Selling and buying at the same time? Here’s how to make it easier
For many Kiwis across Queenstown and Central Otago, the next step in their property journey involves both selling and buying… and often, doing both at the same time!
Whether you're upsizing to fit a growing family or downsizing to simplify life, coordinating two major transactions can feel like a headache. But it doesn’t have to be.
Here are some practical tips to help make the transition between homes (and loans) as smooth and stress-free as possible.
Know your numbers before you list
Before you put up the ‘For Sale’ sign, it’s crucial to get clear on your financial position. This means understanding:
- The estimated sale price of your current home
- How much cash you’ll have left over to put towards your next home
- Your borrowing power for your next home
Start by speaking to a trusted real estate agent to assess your property’s market value. Then, chat with a Loan Market Queenstown mortgage adviser (that's us!) who can crunch the numbers, check your borrowing capacity, and prepare you for different scenarios — including if your home sells faster (or slower) than expected.
Get pre-approved early
While it’s easy to focus solely on selling, don’t forget to set yourself up for the next step too.
Where possible, getting pre-approved for your next home loan can give you clarity on your budget and confidence when house hunting. Better yet, if the perfect property pops up, you’ll be ready to move fast, making you a more attractive buyer to sellers and something that could be really helpful in the current fast-paced Queenstown and Central Otago market!
Consider a bridging loan
What happens if you find your dream home before your current home sells?
A bridging loan could be an option. It’s a short-term loan that covers the gap between buying and selling, giving you the flexibility to purchase your new home before receiving the sale proceeds.
Bridging loans aren’t right for everyone, and there are some important criteria to meet and factors to weigh up, but with the right advice, they can take the pressure off needing to perfectly align settlement dates.
Negotiate flexible settlement dates
One of the biggest challenges with buying and selling simultaneously is timing.
Your real estate agent can help negotiate settlement dates that work for you — whether that’s a gap of a few days to make moving easier, or a same-day settlement to minimise disruption.
You might even be able to arrange a rent-back agreement, where you continue living in your sold home temporarily after settlement. This gives you valuable breathing space to line everything up without feeling rushed.
Surround yourself with the right team
When buying and selling at the same time, having the right people in your corner can make all the difference, and with our extensive network of professional partners, we’ll help you find the support you need.
Here’s who you’ll need:
- A Loan Market Queenstown mortgage adviser to guide you through your finance options
- A real estate agent who understands your goals and the local market
- A solicitor who can manage contracts, coordinate settlement dates, and protect your interests
With an experienced team backing you, you’ll be better prepared for every twist and turn along the way.
Always have a ‘Plan B’
Even the best-laid plans can sometimes hit a snag.
Your property might take longer to sell than expected, your settlement dates might shift, or you might need extra time to find the right next home.
Having a contingency plan can save you stress, whether that’s lining up short-term accommodation, organising storage for your belongings, or getting pre-approved for a bridging loan as a backup.
Need a hand navigating it all?
Selling and buying at the same time is a big move, but you don’t have to do it alone.
At Loan Market Queenstown, we’ve helped hundreds of local buyers and sellers through the process with smart planning, expert advice, and a lot less stress.
If you’re thinking about making a move, let’s chat about how we can make the finance side simple, smooth, and stress-free.