If you have a mortgage on your current home that you owe more than your home can sell for, you may or may not be able to let someone assume your loan depending on the investor that owns the note. If a gov't loan, it's possible it may be assumable. Need to check your paperwork on if it's assumable...I'm guessing it's not. A lease purchase could be a good idea for you to find a home you want to buy in the future, and to lease/rent it with an option to buy in the future....this could help as you wait for your home to sell. Ideally if you want to go for it all - you would find a home to buy straight out or with a lease/option purchase using owner financing, settle on the terms, and either rent out your other home while you try to short sell it with your lender. I've seen this happen many times where the lender will approve the short sale, but for you to buy something you need or lease/option it for a future purchase, the owner financing is the best way. The reason is after you complete your short sale, you will not qualify for purchasing another home with a mortgage for approximately 2 years. Another option instead of the short sale (if you have only one mortgage) is to request a deed-in-lieu of foreclosure on your current home. Has a more negative effect on your credit but if doing owner financing for your larger home, most times you can still complete the purchase...you just may need to provide a little more cash deposit to the owner for the lease/option agreement. Good luck.
Tom Hinz http://www.shortsaletosell.com