Selling and buying a home simultaneously can be a complicated move. When selling and purchasing you need to consider the value of the home you are selling to the home you are purchasing. If the timelines can’t match up, then you need to think about rent-back agreements.
“A typical homebuyer does not know the ins and outs of both the complex mortgage and real estate industries — that’s why the experts are here for them to help navigate the process confidently and successfully,” she says. “Rocket Homes and Rocket Mortgage® can be that team for home buyers and sellers, helping them along the way so they have the support they need throughout the entire process,” says Christian Wallace of Rocket Homes.
Both a mortgage broker and a real estate agent will have years of experience and know how to navigate this complicated process. This helps for example if the current market is a buyers’ market, then they might suggest marketing their current home for sale a bit more to get an offer. “Then, when the seller gets a promising offer on their existing home, they can move onto the buying process since the more difficult process of selling in this market is complete, explains Wallace.
Another thing to consider is if you need to use the funds from the sale of your home, to purchase your next home. “While home buyers and their real estate agents have the power to negotiate the price tag, they can negotiate a closing date as well,” Wallace explains. “This is why it’s important to explain your needs to your agent, so you are one team working toward one goal.”
If you can get an offer on your home, and get your offer accepted on a new home at the same time, you will want to think about using a concurrent closing. A concurrent closing is where you sell your home and close on a new one in a short amount of time. They can even go on within the same day.
This may not be the way you go, you might want to think about using a rent-back agreement. “As the seller, this may be something to consider if you have successfully sold your home but the new build you’re moving into is not going to be finished in time, if you have children in school that you’d like to keep in the area for the rest of the school year, or if you simply haven’t found your new home yet but don’t want to miss out on accepting a good offer on your current home,” Wallace says.
Remember that this can be a crazy twisty and curvey path, so finding the right team to help you through the process is a must. With the help of a mortgage lender and a real estate agent, you can make both selling your current home and purchasing a new one at the same time a reality.
