Buying or Selling a Home/buying, selling or both
I am trying to figure out the logistics of relocating to another state, when my current house is paid for, I am in no hurry to sell, and it won’t be a problem to buy another house first and then sell this one, if needed
I live in ND in a paid for house. I want to relocate to TX, but am in no hurry. I can live in this house till it sells, close, immediately have my stuff shipped to TX, put most of it in storage while I house hunt there.
Or I can clean this house out, store my stuff here and rent something cheap here for a few months while I wait for the house to sell.
I can buy something in TX, close, move my stuff, get settled, put this house on the market and come back to close when this house sells. (This is probably the simplest – one thing at a time.)
I am so confused How do other people do it when the old house is paid for and there is no hurry about selling it?
Good to see that you're flexible about changing residences, JoAnne. It's nice when you own your home free and clear. It allows you to complete your goal sooner rather than later.
However, there may be two additional ways that would permit you to complete your goal:
1. You could offer a buyer with good credit (but perhaps less than what a bank would require for a down payment) the financing by what is known as "carrying the mortgage" for the buyer. You could then use that mortgage as part of your down payment for your TX house. There are not too many real estate agents who are familiar with this maneuver. So, the TX agent should be very knowledgeable should you do sell your ND house with you carrying the financing. You'll be carrying that mortgage in your pocketbook as part of your negotiations.
2. This would be an exchange (not to be confused with a tax-deferred IRS 1031 exchange). When you go shopping for a house in TX, be sure the agent you're working with knows that you will be negotiating to buy with a free and clear ND house. This is not going to happen too often, but it can. Not too many Realtors and homeowners are familiar with this tactic. Quite legitimate.
If you need additional explanations, just email me. I do wish you well.