Friday, May 17, 2019 / by Justin Critchfield
As a real estate agent, you often come face to face with a situation where a person is trying to sell and buy a house at the same time. The sellers want to make a move but they look at the inventory out there and realize there are not a ton of choices for them. This scares the sellers so they pull back and decide not to take any action.
In such a situation, there are two ways out. First things first, we have some options to solve the lack of inventory crisis by finding you a home in the neighborhood you want.
But when I deal with sellers they always want to find a home first, make an offer on it and then put their home up for selling. That’s a big No No!
Because what ends up happening is that when it’s a good home, you are not the only one who realizes that. There are many other buyers and so there are usually two or three offers on the table for the seller of the home. The seller will obviously choose an offer with someone who does not have a home that they need to sell.
What I highly recommend is that we put your home up for selling and we make it subject to you finding your next home. This essentially means if a buyer is interested in buying your home and gives you an offer you can accept that offer all the while having the chance to back out if you can’t find the right home. You can get 30-60 days or even more to find the right home and at the end of this period if you find your home you can continue the deal but if you don’t there is no big deal as you can cancel the contract. You don’t have to be kicked out on the street. You can also likely extend the contract period with the buyer or start the process over again.
99% of the time it actually works. I have done this numerous times with sellers who needed to sell and buy. The reality is that I haven’t had one seller who couldn’t find themselves a home within 30 days.
They already have an idea of the sale they are making so know what the equity is going to be. This helps them decide better for their next home.
Moreover, there is something magical about this universe when you take action; things align to make it happen. I can recall many sellers whose criteria was pretty rough of what they needed to find but because they took action and put their home up for sale, got it under a contract, magically under 7 to 10 days they find there next home.
The best part is they can make one move instead of two or three. They don’t have to put their home in storage and find a rental. Instead, they can make just one move from their old home to a new one. The agent will align the contract dates and deadlines so that they can take all their stuff to make one move and be done with it.
We definitely have to be creative with changes in the market and as Realtors we have to figure out what is going to be in the best interest of the buyers and the sellers and go forward with that program. This, for sure, is a creative way for sellers to sell their home and buy a new one at the same time.