Changing Times in Real Estate: Selling strategies to consider
Last updated 4/6/2023 at 11:39am
Compass Real Estate
One of the main issues we are seeing as a result of the low inventory are some folks who are wanting to make a move but are hesitant on placing their home for sale because they are fearful of not finding an acceptable replacement home.
However, they do continue to search for their next home, go to open houses and are looking to see what is out there in the area they want to move to. That process is valuable, as it can get these folks acclimated to where they want to go, so the focus can become more localized.
Having been out on many of these fact-finding afternoons, on this particular day, we now have an exciting and challenging situation. You now have found the perfect home! How can we make this work? Our current home is not on the market yet. It is not ready for marketing photos or property tours. Somehow though, the decision to purchase the perfect home prior to selling has got to be able to be accomplished, as this home is where you have envisioned your next phase of life being. What now?
If you are liquid and financially blessed, you could just buy it. That option, however, does not fit most folks. You could use some cash and get a loan. Yes, but is it possible to qualify for the mortgage? Your goal was to pay cash when your current home sold.
Perhaps your home is mortgage free and obtaining a bridge loan would be the best option. There is also the possibility of using retirement funds and trying to get them replaced with the sale of your home within the required timeline to not be taxed. Definitely a lot to consider. Another option is a contingent offer, where the seller accepts your offer based on you selling your current home.
There are truly many avenues to pursue, and definitely some steps you can take to help with the process when that perfect replacement home appears. It is always best to consult with your professional realtor and your tax advisor and financial planner to get advice and direction in the beginning of your search. That would be the best avenue to set realistic expectations on what you can expect to receive when your home sells as well as what your responsibility will be financially until that happens.
All of us at Ken Follis and Sharon Robinson Group are local real estate professionals. We have resources in the lending industry as well as referrals for tax advisors and accountants. We are here to ease the process for you and look forward to navigating all the nuances and required steps with you.
We can be reached at our local office at 100 N. Main Ave. or give us a call, Ken Follis at 760-803-6235, [email protected]. Sharon Robinson at 949-295-1162, [email protected]. Our website is kenfollisandsharonrobinsongroup.com. We look forward to hearing from you!