Your next home: buy first or sell first?

Buy first or sell first

Your next home: buy first or sell first?

If you want to purchase your next property, you are obviously focused on finding your new dream home. It’s very exciting to scroll down the Funda (property offering) website for a house that might be your next place… But what do you do first: sell your current home or purchase a new home? There are pros and cons to either; we give you the main reasons and benefits.

 

Sell first

  • This gives you certainty: you know the exact budget you have for your next property.
  • If you have equity, you can use it directly to purchase your new home.
  • This prevents double mortgage charges during the time your old home has not yet been sold. Do allow for the fact that you will have to move twice.

 

Buy first or sell first

Buy first

  • You find the house that is perfect for you and you don’t want to miss the opportunity.
  • You know enough about the market for your current house to be sure that you’ll be able to sell it quickly.
  • You won’t need to spend money on temporary accommodation, which you would if you had sold your house and not found a new house yet. And so you will only have to pay removal costs once.
Do you opt for buying first? In that case you might need a bridging mortgage (also known as a bridging loan).