Home Selling in Granite Bay>Question Details

Audrey, Both Buyer and Seller in Sacramento area

Should I sell first or buy?

Asked by Audrey, Sacramento area Wed Apr 23, 2008

I have found a house that I really like...the problem is that I have not yet listed my current house, which I have procrastinated doing. I have spoken to a loan officer and have been able to qualify for the new mortgage without selling my current house. My real question is - will buyers sense blood in the water if I wait to list my house (in a couple months when it will be vacant)? Will I just be inviting low offers? I owe very little on my mortgage compared to what the house is conservatively worth, but do not want to keep it as a rental. Advice?

Help the community by answering this question:

Answers

12
Hello Audrey: A staged home looks better than a vacant property. You should connect with a Realtor who can give you sound advice and guidance on your current and future home. Make sure you are potentially comfortable with two mortgage payments and the additional expenses. Now is a great time to buy! Please let me know if I can be of further assistance. My Best - Robert
1 vote Thank Flag Link Fri Jan 16, 2009
Hi Audrey,
To answer your question, buyers are sensing blood in the water already. Most buyers will try first with a low offer however if you are priced right or just below the market they will come around and work with you to make it a win win situation.
I would recommend meeting with a few Realtors and discuss pricing and staging your home.
Remember, summer time is when everyone trys to sell so we can expect a glut of homes hitting the market. Don't wait to long.
Best of luck!
Ken Brazil
Broker Associate
Web Reference: http://www.kenbrazil.net
0 votes Thank Flag Link Thu Apr 24, 2008
In a perfect world your home would already be on the market and under contract. After your under contract your buyers would of been finished with their inspections and their finances going through. When that happens you have much more bargaining power as your home is under contract...but... not the case here. I would interview a few of the top agents to find out the value of your home and what their approach would be on marketing and then find out what they think about days on the market and the likelyhood of yours selling. Then go the the financer and do the numbers to see if this is something that may work. If it is, go for it.. put an offer in and at the same time put your home on the market and sell it! Good luck. Brian
0 votes Thank Flag Link Thu Apr 24, 2008
Audrey, you've already done the most important thing, by talking to a lender and finding out that you can qualify to buy without having to sell. This will allow you to purchase the house you want AND get your existing home market ready without the stress of having to sell first. You do have to keep in mind though, that you might be making two mortgage payments until your existing home sells. Good luck!
0 votes Thank Flag Link Thu Apr 24, 2008
Audrey
I am glad you posted this question. More readers should pay attention.
1. Interview three Realtors to get your home on the market ASAP.
2. I recommend that you consider pricing it 5% BELOW market and here's why:
If you really want that new home, this is a buyer's market, right? Is the new home more expensive? Probably. If you underprice the home you will get top dollar and one or two back up offers. Get yours wrapped up
3. When you make an offer on the new home, you can make a clean offer, with no contingency. I'll bet with a good Realtor you'd come out ahead price wise. What would happen to you if someone made an offer your YOUR homes with the contingency to sell their's first? You get the picture. The market will not let your home sell UNDER value. There are too many Realtors with buyers looking for VALUE.

Good luck
0 votes Thank Flag Link Thu Apr 24, 2008
Keith Sorem, Real Estate Pro in Glendale, CA
MVP'08
Contact
Hi Audrey,
If you have a lot of equity in your home, you may want to reconsider it as a rental. I know that you said you didn't, but perhaps your realtor can show you some rental comps. I know in our area, rentals are VERY strong and can generate a good amount of passive income. There are lots of reputable property management agencies who can take the day to day burden of rental management off of your shoulders and handle many of the details that you may not want to "deal" with.
Otherwise, I would definitely go ahead and place it on the market at a good/low price. Even if you are priced well now, if you aren't in the bottom 10% of properties in comparable size/condition, you will end up chasing the market. If you don't want to have two mortgages, even though you "can", go ahead and make the offer contingent upon selling your home. It may not be as attractive, but you will be protected. If you definitely want the house, list your house and make your offer non-contingent!
Good Luck!
0 votes Thank Flag Link Wed Apr 23, 2008
Audrey, in this market, you should definitely have a contract in place for the sale of your home before committing to purchasing another UNLESS you are comfortable carrying the cost of owning 2 homes at once. This is a buyers market and that means that homes are taking longer to sell and there are many choices for buyers.

You home could take months to sell if it is not priced correctly. I suggest contacting and listing your home with an EXPERIENCED realtor in your area. You might miss getting this house that you really like right now but there will be plenty of choices for you when you are ready. And you'll be able to sleep at night without worrying about having 2 houses to maintain!
0 votes Thank Flag Link Wed Apr 23, 2008
Audrey, real estate has always been a very localized business. I suggest you get in contact with at least 3 top area brokerages and ask their managing broker for a top producer referral in that office. Contact each top producer in your area with your question and you will have a very good idea on how to proceed.
Best wishes, Elio
0 votes Thank Flag Link Wed Apr 23, 2008
It sounds as if you are clearly in a position to purchase a new home without having to make your offer contingent on the sale of your current home. You might consider making your offer to buy with a longer escrow period with the hopes that your home will sell within the same time frame.
0 votes Thank Flag Link Wed Apr 23, 2008
You would be wise to put your present property on the market now. Even though you can complete your morve without selling, you has decided not to become a landlord. Why waste time. If you can carry the old home along with the new one, you have no need to do so longer than necessary. Enlist the services of a professional home stager. By leaving some of your suitable furniture in the old home (as staged for sale), you will avoid that sometimes forlorn feeling in that property that concerns you.
0 votes Thank Flag Link Wed Apr 23, 2008
It's a Buyer's market! Be sure you have a solid contract on your present home before you commit to a new one. I've seen too many people get into trouble by jumping the gun. They end up accepting a low ball offer just to get out of it. Put your present home on the market--be sure it's in top condition and priced competitively--and be patient. Good luck!
Anne
0 votes Thank Flag Link Wed Apr 23, 2008
Hi Audrey,
I think you should put your property up for sale first because it takes a while to get a buyer. If your property is listed the other party( the ones who own the house you like) will be more responsive to your offer even if it is contingent upon you selling your property.
Good Luck,
Laarni
0 votes Thank Flag Link Wed Apr 23, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer