Can You Buy a New Home Before Selling?

By The Living585 Team

Living585 Realty is a trusted real estate agency in the greater Rochester area, boasting over 17 years of experience and thousands of successful transactions.

Have you found your dream home but haven’t sold your current one yet? It can feel like you’re stuck, but the good news is there are ways to move before you sell without maxing out your budget. So, if your dream home shows up before your current one sells, here are three smart ways to make it work.

1. Sale contingencies and delayed closings. This means you agree to purchase a new home only after your current one sells. It’s a smart way to protect yourself! However, in a competitive market, sellers may be hesitant to accept this kind of offer.

You can go another route, which is to negotiate a delayed closing. This gives you extra time to sell your home after locking in the one you want to buy. It requires a little more planning and the right agent by your side, but it’s a very doable option when approached strategically.

2. Bridge loans and rent-back agreements. If timing is tight and you need to move quickly, a bridge loan can give you short-term financing to buy before you sell. The interest rates are usually higher, but it helps you avoid making an offer that’s contingent on selling your home.

A rent-back agreement is another great option. You sell your home and then rent it back from the new owner while you get your next move lined up. It gives you the breathing room to figure out your next steps without rushing.

In Rochester, there are also local lenders offering special loan programs. They let you buy now and sell later, without the added complexity of a bridge loan. If that sounds like a better fit, I can introduce you to a few trusted partners who specialize in these programs.

3. Cash buyers and creative solutions. Some companies will make a cash offer on your current home. It’s fast and simple, but usually below market value. You could also check out newer real estate platforms that help you buy first and then sell. Additionally, you can rent out your current place to generate some passive income while you move forward.

When buying before selling your home, you need a plan that works for your finances, timeline, and goals. Let’s talk about your options and figure out a path that helps you move forward. Feel free to reach out to me at (585) 522-1553 or send an email to YourHome@Living585.com. Your next chapter is waiting, and it doesn’t have to be stressful.