In today’s real estate market, houses are selling fast. For most sellers, this is good news. However, what would happen if you haven’t found the home you want to move into yet? Where are you going to go after your house is sold and the sale is complete?
If the closing day on your house is in a few weeks, you know it’s not enough time to find a home, make an offer, and then complete the transaction. If you throw in the competitive aspect of the market, seems may seem even worse.
The good news is that this is not your only option.
Rent the Home Back
Called a lease-back or rent-back, this is a great option if you have not yet found a new property. When you engage in a rent-back, the transaction will move forward as originally planned, and the buyer will close. After that, they will wait to move into the property.
With this option, you can rent the home back from the buyer until you can find a new one. Usually, you can pay a daily rate for this, but the precise amount will be outlined in the sales contract, along with expected upkeep and maintenance. After you close on a new home, you move out, and the buyer will move in.
Remember, not all buyers are going to agree to this arrangement. They may also have a timeline they need to stick to. Make sure you ask and negotiate the terms for this at the beginning of the sales process before you accept someone’s offer. Your real estate agent will help you figure out if this strategy is right for your situation.
Look into Rental Property
Another option to consider if your house sells faster than expected is to get a rental property while you wait to find the home you want to buy. Some single-family landlords and apartment complexes offer short-term or month-to-month leases. You can pay for a single month at a time or choose a lease for three to six months if you aren’t sure when you will buy.
If you choose this option, try to rent near the area where you will buy. This will help make a move easier.
Check into a Hotel
If you have a tight timeline or no rental properties in the area, a hotel may be a smart option. Try to find one that provides monthly or even weekly rates, and that has an in-suite kitchenette. This will provide a more home-like experience.
Most of the major hotel chains will provide monthly and weekly rates. You should ask if you are not sure, as they will likely be willing to work something out.
Make the Homebuying Process Less Stressful
It can be stressful to think you will have nowhere to live. However, you can see how many options you have if your house sells faster than expected with the information above. Keep this in mind to reduce the stress and hassle of the selling process.
