This is probably one of the most common questions I get from homeowners who are thinking about making a move:
"Kevin, should we buy first or sell first?"
The truth is, there's no right answer for everyone. It really comes down to your finances, your comfort level with risk, and how competitive the market is when you're making your move.
Buying First
A lot of people like the idea of buying first because it takes away the stress of wondering where you're going to live next.
You can take your time, find the right home, and make an offer when the right one comes along. You're not scrambling to find something after your current home has already sold.
The downside is that you may end up owning two homes for a period of time. Depending on your financial situation, that could mean carrying two mortgages or needing bridge financing while everything gets sorted out.
That said, if you're moving into a price range or neighbourhood where good homes don't come up very often, buying first can sometimes be the better option.
Selling First
Selling first is usually the safer financial choice.
Once your home is sold, you know exactly how much money you're working with and there's no worry about carrying two properties longer than expected.
The trade-off is that the pressure shifts to finding your next home. If the market is moving quickly, you may feel like the clock is ticking once your sold sign goes up.
One strategy I often see work well is negotiating a longer possession date. That can give you extra time to find the right place without feeling rushed.
What I'm Seeing Right Now
In Saskatoon, homes that are priced properly and show well are still attracting strong interest in many areas of the city.
At the same time, inventory is very low, especially in some of the more popular price ranges. That's why many homeowners are starting the planning process earlier than they used to.
Before making a move, it's a good idea to understand what your current home is worth, what your buying power looks like, and what options are available to you. Once you have those answers, the buy-first versus sell-first decision becomes much easier.
My Take
If your biggest concern is finding the perfect next home, buying first can make sense if your finances allow it.
If your biggest concern is reducing risk and knowing exactly where you stand financially, selling first is usually the better route.
Either way, having a plan before you jump in is what makes the biggest difference.
If you're thinking about moving and aren't sure which option is right for you, feel free to reach out. I'm always happy to have a conversation, run some numbers, and help you figure out the best game plan for your situation.