or loan.
Working with your agent, it is possible to buy and sell in this uncertain
market, while controlling the situation; making the process as smooth as
possible and removing unnecessary risk.
October 30, 2023