Do I Buy or Sell First ? Reverse Contingency
Margaret makes the case for the reverse contingency to market your property while you are searching for a new home for yourself. You can remove the choice of home contingency at any time you choose. It could be when you find a home of your choice or you decide to delete the requirement to improve showings of your home
Do I Buy First? Do I Sell First? How about a reverse contingency
When inquires come in on my properties, I like to find out the buyer's motivation. Do you have a home to sell in order to purchase? The answer is sometimes, "we just want to look for awhile".
What happens if you fall in love with that home or condo. Can you move forward without the proceeds of your current home?
In response to the age old question "Do I buy or Sell First"
It is not unusual to have a client want to see every home or condo available right now..in spite they have not even considered putting their home on the market. The look of fear and panic can be seen.
What if I sell and have no place to move!? I cannot disrupt my family, I am too old or not well enough or a myriad of other reasons why two moves are not possible.
I have yet another suggestion, one that I call a "reverse contingency". When two separate moves are just not possible. My advice is to list the property, contingent on "finding a home of choice". You may see HOC in remarks.
It is easy to find out how serious they are to avoid that 2nd move. Ask, " What if someone comes along and offers you a million dollars?" ( their home is in the $500,000 category.) Quite a few sellers will say OK, we will pack up, go into storage, travel for awhile, move to an apartment, move in with parents or to a hotel for that kind of incentive.
Others will not or cannot be inconvenienced for any amount of money. This is the perfect place for the "reverse contingency." When an offer is made a specific clause is in the contract stating a contingency for a short amount of time (could be weeks) for the seller to find that home of their choice...notice that wording. "home of choice".
Once the home is listed, viewing available properties is appropriate so the seller/buyer can become familiar with the availble inventory. I have several homes on the market with a HOC contingency.
When the current home goes under contract, the buyer can write a contingency offer on the new home contingent on settlement of the present home. Did you follow that? There are so many ways to help buyers and sellers. First you must ask the right questions and find out the buyers and the seller's needs.
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