One of the most common questions that I get is, “My family is outgrowing my current house and we want to move but, how to do we get from here to there since we can’t afford to own two houses at once?”
That’s a great question and it’s the type of question that’s difficult to answer without knowing your specific personal situation, but I’ll give it a shot.
In general, there are two ways to do it. You could plan to do a one-step move where you buy the new house on the same day as you sell the old house. Or, you could plan to do a two-step move where you sell your house first, move to temporary housing for a short time, and then buy a house on a different later date and move a second time.
The two-step option is pretty simple. We place your house on the market and sell it with a typical 30 day close. During the 30 days that your house is in-contract, most people spend time packing, moving things to storage, and finding an apartment or house to rent on a month-to-month basis or move in with family or friends until they’re able to find and close on a new house. This option has the least financial risk since there’s no chance of having two mortgages and it gives you more freedom to not settle for a house you don’t love just because there isn’t anything else available. The downside is that you have to move twice, may have to pay a higher rent rate for a short term lease, and it strings out the stress of the process over a much longer time. The overall cost of this method is higher, but for some it’s a small price to pay for the assurance of being able to take your time in finding a house and it gives you more leverage with sellers to win a multiple bid since your purchase won’t be “contingent upon the sale” of your existing house.
The one-step move is a little more complicated. In this scenario, the goal is to get your house on the market, in contract, and find a new house to buy that you can close on and move the same day as the house you are selling. Obviously, since there are more moving parts, this method comes with more risk of one of the parts in the process breaking down and the fear that you’ll end with two mortgages, homeless, having to settle on the new house, or out a lot of time, effort, and money and must start over again. The advantage to this process is that overall, you’ll save money, have to move only once, and have the whole process completed within about a month or so, which probably disrupts your family life a lot less. While this may sound difficult, my team and I successfully do this all the time and have many clients that can attest that it wasn’t nearly as bad as it sounds. It just takes the right strategies and negotiation tactics that my team employs to make it work.
If you are even thinking about moving and want to know more, we are happy to set up a time to meet and discuss your personal situation and options. Whether you choose the one-step or two-step move, we have the right tools, tactics, and strategies to help you achieve your real estate goals. Helping YOU is What We’re Here to Do!