Special offer

Which Comes First...Buying or Selling?

By
Real Estate Agent with Remerica Integrity, Realtors®, Northville, MI

Which Comes First...Buying or Selling?

January 2013.

It's still a sellers market.

But that doesn't mean that you can go out and look for a new house, expect an accepted offer on it and THEN put your house on the market.

The best way to buy a new house is to sell your house FIRST.

Unless, of course, you can qualify for the new mortgage without selling your house. Or you can pay CASH for the new one. That's even better!

In the old days (whenever that was, I wasn't in the industry back then), it was acceptable to make an offer to purchase a house CONTINGENT on selling your current house. That sort of thing happened quite a bit.

But, in today's Sellers Market, why would they accept your offer when there are a ton of other buyers out there that don't need to sell their house?

That's right, folks.

Selling comes before Buying.

*I'm sure there's 1 or 2 other scenarios that you could come up with, and I'd love to hear them!


Cindy Jones
Integrity Real Estate Group - Woodbridge, VA
Pentagon, Fort Belvoir & Quantico Real Estate News

If I get a solid contract from a buyer who's home is already under contract with contingencies removed I wouldn't hesitate to accept an offer.  However a buyer who hasn't even started the selling process yet is a different story.

Jan 03, 2013 06:25 AM
Jackie Connelly-Fornuff
Douglas Elliman Real Estate in Babylon NY - Babylon, NY
"Moving at The Speed of YOU!"

Same here Eric. Whether it's a seller's market or buyer's market, a house has to be under contract first. Keeps things less complicated.

Jan 03, 2013 06:36 AM
Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Cindy, for sure, if it's already "sold" and the contingencies are removed. That's fine.

Jackie, complicated is saying it lightly.

Jan 03, 2013 06:43 AM
Wayne Johnson
Coldwell Banker D'Ann Harper REALTORS® - San Antonio, TX
San Antonio REALTOR, San Antonio Homes For Sale

Eric-That's the order I prefer to have things done too. I've not recommended accepting an offer with a contingent sale in six years.

Jan 03, 2013 07:15 AM
Richard Iarossi
Coldwell Banker Residential Brokerage - Crofton, MD
Crofton MD Real Estate, Annapolis MD Real Estate

Eric,

It's the best of both worlds, and provides the strongest buyer offer possible.

Rich

Jan 03, 2013 07:19 AM
Anna "Banana" Kruchten
HomeSmart Real Estate - Phoenix, AZ
602-380-4886

Eric we have a lot of buyers that don't need to sell in order to purchase. Many of of them prefer that so it's not so crazy around moving time. They can take there time and remodel, decorate, move, whatever.  With our hot sellers market I never see any 'contingent on successful close of escrow of the current home' verbage. Buyers would have zero chance of winning a bid with almost all contingencies.

Jan 03, 2013 07:19 AM
Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Wayne, I've NEVER recommended doing that!

Rich, the strongest buyers offer is the best offer for our sellers, right?

Anna, I don't see any, either.

Jan 03, 2013 07:39 AM
Liz and Bill Spear
Transaction Alliance 513.520.5305 www.LizTour.com - Mason, OH
Transaction Alliance Cincinnati & Dayton suburbs

Eric, Even with it more of a buyer's market here, we don't recommend a seller to take their home off the market for a buyer who still needs to sell there own home.  Who knows how many months (or longer) that might take.

Jan 03, 2013 07:47 AM
Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Bill, I fully understand that.

Jan 03, 2013 07:48 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

This logic of selling first is hard for my many move up buyers to understand, but it's the only way to do it in a seller's market.

Jan 03, 2013 07:49 AM
Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Chris Ann, it's the best way to get an offer accepted, for sure.

Jan 03, 2013 07:51 AM