Anonymous
03/27/2013 21:11
Subject: Stuck - House will sell, but no houses to buy!
I might be in a special situation, but I was able to buy first and then sell in Summer 2012. I was surprised the lender was ok with it, but they were. Worked out great. I did have one month where I had to make two mortgage payments but it was totally worth it.
Anonymous
03/27/2013 17:37
Subject: Stuck - House will sell, but no houses to buy!
I think it's because of people like you OP that the market is the way it is. Many people are in your shoes. They want to sell but fear they won't find anything. It's a bad cycle. If you are truly picky, as I am, perhaps you should sell your place while it's a seller's market and then rent until you find the right house.
Anonymous
03/27/2013 17:22
Subject: Stuck - House will sell, but no houses to buy!
We're buying first, then putting our house on the market the minute we have a contract, hoping for a quick sale, and closing on the same date. Not sure if that will work out, but it did for a neighbor last fall. It was hectic to move out and move in on the same day, but it worked for her, and we're hoping it will work for us.
If the dates don't line up exactly, we'll pay two mortgages for a short time, but in this market, it shouldn't be very long.
If the dates don't line up exactly, we'll pay two mortgages for a short time, but in this market, it shouldn't be very long.
Anonymous
03/27/2013 16:21
Subject: Stuck - House will sell, but no houses to buy!
At first I was terrified my home wouldnt sell. When it sold in a week, I was happy. It was then I began to see the change. Now I am terrified I wont be able to find a decent home while the rates are still low enough and people dont get crazy with asking prices. I keep going on Movoto RealEstate to check inventory stats. We are way below last years numbers but I am hoping that seasonal markets will see greater change now that people are more confident they can get asking for their home and not have it sit. C'mon people, and get off the sidelines!
Anonymous
03/05/2013 15:08
Subject: Stuck - House will sell, but no houses to buy!
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:It seems impossible to purchase a starter home with a sales contingency. The houses are under contract within days.
Confused, if it's your starter home why would you need a sales contingency?
Either way, prepare your house to sell, keep looking for a house and if you land one, than you put your place on the market and try and get the timing to work out. Normal people do this all the time.
But how can this work in hot areas if homes in such areas sell in a matter of days?
ummm... because houses are selling days? why wouldn't it work... just did this last spring... got an offer accepted on a new place after losing out on a couple, went ahead and closed on the new house... then put ours on the market (the only reason we waited to put ours on the market was that we had given a 2 month rent back on the new house)... got a contract in 2 days on our current house and negotiated a closing 1 week after we got access to the new house... done...
But what if you need the funds from the current house to buy the new house (and to qualify for the loan for the new house)?
snarky answer? than maybe you need to look at your financials a little closer and (a) aren't really ready to buy a new house or (b) buying something too expensive...
realistic answer? make your own bridge loan, assuming you have decent credit, banks will still qualify you for way more loan than you should take, so if you have equity in your existing house use a heloc, raid your emergency fund, and hell you can even do a 401k loan and than pay all of those back once your existing house sells...
both of these answers are just so unhelpful in so many ways... i started typing a response a couple of times but it's not even worth it. PP - if you need the funds (like many people do) then yes you are kind of stuck. i'd suggest selling and renting. alternatively, you can wait for market to be more buyer friendly and then buy when a home sale contingency probably won't be as big of a deal buster. you may have to wait a little longer to sell your own place at that time (or take a slightly lower price), but that's the way the markets work...
how are these unhelpful, was not the original question what to do besides selling and renting?
Anonymous
03/05/2013 14:34
Subject: Stuck - House will sell, but no houses to buy!
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:It seems impossible to purchase a starter home with a sales contingency. The houses are under contract within days.
Confused, if it's your starter home why would you need a sales contingency?
Either way, prepare your house to sell, keep looking for a house and if you land one, than you put your place on the market and try and get the timing to work out. Normal people do this all the time.
But how can this work in hot areas if homes in such areas sell in a matter of days?
ummm... because houses are selling days? why wouldn't it work... just did this last spring... got an offer accepted on a new place after losing out on a couple, went ahead and closed on the new house... then put ours on the market (the only reason we waited to put ours on the market was that we had given a 2 month rent back on the new house)... got a contract in 2 days on our current house and negotiated a closing 1 week after we got access to the new house... done...
But what if you need the funds from the current house to buy the new house (and to qualify for the loan for the new house)?
snarky answer? than maybe you need to look at your financials a little closer and (a) aren't really ready to buy a new house or (b) buying something too expensive...
realistic answer? make your own bridge loan, assuming you have decent credit, banks will still qualify you for way more loan than you should take, so if you have equity in your existing house use a heloc, raid your emergency fund, and hell you can even do a 401k loan and than pay all of those back once your existing house sells...
both of these answers are just so unhelpful in so many ways... i started typing a response a couple of times but it's not even worth it. PP - if you need the funds (like many people do) then yes you are kind of stuck. i'd suggest selling and renting. alternatively, you can wait for market to be more buyer friendly and then buy when a home sale contingency probably won't be as big of a deal buster. you may have to wait a little longer to sell your own place at that time (or take a slightly lower price), but that's the way the markets work...
