Buying Before Selling 5 Questions to Ask

Should you sell first, or explore buying before selling?

Start with five questions.

1. How much equity could actually be available?

Your estimated home value is only the starting point. Existing mortgage balances, selling expenses, financing limits, and required reserves affect how much money could be available for your next purchase.

2. What would the temporary monthly obligations look like?

Review the period when you could own both homes. Depending on the financing structure, you may have overlapping mortgage payments, taxes, insurance, and other expenses.

A workable plan should account for that overlap.

3. What happens if the current home takes longer to sell?

Discuss the expected selling timeline with your Realtor. Then review a slower-sale scenario, including a possible price adjustment.

How much financial flexibility would you have?

4. What should the mortgage look like after the sale?

The temporary solution is one decision. Your long-term financing is another.

Before buying, discuss what you intend to do with the sale proceeds and whether the proposed loan supports that plan. Do not assume a later refinance or payment reduction will automatically be available.

5. Which approach best fits your situation?

Selling first, making an offer with a home-sale contingency, or exploring buy-before-sell financing can lead to different costs and obligations.

A bridge loan may help address the timing gap for qualified borrowers. It is one option to evaluate alongside your cash reserves, income, properties, and selling plan.

Start the conversation before making an offer

A useful starting review includes:

• Estimated current home value and mortgage balance
• Target purchase price
• Available cash
• Income picture
• Expected moving and selling timeline

Please provide financial documents through a secure channel, rather than in public comments.