The Art of Buying & Selling St. Helena Homes at the Same Time

The Art of Buying & Selling St. Helena Homes at the Same Time

  • Joe Brasil
  • 10/5/22

A lot of time and planning goes into buying or selling a home on its own, and doing both simultaneously can be tricky. St. Helena is an excellent choice if you’re looking for a place to sell and buy. Most homes on the local market are single-family residences with about three bedrooms, making it a viable location for families or retirees looking for extra space to unwind.

St. Helena homes for sale may spend more than a month on the market, which can seem like a long time. But the time will fly when you’re strategizing when to buy, sell, and move into your new home. Known as “Napa Valley Main’s Street,” St. Helena is picturesque. The area has plenty of perks, such as great year-round weather, vineyards and wineries, and a great school district for families. With these factors in mind, here’s how to start buying and selling.

Decide which step to take first

Before deciding which action to take first, research the local real estate market. Depending on the trends, you may want to buy first to secure a good deal, then sell when trends are headed into a sellers’ market (or vice versa). Work with a real estate agent to understand the local real estate trends of St. Helena before deciding. Here are other factors to consider when choosing which step to take first.

When you sell before you buy

There are a few things to consider when you sell before you buy. For one, selling before you buy means you don’t have to worry about potentially taking on two mortgages. Also, having profited from your sale, you’ll have less financial stress. It can be easier to qualify for a new mortgage and buy a new home second. This is the most popular choice among simultaneous sellers and buyers because of its financial stability.

However, there are some drawbacks to this path. For one, if you aren’t ready to buy a new home or are still looking for a property, you could be stuck with no place to live. This could add pressure to find a home quicker, leading to a rushed decision. You’ll also have to move twice: once into your temporary living situation and once into your new home. Make sure you plan a living and storage situation before you choose this path.

When you buy before you sell

When deciding to buy before selling, make sure to account for the pros and cons. When you buy before you sell, you have more time to look at the options available, which means you’re more likely to find a property you love. You also don’t have to worry about where to move to when you sell your house, as you can just move into your new home. This means you don’t have to pay extra moving or storage costs.

There are some obstacles to consider when buying before selling. It can also be challenging to qualify for a loan with the extra debt of an old mortgage. Make sure you’re prepared for possible financial strain before you make your decision.

How to align the transaction

There are plenty of ways to align your sale and purchase of St. Helena real estate so you aren’t stuck with an extra home or no place to stay. Although this can be time-consuming, sticking to the process is worth it; in the past decade, properties in the area have appreciated steeply. Homes in St. Helena are sound investments if you commit to selling and buying. Use one, some, or all of these tactics to your advantage to enjoy St. Helena as soon as possible.

Add contingencies

If you buy before you sell, one way to ensure your transactions line up is to add buyer contingencies in your home offer. For example, you can request an extended closing time on the house, which gives you more time to sell your own. Your offer can also be contingent on the sale of your current home. This gives you the space to back out of the offer if you’re having trouble selling.

If you’re selling before you buy, you can add a lease-back to your negotiations. With a lease-back, you can rent the property you just sold from its new owners, giving you someplace to live while finalizing an offer on a new home and providing more time to pack your belongings to move.

Get bridge financing

Another option to align your transactions is to get bridge financing. If you buy before you sell, consider a bridging loan — an interest-only loan you can take out while you still have your current home loan. This helps you to bridge the gap between two home mortgages. You need a lot of home equity to qualify for this loan, as the rates are higher, but you can save money in the long run. You can also use your home equity to cover fees like closing costs and down payments on a new home.

Ready to search for St. Helena real estate?

St. Helena is a great place to invest. With the information in this guide, you’re on your way to two successful transactions. For detailed help navigating the buying and selling processes, contact local agent Joe Brasil.  

*Header photo courtesy of Shutterstock

Work With Joe

Joe Brasil is an unrivaled Napa real estate expert. From finding amazing, luxury homes for sale in Napa, getting clients the most out of their St. Helena property sale, or setting you up in Yountville, you can rest assured that your expectations will be exceeded. Work with Joe today and make your Napa real estate dreams come true.

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