Anonymous
03/05/2013 13:09
Subject: Stuck - House will sell, but no houses to buy!
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:It seems impossible to purchase a starter home with a sales contingency. The houses are under contract within days.
Confused, if it's your starter home why would you need a sales contingency?
Either way, prepare your house to sell, keep looking for a house and if you land one, than you put your place on the market and try and get the timing to work out. Normal people do this all the time.
But how can this work in hot areas if homes in such areas sell in a matter of days?
ummm... because houses are selling days? why wouldn't it work... just did this last spring... got an offer accepted on a new place after losing out on a couple, went ahead and closed on the new house... then put ours on the market (the only reason we waited to put ours on the market was that we had given a 2 month rent back on the new house)... got a contract in 2 days on our current house and negotiated a closing 1 week after we got access to the new house... done...
Not always so simple, Donald Tump. There may not be enough income to simultaneously carry two mortgages, regardless of being able to scrape together a down payment for the second home.
Sell the first home in this good market. Move into a rental. Find the ideal home while not being either panicked to buy or to sell. Sure, it involves an extra move, but it will enable you to have $ in the bank and make a strong offer and quick closing on a new home. If you rent a desirable place, you could even have more flexibility by subleasing if you find the new home during the term.
But what if you need the funds from the current house to buy the new house (and to qualify for the loan for the new house)?
snarky answer? than maybe you need to look at your financials a little closer and (a) aren't really ready to buy a new house or (b) buying something too expensive...
realistic answer? make your own bridge loan, assuming you have decent credit, banks will still qualify you for way more loan than you should take, so if you have equity in your existing house use a heloc, raid your emergency fund, and hell you can even do a 401k loan and than pay all of those back once your existing house sells...
Not always so simple Donald Tump. There may not be enough income to simultaneously carry two mortgages, regardless of being able to scrape together a down payment for the second home. Also, without all the equity, they may not be able to qualify for the best terms on the new loan.
Sell the first home in this good market. Move into a rental. Find the ideal home while not being either panicked to buy or to sell. Sure, it involves an extra move, but it will enable you to have $ in the bank and make a strong offer and quick closing on a new home. If you rent a desirable place, you could even have more flexibility by subleasing if you find the new home during the term.
Anonymous
03/05/2013 12:36
Subject: Stuck - House will sell, but no houses to buy!
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:It seems impossible to purchase a starter home with a sales contingency. The houses are under contract within days.
Confused, if it's your starter home why would you need a sales contingency?
Either way, prepare your house to sell, keep looking for a house and if you land one, than you put your place on the market and try and get the timing to work out. Normal people do this all the time.
But how can this work in hot areas if homes in such areas sell in a matter of days?
ummm... because houses are selling days? why wouldn't it work... just did this last spring... got an offer accepted on a new place after losing out on a couple, went ahead and closed on the new house... then put ours on the market (the only reason we waited to put ours on the market was that we had given a 2 month rent back on the new house)... got a contract in 2 days on our current house and negotiated a closing 1 week after we got access to the new house... done...
But what if you need the funds from the current house to buy the new house (and to qualify for the loan for the new house)?
snarky answer? than maybe you need to look at your financials a little closer and (a) aren't really ready to buy a new house or (b) buying something too expensive...
realistic answer? make your own bridge loan, assuming you have decent credit, banks will still qualify you for way more loan than you should take, so if you have equity in your existing house use a heloc, raid your emergency fund, and hell you can even do a 401k loan and than pay all of those back once your existing house sells...
Anonymous
03/05/2013 12:27
Subject: Stuck - House will sell, but no houses to buy!
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:It seems impossible to purchase a starter home with a sales contingency. The houses are under contract within days.
Confused, if it's your starter home why would you need a sales contingency?
Either way, prepare your house to sell, keep looking for a house and if you land one, than you put your place on the market and try and get the timing to work out. Normal people do this all the time.
But how can this work in hot areas if homes in such areas sell in a matter of days?
ummm... because houses are selling days? why wouldn't it work... just did this last spring... got an offer accepted on a new place after losing out on a couple, went ahead and closed on the new house... then put ours on the market (the only reason we waited to put ours on the market was that we had given a 2 month rent back on the new house)... got a contract in 2 days on our current house and negotiated a closing 1 week after we got access to the new house... done...
But what if you need the funds from the current house to buy the new house (and to qualify for the loan for the new house)?
Exactly. And even if you could do some minimum bare % down payment without selling your place (like FHA for 3.5% or something conventional at less than 20%), you will still have a hard time because there are people out there putting down big down payments and waiving appraisal! It's a tough market for a buyer right now. I say sell, bank, and wait for things to settle down.