The home-buying process can be an exhausting endeavor. Selling your home, in and of itself, is time-consuming and can be a major stressor in one’s life. A lot of the stress, however, does not just come from selling a home but from buying one as well. Usually, when someone puts their Sioux Falls home on the market to sell, he or she is also on the market to buy.
Selling and buying a home at the same time, while overwhelming, does not have to be as complicated as it may initially feel. If you are selling and buying a Sioux Falls home at the same time, here are a few tips to keep in mind:
Know the Market
Before you put your Sioux Falls home on the market or start to seriously search for a new home, it is important to know the market that you are buying and selling in. Is it weighted more towards sellers or buyers? By understanding the market, you will be able to determine how to begin the buying and selling process.
Whether or not you should buy or sell first depends on a few factors. Each has pros and cons. If you sell your home first, getting a mortgage is much easier, but it also means that you will need to find a temporary home in Sioux Falls to live while you search for a suitable home for purchase. Buying first makes moving much easier, but your debt-to-income ratio is skewed. When making the decision, ask yourself if you can handle two mortgages and what will happen if your home sells for less than it was listed for.
Be Cautious with Timing
Do not rely solely on timing. Buying and selling simultaneously means that you will be dealing with a lot of external circumstances. You are not the sole party in this particular equation. For every buyer, there is a seller and vice versa. Do not solely rely on the timing of another. If you plan to sell first and the buyer’s end of the deal takes longer than expected, you could be facing two mortgages for a short period of time. It is important to prepare for situations like this.
Do Not Give in to Fear
If you have sold your Sioux Falls home and have not yet found a suitable place to live, do not let the anxiety or fear of not having a place to live rush you into making a poor purchasing decision. Seek out short-term-rental options once you have found a potential buyer so that if you have not yet found a place to buy before your buyer signs the dotted line you will have a place to live in the meantime.
Buying and selling a Sioux Falls home at the same time is stressful. However, with proper planning and careful consideration of all of the various external circumstances that could take place, you can face the process in a way where your stress is mitigated and where the process is not quite as daunting.