Why it is now easier to sell before you buy than it has been in the last 2 years

Right now there is good news for people who are looking at selling and buying their primary residence. Over the last 2 years the frenetic pace of the market has made a simultaneous movement quite difficult. Because while your home will have been selling strongly, you then have to go out and compete in the same way. And with supply of listings at record lows over this time, finding the right home has been hard, and then competing with multiple buyers means you may not be the successful purchaser.

So what I have seen happen in a few cases where someone cannot secure a home before having to be out of their own, is that they go to temporary accommodation like renting or staying with family. I have even known examples of people bunkering down at a caravan park until the find the right home.

The problem is that prices were rising so fast. So within a few months, the home with the features you were looking for could have gone up another $50,000 — $100,000 compared to what the pricing level was when you sold your own home. And this would even apply to delayed settlements which often feels like the safer option. This where you sign the contract for your sale, but instead of 6 weeks to be moved out, you may request 12–16 weeks to have time to find somewhere else. Any delay in purchasing from when you sold, was increasing your change over amounts and lowering your value for money.

So unless you had a bridging or relocation loan to buy before you sell, it has been a really hard act to juggle.

Now that we are generally seeing a steady balancing out of the real estate landscape i think you have the perfect balance right now for still getting a strong result for your current home, without having to chase the price of your next one getting in the way.

If you are looking to do a buy & sell for your primary residence, reach out to book an appraisal with me to work out your change over costs and what your next destination looks like in this perfect window of opportunity.