Buy or sell first?

By September 26, 2020Buyer Tips, Seller Tips

Covid-19 has brought about some uncertainty for many property owners. Knowing whether to buy or sell first can seem a little difficult. However, understanding the market and your circumstance can help you decide on what is best for you.

After seeing an increase in average property prices early in the year, Melbourne has faced a slow declining market since then. Whilst prices on average have fallen the good news is there hasn’t been the drop that many were predicting early on during the Covid-19 pandemic.

When deciding on moving home much of this decision will come down to personal circumstance and of course market condition. This is one of the more common questions that arise with homeowners…should I buy first or sell first? This will depend on the best strategy for your situation within the current market. Understanding both the benefits and challenges of buying or selling first will help you make the best choice.

 

Benefits of selling first:

➔ Allows you to know exactly how much you have to spend
➔ Under less time pressure to sell
➔ Can allow more time to negotiate a higher price
➔ Beneficial in a flat or declining market

Challenges you may face…

➔ bridging the gap between settlement of your place and finding a new home to move
into
➔ Possibility of having to go on rent

 

Benefits of buying first:

➔ Can be beneficial in a rising market
➔ Secure a new home before placing your current property on the market
➔ More than likely no need to go on rent

Challenges you may face…

➔ Possibility of having to support a second mortgage
➔ Having to sell your current home by a certain deadline

 

If you have more questions about whether to buy or sell first. We’ll be your advocate, guide and partner – right the whole process. You can reach us anytime. Also, you can download our complete guide to selling your property.

 

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