A contingent sale is when something must happen before a house can be sold. There are many contingencies within a normal transaction- inspection, appraisal, financing. The contingencies that are more of a challenge are when 1 house has to be sold before a new one can be purchased. Here are my tips for making multiple transactions flow smoothly and everyone has an easy move!
Start shopping before you sell your house: Are there houses you like, in your price range, and enough of them coming on the market that you can reasonably assume there will be a house you can buy once your current house is pending?
Prep Prep Prep your house for sale: This will need to be a quick sale, with highly motivated buyers that are willing to sign off on waiting for you to find your dream home, before they can buy theirs. Clean, do repairs, move out as much as you can, get a dumpster and throw everything away, have a garage sale. Paint, stage the house, clean up the landscaping.
If you find your dream house first: Make an offer contingent on the sale of your current home, and it has to go on the market in x number of days, usually 10 or less. Did you Prep Prep Prep? If not, then get to work, or price your house accordingly.
See the Big Picture: If you want to sell your house for the maximum amount, then work with me to see when that is in your neighborhood, how to make your house pop, and make the improvements buyers value. If you already found the dream house, then the price on your current house may be lower, but you’ll get the dream house. Also, pricing lower may lead to multiple offers, buyers that are willing to wait for this house because of the deal they are getting on it, and backup offers so you don’t have to go back on the market if the 1st buyers walk away.
Rent Backs and Closing Dates: Be open from the beginning with all sides. How long will it really take you to move? Do you need to hire a moving company to make it happen in one day? What kind of cleaning does each house need? The best thing is to ask for extra, and then be able to let the new owners of your house have it early. The closing dates are usually 2 days apart, shoot for a early in the week, and early in the month, title and mortgage companies will be less busy and able to focus on your closings happening on time.
You are Unique: Every house, buyer, seller, family, is unique, on all sides in contingent sales. What is important to you? What is important to the sellers/buyers? Be generous where you can, real estate karma is real, and giving up things that don’t matter in the long run will get you into that dream house in a positive and happy way.