Should I Sell My House Before Buying Another in Pierce County, WA?

If you already own a home and you’re thinking about your next move, you may be wondering whether you should sell before buying another home.

It’s one of the biggest differences between buying your first home and buying your second.

This time, you aren’t starting with just a budget and a home search. You already have a property, a mortgage, potential equity and a moving timeline to consider.

For homeowners in Puyallup, Graham and throughout Pierce County, there isn’t one answer that works for everyone.

The best place to start is by understanding your numbers and the options available to you.

Should You Sell Before Buying Your Next Home?

Selling your current home first can make the financial side of your next purchase easier to understand.

Once your home sells, you’ll have a clearer idea of how much money is available from the sale. That’s especially important if you plan to use those proceeds toward your next home.

Selling first may also mean you don’t have to carry the expenses of two homes at the same time.

But there’s an obvious challenge.

Where will you live if your current home sells before you find the next one?

You may need to think about your moving timeline, storage, temporary housing or other options for the time between homes.

That’s why I like to look at selling and buying as one overall plan rather than two unrelated transactions.

What if You Buy Your Next Home First?

Buying first may be worth exploring for some homeowners.

It can give you the security of knowing where you’re moving before you sell. You may also have more flexibility to move your belongings and prepare your previous home for the market.

The biggest question is whether it works financially.

Can you qualify for another home while you still own your current one?

Would you be comfortable carrying expenses associated with both properties for a period of time?

Do you need money from the sale of your current home to purchase the next one?

These are questions to discuss with a qualified lender.

If you need a lending resource, Larry Dodson with Generations Home Loans can help you explore financing options based on your individual situation.

As your real estate broker, I can help you work through the real estate side of the plan. Your lender can help you determine which financing options may be available to you.

How Much Equity Do You Have?

Before deciding whether to sell before buying, I want homeowners to understand their approximate equity.

Home equity is generally the difference between your home’s value and what you still owe against the property.

Here’s a simple example.

If your home could sell for approximately $500,000 and you owed approximately $300,000, there would appear to be about $200,000 in equity before accounting for selling expenses.

However, equity isn’t the same as the amount of money you’ll receive when the transaction closes.

That’s where your estimated net proceeds become important.

Want to get a better idea of your home’s value and equity? You can use my Homebot home-value tool here.

How Much Could You Actually Walk Away With?

Your home’s potential sale price is only the starting point.

To estimate what you could actually walk away with, we also need to consider your mortgage payoff and applicable transaction expenses.

Depending on the sale, those expenses could include brokerage compensation, title and escrow charges, applicable taxes or fees, agreed buyer concessions, repairs and other transaction costs.

Every sale is different.

Rather than using one generic percentage, I prefer creating a preliminary estimate based on your particular home and situation.

That gives us a more useful number when we start planning for your next purchase.

Can You Use Your Sale Proceeds for Your Next Home?

Potentially, yes.

Some homeowners use a portion of the proceeds from their current home toward the down payment or other costs associated with their next purchase.

That doesn’t necessarily mean every available dollar needs to go into the next property.

You may want to keep some money available for moving expenses, improvements, reserves or other financial goals.

Your lender and, when appropriate, financial or tax professionals can help you evaluate those decisions.

From the real estate side, knowing approximately what you may have available helps us build a more realistic plan for your next home.

What if You Find Your Next Home Before Yours Sells?

This is where planning ahead becomes especially valuable.

You could be preparing your current home for sale and unexpectedly find a property you love.

The opposite can happen too. Your home might sell before you’ve found the right replacement.

Real estate transactions don’t always line up perfectly.

Depending on your circumstances, there may be financing, contractual or possession strategies worth discussing with your real estate broker, lender and other appropriate professionals.

One question I like to ask early is:

What is our Plan B if the timing doesn’t work exactly the way we hope?

It’s much easier to discuss that question before you’re facing a deadline.

Do You Need to Fix Your Home Before Selling?

Not necessarily.

If this is your first time selling a home, it’s easy to assume you need to start renovating before contacting a real estate broker.

I wouldn’t start there.

First, let’s look at the home as it is today.

