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Editorial


Front Page - Friday, June 5, 2020

How to buy, sell a home at the same time




Purchasing a home can be tricky. It can be a balancing act, especially if you’re trying to sell your home and purchase a new one at the same time.

There are more than enough moving parts with one transaction, let alone two. One option for homebuyers could be making an offer contingency on the purchase of their current home.

Many buyers look for a home before putting theirs on the market. People do this because they know where they want to move. But few people enjoy moving twice. If this is your case, then the ability to buy and have a contingency clause is the way to go.

Working with a Realtor who can get a home on the market quickly and help to price it competitively is what sellers need in the current market.

Homebuyers can request that the purchase of their new home be dependent on the successful sale of their old home. In a competitive market, this might not be the best option. However, if the seller of the house in which you’re interested has had difficulty attracting interest, this might be a good deal for every party involved – assuming  you can persuade them that your home will sell quickly.

But what exactly does a contingent offer consist of? Our friends at Realtor.com describe it this way: “A contingent offer means that an offer on a new home has been made and the seller has accepted it, but that the final sale is contingent upon certain criteria that have to be met. These criteria, or contingencies, are clauses in a sales contract that typically fall under three major categories: appraisal, home inspection and mortgage approval.”

They continue: “Such contingencies are mainly put in place so buyers can back out of a real estate sale if something goes wrong, usually without losing their earnest money deposit. A seller might entertain other offers after a refusal but won’t deal with another buyer until the contingent offer is settled in one way or another.”

Another recent strategy is buyers renting their current homes, which enables them to buy without selling and have an additional investment.

Feeling a little confused about which option is best for you and your family in this unusual and competitive time? Consult a Realtor. We’re here to be your housing resource. That’s who we R.

Greater Chattanooga Realtors is The Voice of Real Estate in Greater Chattanooga. A regional organization with more than 2,000 members, Greater Chattanooga Realtors is one of 300 local boards and associations of Realtors nationwide that comprise the National Association of Realtors. Greater Chattanooga Realtors service Hamilton and Sequatchie counties in southeast Tennessee and Catoosa, Dade and Walker counties in northwest Georgia. For more information, visit www.gcar.net or call 423 698-8001.