If you are a Toronto condo or loft owner and you decide to enter the market, you’re faced with a difficult question: Especially if you’ve never sold your home before.
Do you buy your next home before selling? Or do you sell your current unit before buying?
It All Depends
Each situation is unique, and several factors need to be looked at to determine the answer of that question. For example: What are the current market conditions? And are you financially capable of carrying two properties with ease?
It absolutely depends on the market situation. If you are selling in a hot seller’s market, then you would likely want to find your next home first and buy it. However, if you are selling in a buyer’s market, it’s better to get your unit sold before venturing out to purchase another home.
Pros of Buying First
By buying first, unit owners are less rushed to find the right home, so they can spend time making sure the new home fits as many of their needs as possible.
The ideal situation is to purchase a home and then sell your current unit.
Buying without having to sell first allows buyers to find the right home at their own pace.
Although buying first has some advantages, this situation isn’t financially feasible for everyone. Buyers should consult with their lender to discuss the possibility to arrange interim financing, with the intention of ultimately selling their current home once they confirm the new purchase.
Pros of Selling First
Many aren’t able to afford the cost of carrying two properties, and trying to do so may cause significant stress.
The risk of having to discount your unit to create a quick sale just isn’t a pleasant experience. You can definitely negotiate a better purchase price with strong financing.
Casey Ragan can guide you through your unique situation and help determine whether buying first or selling first is the right decision for you.
If you want to buy or sell a Toronto condo or loft, contact Casey Ragan at 416-486-5588 or by email at firstname.lastname@example.org
“Toronto’s Condo Authority”