Selling your home and buying another can feel like an overwhelming process. But, with a little preparation and by following these three easy steps, you’ll be well on your way to finding the new home of your dreams. Ready to get started? It all starts with finding the right Realtor who is aligned with you and your goals.
1. Meet With An Experienced Realtor
An experienced realtor will help you navigate the entire process. Here are a few of the initial topics you’ll cover:
- Comparative Market Analysis
- Approximately how much is your home worth based on comparable homes in your area that have recently sold
- Repairs & Staging
- Are there any repairs you need to make to your house prior to putting it on the market?
- A breakdown of costs associated with selling (commission, state tax stamps, attorney fees, recording fees, smoke inspection, etc.)
- How much you need for upfront costs associated with purchasing a new home.
By having a strategic conversation with an experienced Realtor, you’ll be better prepared to take the next steps.
2. Speak With Your Accountant
An account will help you fine-tune the required costs and financial responsibilities associated with selling your home. Here are some of the questions you should be prepared to answer:
- Have you lived in your house for at least 2 years?
- Is it an investment property?
- Is it a multifamily home where you have only lived in part of the house and collected rental income?
After speaking with your experienced Realtor and accountant, you’ll have a clearer picture of any capital gains you may be responsible for at closing.
3. Speak With A Reputable Lender
Now that you have a rough idea of the proceeds you can expect from the sale of your home, it is recommended that you speak with a lender prior to putting it on the market. A lender will help you determine:
- How much you are qualified to spend on a new home
- What percentage of the loan you will need to put down (due at closing)
- How your credit score impacts your loan application
- What price you can comfortably purchase a new home at based on the interest rates and proceeds from the sale of your current home
- An estimate of closing costs
Taking the time to find a support team that aligns with your vision and has experience within today’s real estate market is essential for success. Selling and buying your home should be an exciting experience! Starting with these three steps will get you moving in the right direction.