Then we can consider its condition, comparable properties, likely buyer expectations, potential repair costs and your timeline.

Some improvements may make sense. Others may not.

My background in construction and financial management naturally makes me interested in this part of the process. I like looking beyond cosmetic finishes and helping homeowners identify the questions we should be asking.

When we need specialized information about a property’s condition or repair costs, we can bring in the appropriate inspector, contractor or other professional.

How Does Selling Before Buying Work in Pierce County?

Real estate is local.

Several factors can influence your strategy, including your current property, the type of home you want to purchase and the market conditions in your part of Pierce County.

For example, selling a home in Puyallup may involve a different price point, property type or next-home goal than selling in Graham or another Pierce County community.

That’s why generic online advice can only take you so far.

My goal isn’t to automatically tell every homeowner to sell before buying. It’s to understand your situation, help you organize the moving pieces and make sure you know which questions need answers before you make a decision.

When Should You Talk to a Real Estate Broker?

Earlier than you might think.
You don’t need to wait until you’re ready for listing photos or a sign in the yard. If you think you may sell within the next several months or even the next year, an early conversation gives you more time to prepare.
An early conversation also gives you time to figure out what needs to happen before you make your move. There may be projects worth completing before you sell, or you may decide you need more time to prepare financially.
In some cases, homeowners discover they’re in a better position to move than they expected. Staying where you are may also turn out to be the best decision right now.
All of those are useful outcomes. A real estate strategy conversation should give you information to make a decision, not pressure you into making one.

Where Should You Start?

You don’t need to have everything figured out.

Start with these questions:

1. What could your current home realistically sell for?
2. Approximately how much do you still owe?
3. What might your estimated net proceeds look like?
4. Do you need those proceeds to purchase your next home?
5. What are you looking for in your next property?
6. What timeline would work best for you?
7. What is the backup plan if the sale and purchase don’t line up?

Once we understand those pieces, deciding whether to sell before buying becomes much easier to evaluate.

Planning to Sell and Buy in Puyallup, Graham or Pierce County?

I’m Shayla Thrasher, a Pierce County real estate broker with Windermere Professional Partners and the broker behind Homes Your Way with Shay.

I work with homeowners in Puyallup, Graham and throughout Pierce County, with a particular focus on helping people understand how selling their current home and purchasing their next one can work together.

We’ll look at your current home, your numbers, your next-home goals and your timeline.

When we need specialized guidance about financing, inspections, repairs, title, taxes or other areas, we’ll bring in the appropriate professionals.

Most importantly, you don’t have to be ready to list to start making a plan.

If you’re wondering what it would actually look like to sell your current home and buy another one, we can start there.

Book a no-pressure strategy consultation and let’s map out how selling and buying could work for you.

Shayla Thrasher
Pierce County Real Estate Broker
Windermere Professional Partners
Homes Your Way with Shay
No Pressure. Just Support.
shayla.withwre.com

Frequently Asked Questions

Should I sell my house before buying another?

Whether you should sell before buying depends on your finances, equity, housing needs and timeline. Selling first may give you a clearer picture of the money available for your next purchase. Buying first may give you more certainty about where you’re moving. Your real estate broker and lender can help you evaluate both options.

Can I buy another house before my current house sells?

It may be possible. Your ability to do so depends partly on your financing and individual financial circumstances. A qualified lender can help you determine which options may be available while you still own your current home.

Can I use my home equity to buy another house?

Proceeds from your current home may be available to use toward your next purchase after the sale closes. The amount available depends on the sale price, mortgage payoff and applicable selling expenses. Financing and tax questions should be discussed with the appropriate professionals.

How do I estimate how much money I’ll receive when I sell?

A preliminary seller net proceeds estimate can help. It considers your estimated sale price, mortgage payoff and applicable transaction expenses. It isn’t a guarantee of what you’ll receive at closing, but it can give you a useful number for planning.

When should I contact a real estate broker about selling?

You don’t have to wait until you’re ready to list. Starting the conversation earlier can give you time to understand your home’s potential value, consider repairs or preparation, estimate your potential proceeds and plan how your sale could coordinate with your next purchase.