Home Buying Advice

Here's Why You Might Want to Buy Before You Sell

If you're looking to move, it generally makes more sense to put off buying the new house until after you have sold your old house. The reason is obvious: buying first opens you up to the risk of getting stuck paying for two mortgages simultaneously, a financial burden which many households would not be able to carry (let alone qualify for). Of course, you could place a home-selling contingency into your offer, but this might harm your chances of landing the house, particularly in a competitive market. With all that being said, if you are still considering buying first, then you might be wondering which factors can tip the scales toward buying before you sell. As you will see in this post, this unconventional decision can be a smart move if done for the right reasons!

The Myth of the 20% Down Payment

When people think about buying a home, they are often discouraged by the idea of saving enough money for the down payment. Indeed, surveys have shown that the greatest impediment to home ownership for prospective buyers is the down payment. However, many potential buyers have the false notion that a mortgage requires 20% of the home's purchase price paid up front. In reality, the median down payment in 2017 was only 10%, and many buyers paid even less than that!

Read This Before Your Home Inspection

You found the perfect home and have an accepted purchase agreement . . . congratulations! Perhaps you looked at many houses, or maybe the first one you looked at was the one. Either way, you did it!

The next step, if you're like most buyers, is ordering the home inspection. Although you're really excited, you're probably also a bit nervous about the inspection and uncertain about what to expect.

To help you with that, I've compiled a list of things you should know about home inspections. Read it over before the inspection so you can go into it feeling informed and ready to get the most out of the process.