I want to buy a house before I sell my house.?

Question

I want to buy this house using the contingency that my house will sell.

How long is norm for me to have to before I have to sell my house???

Answer 1

Your plan is one of THE RISKIEST plans any one could ever think of - AND truly believe it will happen - without a hitch.

YET, every day of every year folks think they won't have any problem selling their present home AT THE PRICE THEY THINK ITS WORTH AND IN THE SHORTEST AMOUNT OF TIME.

Why? Your present home is not the only property for sale in your particular geographic area, is it?

Times HAVE changed. Buyers aren't ignorant any more. Many, many disclosures have to be made to any potential buyer of any home.

The buyer may want a home inspection done. The lender might want a termite inspection and certification done and issued. Mortgage companies and all lenders cause many buyers to jump through many, many hoops. They do the same with Sellers.

Title companies have their requirements for the Seller, too. The days of "Well, I KNOW my house is worth $XXX and I'm going to get $XXX for my house . . . " ARE LONG gone and over.

IF you buy a new home AND your present home doesn't sell, are you prepared to make two [2] mortgage payments each month?

AND THEN there's, "Well, we'll just rent our present home." The pitfalls of renting a property are MANY. Merely renting your present home to a warm, breathing body or bodies doesn't mean you'll get your rent - on-time or otherwise.

You have many, many folks out there who give the greatest sob stories and those owners/sellers/potential Landlord "buy those stories and go for them hook, line and sinker."

You may be inviting a HUGE amount of trouble.

Yes, sometimes - yet rarely - it happens when everything works and falls into place.

I could write a book about this. AND the problems and situations and those who got hurt, I met AFTER THE FACT.

Please save your sanity AND your bank accounts, and equity in your present home. Don't get caught in that trap.

Sell your present home first - with a long-enough time interval AFTER the Buyer's mortgage commitment is issued for you to go out and find the home for your needs. MY suggestion: from the day the Agreement of Sale is signed by ALL parties - Buyer and Seller - until the mortgage commitment is issued for the Buyer, 2 to 3 months. Once the mortgage commitment is issued for the Buyer: AN additional 3 months for you to meet your lender's and your Sellers' requirements. When all contingencies are met, you can always settle/close/go to escrow at an earlier date.


I wish you well.

VTY,
Ron B.

Answer 2

What will happen here is a seller will accept your offer with your contingency, but will also accept on the basis that, if a cleaner offer comes along before you sell your house and close, the seller has the right to give you a couple of days to remove your contingency and close BEFORE your house sells.

If you do not remove your contingency, you will be 'bumped' out of primary position in your offer, and the next buyer will become primary offeror instead.

I've seen it done day in and day out. About 25% of those with such contingencies are successful in removing them and keeping their offers intact, while the remaining 75% lose the house on which they placed the offer. Earnest money is not affected in such a transaction. It is returned to you when you are 'bumped'.

Answer 3

There is no set time, it is simply what you and the seller will agree to.

The big problem you will face is that many sellers are moving and need to sell so they don't face two mortgage payments, so they will want to give you the shortest time possible.

Of course, you will want to get the longest time possible.

So it is whatever works for both of you.

Answer 4

Why not sell the two residences 'as is'? An investor i'm working with prefers residences that he can redecorate-renovate himself. via the time your father pays the fee of upkeep and tries to recoup from merchandising, he will have given away efficient time and funds that he ought to spend with you. what's the enormous take care of him determining to purchase yet another? Why not hire or pass into an assisted living facility the place he can savor existence with others who would have issues in elementary with him?

Answer 5

Whatever time frame the seller and buyer agree to.