GARY PAUL / SELLER GUIDES
Selling and Buying Your Next Home
A plan for the sale, the purchase and the time between them.
When you are selling one home and buying another, the two decisions need to work together. The right sequence depends on your finances, the kind of property you want and how much uncertainty you can carry.
Sell first: a clearer budget.
Selling first establishes the agreed sale price and closing date before you commit to the next purchase. That can make budgeting easier. The trade-off is the need to find a suitable home within your timeline, or arrange somewhere to stay in between.
Buy first: more certainty about the next home.
Buying first lets you secure a property that suits you, but introduces exposure if your current home takes longer to sell or sells for less than expected. Before choosing this route, confirm what your lender will approve and what carrying both properties would mean for you.
| Decision | What to establish first |
|---|---|
| Selling before buying | Your minimum acceptable outcome, closing flexibility and a temporary housing plan if needed. |
| Buying before selling | Financing approval for the actual situation, available cash and capacity to carry overlapping costs. |
| Coordinating closing dates | When sale proceeds are available, possession arrangements and the lender’s and lawyer’s requirements. |
Work from available funds.
Your next-home budget should allow for selling costs, legal fees, mortgage-related costs, moving and purchase expenses. Ask your lender about mortgage portability, discharge costs and any short-term financing you may require. Approval and terms depend on your circumstances.
Plan for the deposit separately.
The timing of a purchase deposit may come before the proceeds from your sale are available. Establish where those funds will come from before making an offer.
Agree on the dates before arranging the move.
Matching closing dates can be convenient, but the transfer of funds and keys still needs coordination. Review the arrangements with your lawyer and lender. If dates overlap, establish the cost and financing in advance.
Keep protection in the conversation.
Discuss appropriate conditions and the consequences of the commitments you make before signing. Mortgage preapproval is not a guarantee that a particular purchase will be financed.
One plan for both moves.
We can start with your current home’s likely selling range and build a practical sequence around your next purchase.
Further reading: RECO seller’s checklist and mortgage preapproval guidance from the Financial Consumer Agency of Canada.
MORE FOR YOUR NEXT MOVE