What are options to purchase (downsize) while selling current residence when payment of two mortgages at same time would be rough?

Asked by Crouse1962, Katy, TX Wed Apr 4, 2012

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Gary Jones, , Katy, TX
Tue Apr 17, 2012
Where is your current home located?
Gary
0 votes
Shaukatali K…, Agent, Katy, TX
Thu Apr 5, 2012
My earnest opinion is not to get over your head and buy another house.
2 mortgages???
It will be a nightmare if you can not sell your present home at a reasonale time and price.
Sell your home and face some hardship of moving into a temporary palce for a few months.
Get a Realtor who is familair with your area to sell your house.
At the same time start looking for your new home where you want to be.
Are you prepared to be a LANDLORD??
If you have any questions call or email.I am here to provide you my service.
see attached how to prepare to sell your home.
Good Luck.
0 votes
Stuart Schol…, , Sugar Land, TX
Wed Apr 4, 2012
Just don't do it. Don't do it. DON"T DO IT!!! Patience. Get your house in really good shape to sell it. Let your Listing Agent make some suggestions and please listen to your Agent. Do some research on staginge your home while you are living in the house. Spend the money necessary to get it in tip top shape. Do not enter into any contract to sell unless you see a Conditional Approval Letter AND proof of necessary funds from the Buyer. Make sure the Buyer is well qualified. In the meantime figure out what you want in a downsize and figure out what community you want to be in so you can be familiar with the market. Be ready to move quickly once you see that your home is really going to close. You have to make a plan and be disciplined to execute it. Let your Listing Agent be your Buyer's Agent. Negotiate for a reduction in commission for the services since there are two transactions.
0 votes
Margaret Zam…, Agent, Katy, TX
Wed Apr 4, 2012
When you find a home that you love, place an offer with a contingency that your home must sell first. Keep in mind that once you close on your new home, your first loan payment will not be due for a month. I would be glad to work up a CMA for you and to discuss your selling and buying issues further if you are not working with a realtor at this time.
0 votes
Irina Karan, Agent, Aventura, FL
Wed Apr 4, 2012
There are several options:

1) You can purchase a new place and rent it out for 6 months, while you are selling your current residence. Mortgage calculation takes 75% of gross rental income as additional income, so you'll have to qualify.
2) You can purchase a new place, move there, and rent out your old place (same for the mortgage calculations) for 6 months, while you are selling.
3) You can buy with contingency to sell your old house, as Abeda mentioned
4) If you can take cash out of your current home, and pay off the new (downsized one), so there are less expenses. You'll refinance the new place later on, if need be. Depending on your agen, reversed mortgages could be yet another option.
5) You can move somewhere else (relatives, friends, kids), if possible, and rent out both places untill you sell the old one
6) You can stay in post-occupancy period, which could be a couple of months...to buy a new downsized place

Hope this helps.

Irina Karan, CDPE
Beachfront Realty, Inc.
IrinaKaran@gmail.com
0 votes
Chris Holcomb, Agent, Katy, TX
Wed Apr 4, 2012
If your house is priced right and isn't in bad condition it should sell in 30-90 days. One option is buying new construction, they will allow to put the new house under contract with a contingency that your current house sells, not too many resales will allow this but some will. If your going to get new construction I suggest you get a realtor still, it doesn't cost you anything nor change the price of the new home.

The first step would be to check with your lender and see if you qualify for the new house if you lease out your current house. You will get a 75% credit for the lease amount towards your debt to income ratio with a lease. This means that if you lease your house out or $1000 a month they will add $750 a month to your debt to income ratio. This will give you a backup plan incase you can't sell your current home, houses will generally rent out in 30 days or less in Katy if it is priced right.

As you can see here the key is pricing your current house right. Call and have at least 3 realtors give you a CMA on your house. You will have some that will give you a high price because they want your listing to pick up buyers. Be realistic, go between the low and the high and look at it from the buyers side. Compare your home to the ones around it and ask your self which one would you buy at the same price.

If you would like a CMA from our team just let me know and we would be glad to come out and give you our opinion for what your house should sell for.

If your current house is not already listed ask us about our Step-Up and Step-Down programs.

Chris Holcomb
Century 21 Western Realty
(832) 303-0021
Chris@Team-Holcomb.com
http://www.Team-Holcomb.com
0 votes
Abeda Sulema…, Agent, Katy, TX
Wed Apr 4, 2012
How long has your home been on the market for sell? One option is if you find a home that you like and you have not sold your current one - you can put in offer and negotiate the buy with a contingency dependant on the sale of your current one. Also, If it does not sell by the time you find one you want to buy - another option is leasing your current home - are you open to that?

my contact is 832-788-5614 - web address is http://www.har.com/abedasulemanji
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