Seller Dilemma - Needing a Replacement Home

We have that same dilemma in our market too Joan, and it isn't easy to get people to list their home.

I use contingencies like this for sellers but I don't always note it in MLS for the reasons you state, some buyers won't write an offer because they don't understand what it means, and their agents don't either. I prefer to put into a counter, in softer terms.

Joan

Your post is a hot topic . . . . and an informative post.

Good luckand success.

Lou Ludiwg

Joan Cox  i have also seen this in listings . I agree it would be a good idea for the seller to find a home first .. If it is in good condition and priced to sell should be no worries

I use this all the time and most sellers don't understand it's even an option. 

Hi Joan,

Just today, I heard a real estate agent in the Denver area making the exact same comment about her own home. Tough market to be in..... Best wishes to you in getting more sellers line up. The buyers are out there.

Joan, such a dilemma! Working in a second home market, that concern just doesn't exist but you couldn't find anyone in our business that wouldn't want to make that their biggest problem. Continued great fortune!

Hi Joan.  As the inventory shrinks in some areas, this is a very legitimate concern.

Hi Joan,

Great job in putting that clause in this type of situation. My buyers bought a house two years ago and their selling agent did not put this contingency clause on the remarks nor on the contract.

The sellers have to find temporary home after the sale. However, in my market, it would be a lot quicker for those sellers to find their new home because we still have loads of invetory.

Many of us in the seniors age category face this issue. A double move is not an exciting thought.

It seems to me if the buyer has a timeline that they have to be moved into a new house by a certian date they would not consider a home with that contingency. I suspect most buyers would expect a discount for agreeing to wait to find out if they have a deal or not.  What if they do an inspection and appraisal on the seller backs out? Are they out that money, or is the seller going to reimburse them? 

Thanks for your timely post!  I had this conversation with my seller/buyer clients 2 days ago.  Unfortunately, they are on an interesection, which could slow down the sale.  My resolution was to take the next two weeks and look very seriously for their next home (they're not yet very focused on what they want).  After seeing the current inventory, we'll discuss the strategy for timing the listing of their property.  There are no easy answers, unfortunately!

Joan Cox This is the existential dilemma for many sellers - may I reblog your post?

Great article. ..  get the sellers committed to you before you start showing them homes or have the sellers sign a buyer-agent agreement before you show them a replacement home.  I had a long time client who was in this same situation but wanted to find a home before putting their home on the market. . .  they ended up finding a home with a builder and I was completly out the listing the selling them their replacement home. . .

What a crazy "rock and a hard place" situation. That's the cycle - either too many homes or not enough homes. Perhaps someday you'll have a balanced market.

Damned if you do, damned if you don't. If you don't have cash, then this is what you have to do. Keep a Plan B in case Plan A falls through.

This is a common problem in my area. It is usually easy to find the ideal replacement home but not so easy to sell the current one for the needed price. 

This has been a dilemma for potential sellers for the last few years in Dallas.

This is an issue!  It's ideal if the seller has the financial means to purchase the next house before their current home is on the market.  Or --that dreaded temporary move to an apartment !  Quite a change from 2010....

I agree any condition makes a home less appealing.  In fact I have some of my buyers shopping homes that have tenants in them or such a contingency because the have a better chance of getting their offer accepted and getting a good deal.