Planning a move can oftentimes seem like orchestrating a massive square dance. All of the pieces must be carefully put in place, because without the proper timing on everyone’s part, the entire production could fall apart.
This can be an especially difficult maneuver if you are moving into a brand new, custom built home. Unlike purchasing an already-existing property, you run the risk of various delays in the building process – and this, in turn, could end up collapsing the deal like a row of dominoes.
One of the biggest cogs in this particular “wheel” is knowing when to list your current home for sale. The ideal timing of this can actually be dependent on a number of variables. For instance, typically a builder will require you to submit a down payment for the new home. So, if some (or all) of these funds are tied up in your current residence, you may need to move forward with putting your present home on the market sooner rather than later.
Also, because lenders take a close look at your debt to income ratio before they will approve you for a mortgage, ridding yourself of your old home’s payment may be necessary for you to qualify for a new loan.
So, while going this route might require you to secure temporary housing while your new home is being built, it could also be a necessary step towards turning your dream home into a reality. With that in mind, in any case, it is important that you remain flexible, and be prepared to do some “juggling,” just in case.
Working with an experienced and knowledgeable builder can often be the key to ensuring that the process goes smoothly. This typically begins by sitting down with your proposed builder and mapping out a timeline.
If you have questions about how the new custom home building process works, we’ll be happy to help answer them. Just give us a call today.