FROM OUR BLOG
December 16, 2020

Interested in exploring the idea of selling your home, and immediately purchasing another? Those are two tall tasks! The housing market’s still hot, making selling much easier however purchasing can be challenging.

How to best navigate your transition!

With the help of a top-notch real estate agent, you may be able to close on the sale of your home, and purchase of your next home the same day. There are a lot of moving parts to this approach, however a good real estate agent, and lender (us!) can help you stay sane through the process.

 

2 strategies for success!

 

Contingent purchase

A “contingent offer” is an offer to purchase a home, contingent upon the sale of your current home. Normal timing -> Once you’re close to, or under contract to sell your current home, you begin viewing new homes and offer “contingent” upon the sale of your home. This isn’t ideal from a seller’s perspective, as the contingency degrades the strength of your offer, however may be workable for homes that have been on the market an extended period.

Winning strategies!

  1. When offering contingent the suggested approach would be to hold off on offering until you’re through inspection and appraisal on the sale of your home. This will reduce the potentially pitfalls for you and the seller, and help you compete with non-contingent offers.
  2. In a competitive market you may be able to ask for extra time in your home when selling. In a scenario where the demand for your home is high, you and your agent may be able to negotiate a rent back period after closing. This period, generally 60-90 days, can allow you time to find and secure your next home. The benefit to this scenario is your offer would be non-contingent!

If you’re considering selling and buying, please reach out to us early in the process and we’ll help you create a plan of attack!

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Sierra Pacific Mortgage Company, Inc.

Sierra Pacific Mortgage NMLS# 1788. Michael Shotnik NMLS: 218281, CO License: 100017466. Regulated in Colorado by the Division of Real Estate #988320. To check license status of mortgage loan originator, visit D.O.R.A. and NMLS consumer access.