Should we buy or sell first?

Should you buy or sell your property first? Each option has its advantages and risks. By carefully weighing the pros and cons, and by planning backup solutions in case of trouble, you will be able to make an informed choice.

Sell first

By selling your property before you have found another one, you will know the exact amount that will come back to you from the sale. You will thus have a precise idea of the amount available for purchasing your new residence.

You may feel an urgent need to find a new home. However, keep in mind that you will have all the data required to make a solid purchase offer. For example, knowing the date on which the buyers of your residence will move in, you will be able to determine when you want to take possession of your new property. If these dates do not coincide, you can always opt for temporary housing.

Buy first

By buying first, you will know in advance your new address, the exact cost of your new residence, the date on which you will become the owner, and the date of the transaction. You will be able to take these elements into account when you receive a purchase offer for your current property.

It is also possible to make a purchase offer conditional on the sale of your property. In this case, the owner of the residence you are pursuing may receive another purchase offer imposing no conditions on him. To be able to grant you priority, he will ask you to withdraw your condition. You will then have the choice to buy this property before selling yours, or to withdraw your offer.

In any case, it is wise to plan for a temporary financing source in case your current property is not sold at the signing of the purchase contract for your new property.