How to Determine When to Sell Your Home

It's a hard decision. You need to determine whether you'll buy a new home before you sell your present home or after. There are some factors you'll need to ponder, especially the pros and cons of each. Below are benefits and detriments of both decisions.

Buy BEFORE you sell, consider the following ...

* In many cities throughout the U.S., foreclosures have saturated the market. Your home may be competing with the foreclosed homes. This could make it difficult to sell your home. You may be stuck with two homes for quite a while.

* You'll have time to shop around for the best deal and best location, since you won't have any time constraints like an upcoming closing. It will give you time to make a list as to what you want in your next home, where you want it to be located, which school district you prefer and it will also give you time to negotiate for the very best deal.

* Depending on your financial situation, you may have to take the first bid you get on your current home just to get out of the mortgage. A short sale may end up being your only option just to offload your current home. A short sale could negatively impact your credit score and you could end up paying taxes on the "forgiven" amount.

* If you intend on using your home's equity as a down payment, you may be out of luck if your current home does not sell.

* The sellers may not accept the contract if you attempt to use a "subject to" clause in your offer on a new home.

* You may find your dream home and can't sell your home in time to bid on your dream home. This applies to sellers who wouldn't accept the "subject to" clause.

Buy AFTER you sell, consider the following ...

* Selling your home first will allow you to know exactly how much equity you can use toward the down payment of another home. It also may enable you to negotiate a little more if your dream home needs a little bit of repair.

* You may not have much time to find a new home if you've priced your home right and it sells quickly. You may have to take less amenities or compromise on location.

* If you use a "subject to" clause to let sellers know that you will not sell until you find a new home, potential sellers may be turned off. You may lose the sale.

* You may have to pay more for a new home, since you won't have much time to negotiate. You may have to make a higher bid to close the deal.

* The closing on your new home may be after the closing on your current home. You will have to find a new place to live, find a location to store your belongings, and move your family for the interim. Once you close on your new home, you'll need to make provision to move your family and your belongings into your new house. You may have to move twice.

Inside Dallas has a website that covers real estate in Dallas. They provide a map search for Dallas homes and a Dallas Texas real estate blog that has statistics and information on the Dallas market