It’s very common in this market to simultaneously sell one home and buy another. The key to successfully pulling this off is preparation and coordination. Here are some helpful tips on simultaneous closings when selling and buying a home.
1 – Coordinate with Movers
The home you are selling will need to be vacant for the buyer’s final walk-thru. Ideally, your movers should be done the day before, to ensure the property is vacant on the day of closing. Since you will not obtain keys to the new home until after that closing, your belongings must be stored overnight. Discuss this with your movers ahead of time. Most charge an additional fee. Alternatively, you may also arrange with the other parties to either move out late from your existing home or move in earlier to your new home. However, don’t rely on this. Most attorneys advise against it due to the added risks of occupancy and storage agreements. Whichever option you go with, make arrangements well in advance to avoid issues.
2 – Use the Same Attorney
In Massachusetts, you would typically have an attorney assisting with the sale or purchase of a home. If the simultaneous closings are in the same state, consider using the same attorney for both transactions. This will help simplify coordination and paperwork. Also, some attorneys are licensed in multiple states, so be sure to ask when buying and selling in adjoining states.
3 – Provide Paperwork Promptly
Lenders and closing attorneys will request information and paperwork from you for both transactions. Providing it promptly can prevent unnecessary delays. Sometimes what may seem like a minor request can have a ripple effect on the closing date, so treat every request with urgency.
4 – Wire Funds
Most people try to accomplish both closings on the same day,… sell one home in the morning and then take the funds directly to the next closing in the early afternoon. What can complicate this is availability of funds. For large dollar amounts, most attorneys want certified funds or a wire transfer. This means, you might not be able to simply get a check from the first closing and use that at the second closing. Instead, you may need to ask the attorney at the first closing to wire funds directly to the attorney for the second closing.
More Tips on Simultaneous Closings When Selling and Buying a Home
Simultaneous closings are more common than you may think. Most closing attorneys in Massachusetts are pros at managing them. Your circumstances may be unique depending on when and where you are selling and buying. Be sure to let your attorney know about your two closings so they can help you through the process. They will provide additional tips and prompts to help you stay on track.