Video: Should you buy or sell a home first?

Whether you buy a home first or sell first often depends on your personal situation, the property market, and the real estate market conditions in which you are selling. 

When prices are rising month on month, it’s less risky to buy first. If your property is well-maintained and styled, it will sell quickly at a good price. The main downside to this strategy is you may end up servicing two mortgages for a bit. However, you can ask the sales agent to negotiate a longer or shorter settlement, depending on what will work for you, and hopefully align settlement dates of your new purchase and the sale of your home. 

Most of our sellers prefer to sell first, so they know how much they have to spend on their next home. They also find it easier to deal with their lender if they need to refinance their home loan. This strategy works better in a falling market. You can lock in a higher price for your property and hopefully snap up a relative bargain as other property prices fall. 

If the market is flat, it might take longer to find your next home, and that could result in you needing to live in a rental property or with relatives in the interim. 

If you need more advice on buying first or selling first, give me a call.