I think you are putting the cart before the horse. You will be in a much better position to buy a home if you first have your own on the market, and ideally you should have a contract on it before you make an offer on another home.
In the situation you described, you are getting yourself into a bidding war, and it is one that you really can't win. Even if you get your offer accepted, which is a real longshot if you make the offer with a contingency, you still have to sell your home before you can buy the new one. Only now, you'll be selling your home under pressure.
If you're serious about moving, put your home on the market now. You can go ahead and start looking at homes with your Realtor in the meantime, but wait until you have a contract until you actually make an offer on a home.
I've seen too many people do it the other way, and it goes a whole lot smoother when you sell first and then buy.
Good luck, and if you have any questions, you can email me at: Bob@SellitWithBob.com
If the seller has just put his home on the market then he is not likely to accept your contingent offer unless there is a big carrot dangling out there.
It would be best to place a non contingent offer on the home if you have the resources to own 2 homes at the same time. You should be able to sell your old home quickly if it is priced right.
If you offer busts, then the home can be on the market for another six months or more depending upon direction of the market. Also, Cherry Hill is a family town and schools start at the end of the month. Most families want to be moved in prior to the start of school. Therefore, a seller could sit on the house all winter.
Price is just one of the many things that a seller must think about when considering an offer. These other factors can include the settlement date, terms of financing, and contingencies.
If you do in fact reach an agreement and the seller decides to accept your offer, you may be subject to â€œRight of First Refusalâ€ â€¦ Which means that even though you have a contractual agreement with the seller it does not guarantee you will get the property should the seller receive a better offer.
Say for example the home you are in contract to purchase was $300,000 and the seller receives an offer for $275,000 from a non-contingent buyer, they will serve you notice and you will have up to 48-hrs (length negotiable) to lift your contingency or the contract becomes null and void. There are other factors to consider as well. The seller will most likely give you a specific performance date for which to produce a contract of sale on your home. If at that time you do not have a contractual agreement on your home, they can either extend their agreement with you or it can be dissolved.
If you should seek any additional advice, you are more then welcome to give me a call anytime.
Long & Foster, Real Estate Inc.
(609) 320-6700 â€“Cell
(856) 856-2338 â€“Office
Hope it works out for you..