Are You Buying and Selling Different Properties at the Same Time? Call All Districts Conveyancing for Assistance and Advice in Burwood, Canada Bay or Canterbury
During property transfers, it is not uncommon for a client to be selling their current home at the same time that they are working through the purchase of a new home. In such situations, clients often have several pressing questions—most notably, whether it is better to sell the old house before buying the new one or vice versa.
At All Districts Conveyancing—a conveyancing firm serving Burwood, Canada Bay, Canterbury and most of NSW—we can provide you with guidance on this subject and other similar real estate related questions. With 10 years in the industry as a business and 40 years combined experience between our two practitioners, we have worked enough property transfers to give you the answers you need.
The Question about Whether to Buy or Sell First
To start, let’s take a look at this classic question of the property transfer process: should you sell your current home before going ahead and making an offer on a new one? Or should you sign a contract to buy your new house and get that all settled before you complete the sale of your current property?
As with most dilemmas, there are pros and cons to both of these options. By buying first, you ensure that you have a place to move as soon as your current home is sold. You don’t have to worry about being stuck in limbo between the day you move out of your old house and the day you move into your new one. If you find your dream home, buying first might also help you make sure that you don’t miss out on an opportunity to own that property. After all, you never know how long it will take to sell your old home, and waiting for a great offer might mean letting some very attractive real estate prospects slip by you.
However, therein also lies the major con of purchasing a new property before you have finalised the sale of the old one. Since you never know how long it will take to sell your old property, it is not necessarily wise to dive into a new purchase contract just yet. In the worst case, you could end up carrying two mortgages for some time—something that can be a major financial hardship for many families. This hardship can create a sense of desperation around selling the old house, which can, in turn, reduce your negotiating power in the transaction. When you sell your property first and buy second, you can hold out for a higher purchase price. Furthermore, you can also use the purchase price on your first property to tell you roughly how much you can afford to spend on your new home.
Contact All Districts Conveyancing for Advice in Canada Bay, Burwood or Canterbury
Of course, when it comes to any real estate question, your personal situation will figure heavily into the decision. There is no one-size-fits-all approach to this kind of advice, in other words.
With that thought in mind, if you are looking for more personalised answers to your real estate questions, call All Districts Conveyancing today. We happily provide conveyancing services in Canterbury, Canada Bay, Burwood and beyond. Whether you need guidance on your property transfer process or need someone to look over the contracts and help you negotiate, we can help. Reach us right now, on 1300 139 360.