I did a video about this topic a few years back- check it out below. When the market slows down like it has recently (last 6-8 months), it’s a great time to give the “trade up buyer” a chance.
A “trade up buyer” is a buyer that has a house to sell in order to be able to buy the new house or property. Typically a “trade up buyer” is looking for a bigger house, a better location, or both.
The key here is making sure that you price the house or property you are selling at a very attractive price so that it sells quickly. The market is very price sensitive, so if things are priced well then they will sell fast. If it’s overpriced, then you will sit on the market and rot away!
This is key to avoid when trying to convince the seller of your trade up property that your old property will sell fast.
Pricing the down-leg is key. I just went through this with two different clients. One could price their house aggressively and it sold in a matter of days. The other “had to get a certain number” and it was more than the market would bare, so we sat on the market until ultimately we had to cancel the purchase of the up-leg and remove the old house from the market.
Pro tip: Make sure you’re pre-apporved with a good lender before you trade up, and make sure your trade up numbers work with your old property being listed at an aggressive price.