A "message" from Message - Should I Buy First?
A "message" from Message
Should I Buy First?
In my last article, you may recall the topic was "Must I Sell First" where-in the obvious advantages and disadvantages of selling first were looked at. I now propose to do the same for those who maybe considering buying before selling their present home.
If you "buy first" what might be your situation?
A major advantage in Buying first is you will know what the actual costs of your purchase will be, and on what date you will require the balance of the purchase money needed to complete the sale, and when you can actually take possession or occupy it.
If you plan to use your current savings and the equity in your present property, and there appears to be the likelihood of a shortfall, then there will be the need to make arrangements for financing such as a new 1st mortgage. At the same time you should give some thought to providing temporary financing in case your present property has not been sold by the time you need to complete the purchase of your new home. This can be done by spending a few moments with Lori Watson who is a Mortgage Specialist with Invis.
Here's another thought; you could consider making your offer to purchase the new home "conditional upon the sale of your present property". This means that if your offer were accepted, you have within an agreed amount of time to sell your present house. However, under the "conditional" circumstances, the seller usually reserves the right to continue to offer his/her property up for sale. Now, if during this time frame the seller receives another offer to purchase, you might be asked to remove your "condition" and therefore be obligated to complete the purchase before your own property has sold.
The question has no absolute answer; each individual and their circumstance will vary. If in doubt, or if you feel you need more information, please feel free to contact me at Coldwell Banker 1st Pioneer Realty. As licensed Managing Broker, I'm trained in maters such as this and with the availability of up to the moment knowledge of prevailing market conditions, which should be considered along with your individual circumstances, I'll help you make your decision as trouble free as possible.
Coldwell Banker 1st Pioneer Realty
22424 Fraser Highway, Langley, BC V3A 8N3