Were you planning to use the proceeds from selling your old home to buy a new one but haven’t received a suitable offer? Perhaps your home sold faster than expected, and you haven’t found a new residence. Whatever the case is, deciding what to do can cause emotional and financial stress. The gap between selling and buying a home can span weeks or even months, leaving buyers wondering what to do next.
Do you hold off on selling your home until you’ve found your next property? Do you take your home off the market and prolong your efforts to purchase your dream house? There’s so much to consider and little time to implement a plan. Before making a decision you may come to regret, evaluate practical solutions like these listed below.
Reconsider Your Asking Price
If you haven’t received any offers or interested buyers for your property, you should first reconsider your asking price. Let’s say you live in Oxnard, CA; what is the current market value in your neighborhood? Is your asking price comparable to other homes for sale in Oxnard? If your rate is too high, it could deter buyers from making an offer. Adjusting the price even a few hundred dollars can make a difference.
Utilize Multiple Marketing Strategies
If you’ve correctly priced your home, the next step is to consider your property description and marketing methods. Have you described your home appropriately? Did you remember to point out perks like new renovations or proximity to the beach? If not, you may want to rewrite the description to make it more enticing. Lastly, ensure that you’re using every available marketing platform, from yard signs and flyers to real estate databases and social media.
Most sellers are unaware they can place contingency plans in their real estate contracts. These clauses state that you won’t close on your property until you’ve found a new home. More importantly, if you cannot secure a residence within a reasonable timeframe, you can back out of the contract with no penalties. Believe it or not, many buyers don’t mind contingencies and will still make an offer on your property.
Sell To Property Investors
If your property isn’t selling due to its condition, you may get a decent offer from a property investor. Unlike home buyers, investors don’t need the place to be move-in ready. They’re willing to put the work into the house and increase its value so they can resell or rent the residence. Keep in mind that investors are looking for a reasonable return. Therefore, they may not be willing to give you your asking price. However, it’s worth a shot if you’re anxious to sell and don’t mind getting less than you wanted.
Gap mortgages prove that homeowners often find themselves in-between residences. These mortgages or loans provide financing for selling your old home until you secure a new place. So, if your home is valued to sell for $300,000, the lender will give you this amount as an advance until your property is sold. You can use the money to purchase a new place and repay the loan once you close with the buyer. If you consider this option, you should know that the interest rates are higher, and the loan is short-term. Ultimately, the sooner you sell your old place, the better.
If you’ve received an offer on your property that’s too good to pass up, you can consider temporary housing options. For instance, if you’re moving to San Diego, you could search for an apartment or house for rent with a 3 to 6-month lease. That way, you can close on your home, have a place to stay, and get the opportunity to experience everyday life in San Diego. Since the lease is short-term, you can move out without any penalties once you find your dream home.
Selling and buying a home isn’t easy. While some people can complete these tasks simultaneously, others are left with weeks or months-long waiting periods. Before you give up on your pursuit to find your dream home, consider the above options to bridge the gap.