Most sellers will not accept an offer that is contingent on the sale of another property in a strong sellers' market. The risk for a seller is that if your property doesn't sell, they have taken their property off the market, potentially losing another buyer. That said, there are exceptions and it can be worth making an offer with this contingency to see if it is acceptable to the seller. Here are some alternatives to this usually unacceptable contingency of the sale of another property.

1). Amend the contingency to include language that grants the seller the right to notify you in the event they get another offer that they want to accept. You would then either remove the contingency of the sale of your property and proceed to close per the contract, or your contract would be null and void in favor of the new buyer. This is a condition that is more likely to be acceptable to a seller.

2). Finance the purchase of the new property using funds from an equity line of credit on your current residence, or get a first and second mortgage on the place you are buying, with the second mortgage getting paid off from the proceeds of the sale of your current residence.

3). Quickly look at everything that is available when you get an offer on your residence, making your acceptance of the offer contingent on you finding a place to buy within a few days.

Most closings take an average of 30-45 days, which should give you time enough to find a new place, or for something to come on the market that is suitable.

Coordinating a purchase of a new home with the sale of a current home can be difficult. You can benefit greatly from a Realtor who knows how to make this happen with the least amount of stress for you as possible.


Rob Rose
2004