Should I Market My Current Home Before Hunting for a New One?
A question we are often asked is: Do I need to have sold my house before I offer on another?
The answer is no, but there are excellent strategic reasons why you should consider doing so. As you might know, selling a home takes time. But if a seller has several offers, they will almost always look more favourably on a buyer who is in a position to move promptly.
This is known as being a proceedable buyer.
The Buyer Pecking Order (Proceedability)
A seller’s main concern is speed and certainty. Your position dictates how attractive your offer is, regardless of the price.
Top Tier (Most Proceedable): Buyers who have already sold their home (and are perhaps in rented accommodation) or are cash buyers (no mortgage required). They are the most committed and ready to move quickly.
Mid Tier: Buyers whose home is on the market but not yet sold. Their offer is contingent on their sale completing.
Lower Tier: Buyers whose home is not yet on the market. This signals the longest potential delay.
(First-time buyers are generally considered high-tier buyers as they have no chain to break.)
The Advantages of Having Sold Before You Offer
It Gives You a Very Strong Hand: You become the 'buyer of choice.' The seller is likely to take your offer more seriously and may choose you over others, even if the price is marginally lower.
Negotiation Power: You know exactly what you are able to offer for your next home, giving you confidence and stability.
Reduced Stress: You can focus solely on finding your new property without the pressure of managing two sales simultaneously.
The Disadvantages of Not Having Sold
Risk of Rejection: The seller might not be willing or able to wait for you to sell, opting for a quicker, more certain offer.
Financial Instability: If you do not get the price you were expecting for your home, it could cause issues with buying your next one, forcing you to renegotiate or pull out.
Can I Still Make an Offer if My Property Isn’t Sold?
Yes, of course you can. Just be aware that other potential buyers may be much more proceedable.
In this case, do what you can to show you are a serious buyer:
Be Prepared: Know what you want to buy and what you can spend (MIP/funds ready).
Act Fast: Get your property on the market immediately to improve your position.
We take pride in helping sellers position themselves as the strongest possible buyers, ensuring the highest level of security in their onward move.
We will be happy to help by offering a free market appraisal and valuation. Please call or message us today.
We hope you have found this article useful. Please feel free to share it with others.