Coastal Virginia Homeowners: Should You Buy or Sell First?

Stepping into the Coastal Virginia real estate market, whether you're looking to upgrade to a beachfront property or downsize for a more quaint setting, presents a universal puzzle for homeowners: Is it smarter to buy your next home before selling your existing one, or should you sell before you buy? Both routes have their upsides and downsides, influenced significantly by our unique market conditions. Here’s a rundown to help you determine the best move under the Coastal Virginia sun.

Buying Before Selling: The Coastal Virginia Edition

The allure of securing your next home in Coastal Virginia before selling your current property can be strong, especially if a property that checks all your boxes hits the market. But it’s important to weigh your options carefully.

Pros:

* A Smooth Transition: By purchasing your new home first, you dodge the bullet of having to find temporary housing. This is particularly valuable in Coastal Virginia, where vacation seasons can affect the availability and pricing of short-term rentals.

* Leisurely Move: Owning your next home means you can move at your own pace. You have the luxury to wait for the perfect weather conditions or move gradually to manage the stress of relocation.

Cons:

* Financial Burden: Holding two properties means double the mortgages (unless you're paying in cash), property taxes, and maintenance costs, which can add up quickly in our upper-tier market.

* Pressure to Sell: With the extra financial load, you might feel compelled to sell your current house swiftly, potentially compromising on your sale price just to lighten the load.

Selling Before Buying: Strategizing in Coastal Virginia

Conversely, selling your home prior to purchasing a new one can offer financial clarity but comes with its own challenges, particularly in a market as dynamic as ours.

Pros:

* Financial Freedom: Selling first frees you from the worry of juggling two mortgages and provides a clear budget for your next home purchase.

* Boosted Buying Power: Being ready with cash in hand from a sale can make your offers more attractive to sellers, crucial in Coastal Virginia’s competitive spots like Virginia Beach or Norfolk, where the market heats up quickly.

Cons:

* Temporary Housing Challenges: If you sell first, you must figure out your interim living situation. Our local market’s seasonality can make finding temporary accommodations tricky, especially during summer months.

* Rushed Purchase Decisions: The pressure of needing to find your next home swiftly could lead to choosing a property that isn’t quite the right fit, just to avoid the limbo of being without a home.

So, What’s the Verdict for Coastal Virginia Residents?

There’s no one-size-fits-all answer, but considering the following local factors can guide your decision:

1. Understand Our Market: Coastal Virginia oscillates between a seller's market and a buyer's market, depending on the locality and time of year. Recently, areas like Chesapeake and Suffolk have seen a seller's market, pushing many to sell first to capitalize on quick sales.

2. Assess Your Finances: Can you comfortably afford two mortgages for a time? If not, selling first may be your safest bet to avoid financial strain. Our market’s high property values mean double the financial responsibility.

3. Your Comfort with Risks: Your tolerance for financial uncertainty and the stress of potentially owning two homes or none for a period will impact your choice. If you prefer not to rush into purchasing your next home, buying first could be your path.

Exploring Alternative Strategies in Coastal Virginia

If neither buying nor selling first appeals to you, Coastal Virginia’s market offers a couple of other options to consider:

* Bridge Loans: A short-term loan can bridge the gap between purchasing your new home and selling the old one. It’s a viable option if you’re confident your current home will sell quickly.

* Contingency Offers: Making your offer contingent on the sale of your current home can safeguard you from owning two properties simultaneously. However, be aware that in competitive markets, sellers might shy away from such conditional offers.

The choice of buying or selling first in Coastal Virginia hinges on your personal situation, market dynamics, financial readiness, and risk tolerance. By taking a comprehensive look at your circumstances and these local insights, you can make an informed decision that ensures a smoother transition to your next coastal home.