Selling your home before buying another doesn’t, on the surface, sound like the smartest of moves.
For many though, it makes perfect sense.
Here’s why:
Why would you want to sell your house before having another one lined up?
Homeowners, traditionally, like to have a new house lined up before taking the plunge and selling their current residence.
This is the most common property transaction, and one that many see as the safest, simplest, and most efficient.
In an ideal world, you move out of your old home into a new one and life goes on.
Of course, life is rarely so simple.
What this process does do is create a property chain, and even if you’ve never been involved in one, the chances are you’ve heard how problematic they can be.
Selling a house before buying is generally a favourable option for those who are looking for a quick property sale.
This could be down to a number of reasons. Maybe the house has been inherited and the owner wants a quick sale. The owners could be relocating for a new job. A relationship may have broken down.
Naturally, there is some risk attached to selling a house before buying, but it also does offer up a significant number of advantages.
Advantages of selling your house before buying a new one
No stalling in the selling process
Not being in a property chain means you’re not reliant on other transactions further down the line. This can ensure the whole process runs a lot smoother, reducing stress considerably.
You can accept an initial offer and get the process moving quickly
This is ideal for homeowners wanting a quick sale.
Puts you in stronger position when buying
When you do eventually come to buy your new home you’re perfectly placed to make an offer. The seller you wish to buy from will almost certainly prefer somebody who has money in the bank and is not in a chain.
You will be in full control of the process
If you haven’t got a dream property lined up, you won’t need to rush the sale. Everything can be carried out on your terms, meaning you will never be under pressure to lower your price.
Prices may have already peaked
If you believe the market has peaked and prices are going to start falling, it may be a good time to sell. This also means you could possibly end up with a cheaper house than first anticipated when you eventually come to buy.
Disadvantages of selling your home before buying another
Costs can quickly add up if you’re in temporary accommodation
Renting does not come cheap, and can also be extremely stressful. If finding a new home ends up taking longer than expected, costs can soon mount up.
You could be selling too quick to match the rise in the market when you come to buy
The market may well have peaked when you come to sell, but it also might not have. Property prices can be notoriously difficult to predict. If house prices continue to rise after your sale goes through, you may find that new houses becomes increasingly less affordable.
Storing belongings can prove problematic
If you’re renting somewhere small in order to keep costs down, you may need to find a second temporary home for all your belongings.
What about pets?
There’s no guarantee you will be able to keep pets where you are staying temporarily.
You may end up moving twice
Moving can undoubtedly be one of the most stressful life experiences. Selling before you buy means there’s a good chance you will be moving (unless a kind family member or friend helps out). You may even end up having to move a few times while you wait for your dream home to appear on the market.
We can help you make the right choice
There’s no real right or wrong answer when it comes to the question, “Should I sell my house before buying a new one?”
It all comes down to your personal situation. Do your best to weigh up the pros and cons, and don’t be scared to ask around for advice.
The Hull Cash Buyers team has a wealth of expertise in the property sector, and we would be more than happy to help advise you on your next step.
There’s no rush either. Whether you’re wanting to sell you house quickly, or take your time, Hull Cash Buyers will move at your pace, providing regular guidance throughout the process.