CAN YOU SELL YOURE CURRENT HOME AND GET ANOTHER BEFORE YOURE HOUSE SELLS AND IF YOURE CREDIT ISNT HOT HOW DOES THIS WORK THE HOME IM IN NOW COSTS TO MUCH SO I WANT TO DOWN SIZE SOM MY PAYMENTS ARE CHEAPER ONLY LIVED IN HOME 1 YEAR 6 MONTHS SO THERES NO EQUITY TO REFINANCE I KNOW I WILL HALF TO START OVER BUT ITS BETTER THAT PAYING AMORTGAGE I CANT AFFORD BUT WANT TO BUY ANOTHER HOUSE WITH CHEAPER PAYMENTS HOW DO YOU DO THIS WITHOUT GOOD CREDIT
2007-10-29 13:23:46 · 4 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
First step, turn off the dang caps lock key! I DON'T LIKE BEING YELLED AT! (And using spell check wouldn't hurt either.)
While it is possible to buy one place while waiting for another to sell, you generally need strong credit and/or significant resources to do this.
If you have strong credit (and have enough equity in your current home) it may be possible to get a bridge loan to use for the down payment and closing costs on the new place. Typically these don't have any payments for the first 6 months and are interest only for the next 6 months. Of course the risk here is that your place doesn't sell in 6 months and now you have to pay 2 mortgage payments.
If you have significant resources that you have the needed down payment and can afford to make 2 mortgage payments then there would be nothing stopping you. I know several folks doing just that and have even thought about it myself.
However since you don't have top-shelf credit by your own admission and not a lot of equity there's really not much chance that you could do either of these. You'll have to get your old place sold first and then look into buying something else, or possibly renting and getting back on your feet financially.
2007-10-29 13:37:05 · answer #1 · answered by Bostonian In MO 7 · 1⤊ 0⤋
Advice is cheap here...so here it goes...
If you already know that you are living beyond your means why go from one bad situation to another? Instead sell your home. Build your credit. Live on a budget. Save for retirement. And when you have enough for 20% to put down then consider buying another house. In other words get your personal house in order before you buy another bricks and mortar one.
2007-10-29 22:02:26 · answer #2 · answered by Christiane 3 · 0⤊ 0⤋
Chances are you wont be able to buy another home until you sell your current home. You can usually only buy a second home with excellent credit and the income to support it.
2007-10-29 20:32:49 · answer #3 · answered by daddyjohndeer 5 · 0⤊ 0⤋
Yes, you can sell your home and buy another home. You can get pre-approved. You sell your home and go to another. While looking for another home you do it with the condition of the sell of your current home.
2007-10-29 23:08:30 · answer #4 · answered by ruscito_mom 2 · 0⤊ 0⤋