Do you need to sell your home before you purchase another one? The FOCUS on NoVA Real Estate Team goes through some items you need to keep in mind to make sure it is a smooth transition.

There are a number of things that you can do that you could actually go ahead and buy before you have actually sell. One of them is if you have equity in your home you can take out what is called a HELOC. This is a form of equity line that way you don’t have to worry about going through the whole process while you’re in your house.

The other is that you could borrow from your 401k. This is really more ideal because it does not impact your income to debt ratio, which is very important because if it’s too high you won’t be able to get the loan on your house that you’re buying.

Then you also have the choice of a gift which is the best if you have a family member that could afford to loan you this money. You could go ahead do your down payment and move on if all of the above don’t work for you. Then what you would have to do is stay in your home sell it and then buy.

If you have any questions about Northern Virginia real estate, reach out as we are happy to help.