Should I Buy First or Sell First When Moving in Lancaster, Pickerington or Canal Winchester?

Should you buy first or sell first when you are moving in Lancaster, Pickerington or Canal Winchester? Neither one is right for everyone, and the answer depends on your numbers more than on the market. Jill Howell helps local homeowners sort this out before a sign goes in the yard, because the order you do things in decides how stressful the move feels.

Here is how I explain it across the kitchen table. There are four ways to do it. Each one trades something for something else. Once you see the trade, the choice usually gets much clearer.

You list your home, accept an offer, and shop for your next one with a firm budget. You know exactly what you walk away with, so you never wonder how much house you can afford.

What it costs you: you may need a place to live in between. Sometimes you can ask the buyer for extra time in your home after closing. That is a negotiation, not a given, so we plan for it before we list. Other times it means a short rental or a stay with family.

You find the next home, buy it, and move at your own pace. You move once, with no rush and no scramble to find something in a few weeks.

What it costs you: for a while you may carry two house payments. Your lender also has to approve you with both homes in the picture. Ask your lender about this early, before you fall for a house. Whether you can do it comes down to your income, your savings and how much you owe on your current home.

This is called a home-sale contingency. It means your offer on the new home says, in plain words, that you only buy if your current home sells. It protects you from owning two homes.

What it costs you: a seller with another offer in hand may see yours as less certain. It can still work, and it works best when your home is priced right and ready to show. I walk you through the advantages and the risks of this one, because it is the option people understand least.

You line up both closings close together. When it works, you hand over one set of keys and pick up the other. It takes the most coordination, because two deals now depend on each other. If one slips, the other has to flex.

So I build a backup plan before we start. We decide what happens if the buyer needs more time, or if the home you want goes to someone else. Knowing the plan B ahead of time takes most of the panic out of it.

• What would you walk away with if you sold today? This is your estimated proceeds, after what you owe and the costs of selling. It sets your real budget.
• Could you carry two payments, and for how long? Your lender can tell you what they would approve.
• Could you stay in your home a little longer after closing, or move twice? This opens or closes the first and fourth ways.
• How fast do homes like yours sell nearby? I look at homes that sold near you, and at the ones still for sale, because those are your competition.
• What does your next home need to have? A short list of true needs makes the shopping part faster once you know your budget.

The first is shopping for the next home before knowing the proceeds from the current one. You fall for a house and then find out the numbers do not work.

The second is assuming your home will sell fast. Sometimes it does, and sometimes it takes longer, so the plan needs room for both. If you want to understand how I price a home, start with my home valuation page or read about how I sell homes.

The third is skipping the conversation with the lender. It takes one phone call, and it can change the whole order of your move.

I plan both moves together for homeowners in Lancaster, Pickerington and Canal Winchester. You can also read the full move-up page, or see the steps in my selling process.

Jill Howell is a REALTOR® with Howard Hanna Real Estate Services in Canal Winchester, OH, helping first-time buyers, move-up families and sellers in Lancaster, Pickerington and Canal Winchester understand every step of buying or selling.

If you are thinking about a move, tell me about your home and we will map out your order together. There is no pressure, and the first conversation is only about what you need.

This is general information about how local moves work. It is not legal, tax or lending advice, and the details can differ for your situation, so check them with your lender and your closing professionals.