Navigating your transition period

Navigating your transition period

         The market is heating up and the right homes are selling fast!  Recently selling a listing of mine after only 9 days on market I was asked by an immediately anxious seller…“What do I do now”?  It’s a common question whether you’ve been on the market 9 days or 90.  Homeowners, in general, have settled and are often not ready for the transition to a new home or living situation.  Keeping a few of the following things in mind should, hopefully, make it less stressful for you and your family.

Become a Tenant!

         If you don’t have your next home under contract or already purchased, I recommend finding an acceptable short-term rental once you’ve gone to contract and passed inspection and appraisal.  You don’t want to rush the purchase of your next home, and delaying a closing because you’re unsure of your next step can be risky and costly.   A perfect scenario would be a furnished short-term rental, which you could occupy while you search for your next home.  The simplicity of a furnished unit is great, nothing to move!  An open-ended lease option will also allow you to relax and negotiate with less emotion when purchasing.   You don’t want to be “pushed” to buy due to current living situations.

Pull out the ole’ Piggy Bank!

         If you’re lucky enough to still have equity in this market, be sure to put your proceeds in safe keeping during your transition time.  No matter who you are, an injection to the bank account can be tempting.  A great idea is to keep your net proceed funds in escrow with your broker or title agent.  Most of these funds will probably be used on your next home purchase anyway and doing so will give you the ability to go to contract with pre-deposited escrow funds.  Cash is tempting; protect yourself from you.  You don’t want to be looking at your new Rolex at your next home closing wondering what you can hock it for. 

Having to Downsize?

         The phrase I seem to use most often in this market is, “relax, you’re not alone”.  If you are in an unfortunate situation and have to leave your home for financial reasons, keep one thing in mind.  You are NOT alone.  We should all be aware by now of the hardship most of America is under.  Moving forward with the sale of the home should simply be seen as closing a chapter of your life; make it a relieving moment rather then a mournful moment.  Life moves forward, not back.. One of my favorite quotes is “It will all be OK in the end, if it’s not OK, it’s not the end”.  Keep this in mind as you move forward, downsizing is simply a move, not a basis of personal character.

     No matter what your transition period involves, it is likely to be stressful without preparation. Anything in life without proper preparation is simply a risk.   Get your ducks lined up and you’ll sail through your transition period!!