Selling your home and buying a home at the same time, while not an unusual situation, can sometimes be daunting. Timing issues to ensure everything falls into place can be challenging. One solution to this potentially troublesome issue may be to rent a property for a short time and resolve the complex nature of buying and selling simultaneously.

The Advantages of Renting a Home While You’re Selling

The main benefit of electing to rent a place once your home sells provides you the luxury of concentrating on the selling phase of the process without the added worry over finding your next home immediately. Typically you can locate a rental once your home is under contract and finalize the lease when you’re sure that things are progressing smoothly toward closing.

Of course, this plan works best in areas where there are an abundance of short-term rental options. If the rental market in your area is tight, you may have just as many challenges renting as in buying.

Another alternative may be to try to sublease a property or find a landlord who accepts month-to-month rental contracts so that you won’t be locked in to a long-term lease. This process would allow you to begin searching for a home to buy once your home has sold and you’ve moved out. The primary disadvantages of this option include the need to move twice, and potentially find a storage facility for the belongings that you’ll not take to a rental home or want to unpack. Before choosing this path, consider the impact your family being in limbo for a longer time.

Choosing to Buy and Sell at the Same Time

Even though buying a new home while you sell your current one may seem like a challenge, it can be done with the skilled assistance of the right agent who can guide you through the process and know when to schedule tasks to ensure that everything is completed on time. If you have a mortgage on the home you are selling and will need a new one on the home being purchased, your lender and legal advisor should be able to coordinate the payoff of your existing loan while securing a new loan.

The key to making this work is to determine if you can manage two mortgages and be able to buy before your current home has sold. If not, you’ll need to close on your existing home and then close on your new home.  To avoid the need to require delayed possession for your own buyer, you will need to, ideally, close both properties back-to-back on the same day.  While there are some issues to deal with when buying and selling at the same time, it’s an uncommon situation.  Most agents and lenders are familiar with this need and it can generally be managed without much difficulty. Just make sure to choose the right people to work with – ones who have the experience and knowledge to ensure everything comes together at the right time. For additional information on how to structure a seamless sale and purchase, feel free to contact me today for a consultation. I will be happy to answer any questions you may have, and help you determine the value of your home or a home you may be interested in buying.  

 

 

Allyson Hoffman, ABR, ACRE, CDPE, CRS, e-PRO, GRI, SFR, SRES
RE/MAX Villager
Serving Chicago's North Shore, North and Northwest Suburbs
847-310-5300
[email protected]

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Allyson Hoffman is your ultimate real estate resource for Chicago's North Shore, North and Northwest Suburbs and surrounding areas. Visit my website for detailed information regarding today’s real estate markets.   

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