The smartest thing to do would be sell your current home at current market value. When it is under contract start searching for your next home and chances are you could have a simultaneous closing. I would be happy to help you in any way that I can. You would be taking a huge risk if you did not sell your current home before buying another. A risk that could have consequences that would haunt you for a long time to come. If you are celling in the east cobb area, I can tell you business is picking up and many folks are getting off the buying fence.

Worst case is the bank forecloses on your current house, they seek a judgment against you for the deficiency and then harrass you for the money (garnishment etc.). That could then be followed by the placement of a lien against your new house (with interest, penalties, attorney fees etc.) that you owe them when you sell. You are playing with fire for sure.

In my opinion, the much smarter move is to price your home to sell quickly, then once you have a binding contract to sell your house, make a contingent offer (contingent that your sale goes through) on the new house you are all excited about.

Why not sell first and then buy--why take chances if you don't have to, of course the decision is yours as you know your financials best.

Anna

why would you do this? Whatever happened to selling your current residence before buying your next one? First, you can't have two owner occ loans. That would mean your second loan would have to be investor and you probably can't qualify for an investor loan right now - do you have 20% and credit scores in the high 700's or better? Do you have a renter for the first property? This is not a game - this is serious stuff.
Just because you can look at houses on the internet, and use a mortage calculator online without ever sitting eye to eye with a reputable loan originator, does not mean that you should be attempting to game the system.
I don't understand the new age of thinking on the subject of real estate, I really don't. In years past, people put their homes on the market and once it went under contract they rushed out and found their next house. It works very well that way. Trust me, there is PLENTY of inventory. You won't be pushed to move into a substandard property after your home sells.
What's all of this game playing? This is serious stuff. If people don't wake up to the responsibilities of their actions in real estate and other big ticket items, we're going to end up looking something like a third world country pretty quickly.
Obviously playing fast and loose with real estate and mortgages has caused, and continues to cause, alot of problems. Has all of the news coverage not sunk in at all? I was hoping that the general public would see the error of their ways and become more personally responsible after all of the mess this sort of risk taking has caused - I guess I was wrong.
I will echo Hank's sentiment - don't add to the problem.

You'll need blessings if you try that. We're in this position because of reckless management of credit and irresponsible lending - don't add to the problem.

Clearly you know it's not wise to buy a second home if your first one doesn't sell - there's no real mystery to how that will end. Sounds like you might be asking about "buy and bail"; buy another home and let the first one go into foreclosure...I've heard of lenders starting a "look back" period on that move so you might want to really consider things before making a decision.

Hank

Well Bless Me...........you may not want to hear this, but in this market, and this economy, I wouldn't buy without selling first ............unless you have a lot of money in reserve so that you CAN carry 2 homes..........just because the bank says you are qualified, doesn't mean you should move forward with this - think it through first

best wishes.....
Debbie Rose
Prudential NJ Properties

They can't take your primary residence as long as you make the payments. Worst case, they foreclose on your other house or you short sell it.. check these guys out http://www.youtube.com/watch?v=7YXNE-4CGnw