Moving to a new home means you’re going to have to do something about your old one. But which action wily u take? Will you sell it before moving? Or should you jump the gun and secure a new property while still living there? This is the age-old question that owners can spend a significant amount of time thinking over.
Weigh up the pros and cons of these options to ensure you pick the best one for you.
Buy First – Pros
⦁ You will have a home already secured so you won’t stress if your old home sells quickly.
⦁ May have the ability to use equity in your current loan as a deposit for your new home.
⦁ You can spend as much time as you like shopping around for a new home for sale.
Buy First – Cons
⦁ You might have to organise bridging finance between the two properties, giving you a time limit you have to selling your old home.
⦁ If your old home sells at a less-than-desirable price, you may have to fund the difference in costs.
⦁ You might feel pressured by time and accept a lower offer.
Sell First – Pros
⦁ The proceeds from the sale of your home can be used on your new one.
⦁ You will know exactly how much you can spend on your next purchase.
⦁ Time is on your side, so you’ll have the freedom to negotiate deals and offers for a better price.
Sell First – Cons
⦁ If your home sells quickly, you could be left to make a rushed decision to purchase a new home so you have somewhere to live.
⦁ Local property prices could rise in the time between selling and buying a new home.
⦁ You might have to spend more to rent accommodation while between homes.
Whatever you decide, be sure it is the best decision for you and your family.