3 Smart Ways To Buy Before Selling Your Home

By Bryan David

Bryan David is one of the best REALTORS® serving Ocean Springs, Biloxi, Gulfport and the entire coast. He is a Biloxi native, military veteran and retiree, and a multi-year top-producing agent with hundreds of satisfied clients.

Buying a new home should be exciting, not stressful. But if you still need to sell your current home, the process can feel overwhelming. The reality is you might end up juggling two mortgages, or worse, be (temporarily) homeless. The good news is you do not have to feel stuck. With the right strategy, you can buy your next home without the stress of carrying two mortgages or rushing through a sale. Here are three best strategies to buy your next home before selling:

1. Add a home sale contingency to your offer. One way to buy before you sell is by adding a home sale contingency to your purchase offer. This means your new home purchase depends on selling your current home first. If your home does not sell in time, you can usually cancel the contract without penalties. This option protects you from owning two homes at once, which can ease a lot of financial pressure. In a buyer’s market or a neutral market, sellers are often open to this arrangement, especially if your home is already listed or pending. The closer you are to a sale, the more comfortable the seller will feel accepting your offer. You can also negotiate a delayed closing to give yourself even more time to complete your sale.

2. Use a bridge loan to buy first. Another strategy is to use a bridge loan. This short-term loan gives you the money you need to buy your new home before your old one sells. It allows you to make a stronger, non-contingent offer, which can be a big advantage when competing for homes. While bridge loans come with some extra costs, the ability to move once, avoid temporary rentals, and negotiate a better purchase price often makes them worth it.

3. Rent back your current home after selling. A rent-back agreement is another great option. This allows you to sell your home and rent it back from the new owner for a period. It gives you the breathing room to buy your next home without the pressure of moving twice or scrambling for a place to stay. Most rent-backs last a few weeks, but they can sometimes be extended for several months, depending on the agreement.

Buying a new home before selling your current one is absolutely possible with the right plan in place. You do not have to choose between missing out on your dream home or rushing your sale.

If you’re thinking about making a move, I can help you explore all your options and guide you through the process with ease. Call me today at 228-215-1861 or email bhgre@expectrealty.com to schedule a free consultation. I look forward to hearing from you!