The Smart Homeowner's Guide to a Single Move

How to transition to your new home without the double-moving dread. 

One common dilemma homeowners face when looking to move is the challenge of buying a new home before selling their current one, ideally without the hassle of moving twice. The convenience of transitioning directly from your old home to your new one cannot be understated, yet the feasibility of this move often hinges on your specific situation. Let's explore several strategies that can make this seamless move a reality.

1. HELOC. A considerable number of homeowners have significant equity in their homes—often upwards of $200,000—but are unsure how to access it. A home equity line of credit (HELOC) can serve as a vital resource in this scenario. Acting much like a second mortgage, a HELOC allows you to borrow against the value of your home, providing the funds needed to purchase your next property. It's crucial to set up a HELOC well in advance of applying for a mortgage on a new home to ensure the funds are readily available when needed.

2. Bridge loans. Another option is a bridge loan, a short-term financing solution that also leverages your home's equity as collateral. Unlike a HELOC, bridge loans can be quicker to obtain but typically come with higher interest rates and are best suited for those with excellent credit. The goal is to create a "bridge" from your current home to your new home, providing temporary funds that can be repaid once your old home sells—hopefully in less than 60 days, assuming proper pricing and staging.

"Deciding between these options involves careful consideration of your personal and financial situation."

3. Third-party buying services. For those seeking a more immediate solution, third-party buying services such as HomeLight or our in-house service offer an alternative. These services can provide an all-cash offer for your home, usually below 100% of its value, but with the flexibility to stay in your home for a designated period. This approach ensures you have the necessary funds to proceed with purchasing your new home without the immediate pressure to move.

Deciding between these options involves careful consideration of your personal and financial situation. Whether it’s tapping into your home’s equity, taking out a bridge loan, or leveraging a third-party buying service, each solution has its advantages and potential drawbacks.

If you're contemplating a move and need guidance on how to navigate buying and selling simultaneously, don't hesitate to call us or send an email for personalized advice. Every homeowner's journey is unique, and with the right strategy, you can make a seamless transition to your new home without the interim hassle of moving twice. Let’s discuss the best path forward for you.