Financing strategy · Home Equity
Buy Now Sell Later
Buy now sell later describes several structures that let you purchase your next home before your current one sells. Depending on the situation, that may mean using a HELOC on the current home for the down payment, using bridge financing, or qualifying with both payments where your ratios allow. The goal is a non contingent offer and a move on your timeline.
Who it is designed for
- Homeowners who need equity from a current home but do not want a contingent offer
- Buyers in competitive situations where a sale contingency is a disadvantage
- Families who want to move once instead of into temporary housing
Eligible occupancy types
- Primary residence
Down payment or equity
The down payment on the new home commonly comes from a HELOC, bridge loan or other resources tied to your current equity.
Major benefits
- Make an offer without a home sale contingency
- Move on your schedule rather than the buyer's
- Prepare and market the departing home while it is empty
Important considerations
- You may carry two payments for a period
- The strategy depends on your current home's actual value and equity
- Setup should begin before you shop, not after you find a home
- Costs of the interim financing must be weighed against the benefit
How qualification generally works
- Equity analysis on your current home
- Qualification for the new mortgage, including any interim payments
- A defined plan and timeline for listing and selling
Documents commonly requested
- Photo ID and Social Security number for each borrower
- Most recent pay stubs covering a full 30 day period, if you receive W2 wages
- W2s and/or federal tax returns for the most recent years requested
- Two months of asset statements for accounts used for down payment and reserves
- Current mortgage statement, homeowners insurance and property tax information on properties you own
- Explanations for large or non payroll deposits
- Current mortgage statement and recent valuation information on the departing home
Frequently Asked Questions
Related programs and next steps
Bridge Financing
Short term financing that bridges the gap between buying and selling.
Learn more Home EquityHELOC
A revolving line of credit secured by the equity in your home.
Learn more RefinanceCash Out Refinance
Replace your mortgage with a larger one and take the difference in cash.
Learn moreConsidering buy now sell later?
We will review your documents, compare the realistic options, and give you a written preapproval you can use with confidence. Nothing on this page is a commitment to lend.