Is Selling My Home After I Buy Dangerous?

Mortgage Insider » Real Estate » Is Selling My Home After I Buy Dangerous?

I get the question: Is Selling My Home After I Buy Dangerous? a lot these days. Since the resale existing home market has weakened it just maybe too risky for most home owners.

I got a typical email where the writer says:

“Rob, I’ve got to move due to transfer and must move ASAP. Selling my home will not be easy and I fear buying a new home before will be risky. I don’t know if I’ll qualify with 2 payments so selling my home first maybe my only option.”

Another home owner writes:

“Rates are down again and I’d like to take advantage by upgrading our home. I found the exact house I want and don’t want to lose it.

I think selling my home would take longer than the other home owners are willing to wait. Selling my home will also take some money as the property is a little run down.

What can I do?”

Well it is possible to sell after you buy…but it does contain risks. I would only advise it to those whose financial picture can withstand 2 mortgage payments and whose existing home will sell quickly and without extra expense.

The biggest hurdles you’ll need to clear are

1) making two housing payments and
2) getting loan approval with two housing payments.

Note: Loan Fraud Warning!

Don’t let an unscrupulous mortgage broker get you to commit mortgage fraud just so you can buy before you sell. If you get approved with two payments fine. If you don’t, live with it.

One way they’d break the rules to get you approved is to “doctor up” a lease agreement on your “old” home to offset the payment and show the computer a lower debt ratio.

Don’t do it…it’s a Federal crime!

To find a creative but professional broker who’d never offer such an illegal solution, use our system for mortgage shopping.

Good Luck!