Let me ask you a question.
When you are making a cocktail - let's just say it's a Cubre Libre.
How do you make it?
Do you go - ice, rum, coke, lime?
Or, do you go - ice, lime, rum, coke?
Both get you the same result - just the preferred method is different depending on whom you talk to.
The same can be true for real estate.
If you own a home, and you want to sell it, and buy a new one - what's the process?
What comes first?
If you sell yours first before you buy a new one - are you homeless?
Or, if you buy a new one before you sell your old one - are you stuck with 2 mortgages?
Of course, pouring a cocktail is much less stressful than the idea of buying and selling homes - but, I think you get my point.
Depending on whom you ask and what their motivations are you might get different answers.
But, since I am penning this to you let me give you mine - which, depending on your own personal circumstances I believe is best.
Here's a quick rundown of our list:
The Buy and Sell Dance
1) Get a professional appraisal done by an appraiser or a very good manual Comparative Market Analysis (CMA) done by a top local agent (cough cough) to see what your home will potentially SELL for (not list for).
If the numbers look good - continue to step 2.
2) Unless you are paying CASH for your new property you will definently want to get pre-approved by a top local loan officer (cough cough) to see how much your approved up to, what down payment will be needed, and if the numbers make sense to you.
If the numbers look good - continue to step 3.
3) Start your home search in the price range and areas you want to be in. The idea isn't to find your next dream home per se - but, to see if there's a great chance you will find your desired home - when needed - within 90 days or less.
If you think you will - continue to step 4.
4) List your home. You know what it's worth (step 1). You know what you can afford (step 2). You are confident you can find something you like in the needed price range (step 3). Now, list to sell your home as you continue your search for your new home.
If you feel confident with the process so far - continue to step 5.
5) Here's where it gets dicey. I am a BIG believer in that you want to first SELL the home you are in, get the cash, and then RENT BACK your now sold home for "X" period of days while you are searching for your new home.
If you already started your search you will know what's available, what prices are, great neighborhoods, and can zero in on a great property and close quick as you have your cash and loan lined up.
Blog Post Interrupt –Escrow Time Frames YOU Need to Know
Now Back to the Blog Post
To Recap - Here's How I Make a Cold Buy/Sell Drink
1) What's My House Worth? (Start Here)
2) What's My New Loan? (Read More)
3) Can I Find a New Home? (MLS Search)
4) Sell Mine First
5) Rent Back My Old Property As I Buy a New
What do you think of this 5 step process?
I would love to hear your thoughts - leave me a comment below - or, call or text me at (760) 297-4539
Your Drink Making Insider,
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