4 Ways to Buy Before Your Current Home Sells

If you need to sell before you can buy, the short answer is no. The longer answer includes several ways to make it work anyway.

Homes around Nashville aren't reliably selling in a single weekend anymore, and that's changed a question we're hearing constantly: How do I buy a new house when I still have one to sell?

There is no single answer, but truthfully, if you need the proceeds from your current home to qualify for the next one, you can't simply go buy it. What you can do is get creative, because there are more paths through this than most people realize.

Selling to a cash buyer trades some money for certainty. Programs exist for this, and we sometimes buy homes directly from sellers. You'll typically sell at a discount, but you're buying convenience with that difference. Your home is sold, you know exactly what you're walking away with, and you can go shop for the next one without a contingency hanging over you.

A home sale contingency lets you make an offer before your home sells. We currently have several buyers under contract for properties they can purchase only if their own home sells, which is precisely what this arrangement covers. Sellers are more receptive to it than you might expect, particularly in a market where homes are sitting longer.

Flipping the order gives you the same protection from the other direction. List your home first, find your buyer, and then either make that sale contingent on you finding a new place or negotiate for time. We had clients earlier this year who went under contract with a two-month closing period, and others who closed and then leased their home back for two months while they shopped. Both approaches gave them a signed deal and breathing room to find the right house.

“You can't buy if you need to sell first. But that doesn't mean you're stuck.”

Bridge financing covers the gap when timing won't cooperate. Bridge loans, creative financing arrangements, and sometimes borrowing from family. There are a number of ways to span the distance between the home you need to sell and the one you want to buy.

One more thing worth mentioning, and it's a little contrary to what you'd expect from a Realtor. We'd rather you not sell at all if keeping the property as a rental makes sense for you. Holding it can do real work for your investing and long-term wealth building.

We know these options well, and which one fits actually depends on your numbers and your timeline. If you're wondering what's possible in your situation, our team would be glad to sit down with you for a free strategy session. Call or text us at (615) 315-9223, email us at homes@fykesgroup.com, or visit fykesrealtygroup.com.