Deciding to sell your home and buy a second home is likely to become one of the biggest decisions you're likely to make. Homeowners who are deciding to move to a new home should put in place an action plan to ensure the process remains smooth.
As soon as you consider relocating you should take an active interest in likely areas and properties that will suit your needs. When choosing properties for inspection stay focused on the properties which suit your needs.
Keep a close eye on the properties that are selling in your area. In particular, keep a record of the selling prices of similar properties to your own. Remember to focus on the selling price because this is the best guide to the probable value of your own property.
Make early contact with real estate agents in your area who are actively selling properties and discuss the range of services they offer. This will help you eventually select the agent to assist with the sale of your own property.
Select an agent that understands your overall objectives and can provide you with an honest appraisal of the value of your home and implement an effective marketing strategy. The same agent may also assist you in identifying your new home.
Decide as early as possible if you can afford to buy your next home before selling your existing home. This is likely to involve extra short-term borrowing, however you save on the cost of rental accommodation.
Or alternatively, you could make a subject offer on the home you would like to buy based on selling your own home first. The success of this strategy will depend on the effectiveness of the real estate agent in selling your own home. The longer it takes to sell your own home, the more likely it is that the home you would like to purchase could be sold to someone who makes an offer based purely on finance approval.
If you plan to use rental accommodation in between selling and buying, put yourself on the shortlist for rental properties with agents as early as possible. You should make sure that you have a number of personal references which will be contacted by the letting agent during the application process.
Arrange a family conference as soon as possible and carefully discuss what each family member is expecting from moving house. This is a crucial step because it is surprising how many property transactions are complicated at the last minute by family members who suddenly declare their true feelings about the property they are selling or buying.