For many home owners, deciding when to list their home and when to start looking for their next home is a fine balancing act!
After all, it has to be the perfect storm of timing!
If you sell your home first, you may have to scramble to find your next home before the closing. If you buy your home first, you may get stuck with paying two mortgages if your first home doesn’t sell immediately.
Today, I’m going to make a case for why it’s best to sell first and then buy later on the Plymouth real estate market.
Selling Your Plymouth, MI Home
Here are some reasons why it’s most beneficial to you to sell your current Plymouth home first before you begin looking for your next home:
You’re more likely to get a higher sales price. Think about it, if you’ve already bought your next home, you’re going to be more desperate to lower the sales price on your old home in order to get it sold. But if you haven’t bought another house yet, you won’t be under as much pressure and will thus be more likely to stick to your original list price.
You have more leeway for negotiation. As noted above, time is on your side when you decide to sell first. And given that it’s very much a seller’s market in Plymouth lately, you’re not likely going to have to wait long before your current home sells and you’re able to start looking for your next home!
You can get a “Contingent on Concurrent Closing” Clause in the Contract. This contingency basically tells any home buyer that you’re under no obligation to sell your home to them if you’re unable to find your next home before closing. This protects you interests as a home seller.
Other contingencies can help you as well. In the event that a buyer’s agent does not allow his/her buyer to agree to a “contingent on concurrent closing” clause, you may want to add ask for a contingency period. While not as ideal as the former, a contingency period gives you the right to cancel a contract within a set period of time, usually between 7 and 21 days.
Renting after closing can help bridge the gap. I’ve known plenty of people who have gone month-to-month on an apartment after selling their old home and while searching for their next home. In the case where the buyer won’t be immediately occupying their new home, you may even be able to rent back your old home for the amount that the new buyer will be paying on his mortgage. While this isn’t the ideal situation, it will give you as a home buyer to find your dream new home.
Plymouth, Michigan Real Estate for Sale
I hope you have found the above information helpful as a Wayne County home owner.
As you can see, it is possible to sell your current home and buy a new one without creating a completely stressful situation for you and your family.
For more expert advice on navigating the Plymouth real estate market as a home seller, please feel free to contact me, Noel Bittinger, today!
While you’re at it, make sure to browse some of the additional home-selling resources I offer online, such as: