You’re ready for your next home, but there’s one major question to answer: how do you buy it when the money for your down payment is tied up in your current house? For homeowners in Corpus Christi and across South Texas, coordinating a purchase and a sale can make moving feel complicated. You may be considering a larger home in Portland, a smaller property closer to family, or a move from Calallen to the Southside. A Buy Before You Sell program may help eligible homeowners make that transition by accessing a portion of their current home’s equity before it sells.
Why Buying and Selling at the Same Time Can Be Challenging
Selling first can give you a clearer picture of the money available for your next purchase, but it also creates a timing challenge. If your current home closes before your next one is ready, you may need temporary housing, storage, and a second move. Buying first presents a different concern: having enough money available for your new purchase while you still own your existing home. For Coastal Bend households balancing work, school schedules, and moves between communities, those overlapping deadlines can add considerable stress.
One approach is to make an offer contingent on selling your current home. That means your purchase depends on that sale happening under the terms of the contract. While a home sale contingency can provide protection, it introduces another condition for the seller to consider. Having another financing option may give you more flexibility when the right property becomes available.
How Does Buy Before You Sell Work?
Platinum Mortgage can help homeowners explore HomeLight’s Buy Before You Sell program. The program allows eligible homeowners to access a portion of their existing home equity toward the purchase of their next home. Your property and financial circumstances are reviewed to determine eligibility and how much equity may be available. The process involves several steps, with your loan officer, real estate agent, and HomeLight coordinating their respective parts of the transaction.
1. Review Your Current Home and Financing
Your loan officer submits your current home for program consideration. HomeLight reviews the property and determines the amount of equity you may be able to access. This is a portion of your equity, rather than necessarily the full difference between your home’s estimated value and your mortgage balance. You will also need approval for the mortgage on your next home and an opportunity to review the program agreement.
2. Shop for Your Next South Texas Home
Once the necessary approvals are in place, the available equity can help fund the down payment on your next home. The program is designed to allow qualifying buyers to make an offer without a home sale contingency. That can simplify one part of your offer, although financing, inspections, and other contract terms still matter. Whether you’re looking in Corpus Christi, Flour Bluff, Portland, or another South Texas community, your purchase budget should reflect the full cost of owning the new property.
3. Close, Move, and Sell Your Former Home
After closing on your next home, you can move before completing the sale of your former property. Your real estate agent can then market that home without your household having to work around showings while living there. When the former home sells, the equity advance is repaid through closing, along with applicable program fees and expenses. The remaining sale proceeds are distributed according to your closing statement and agreement.
What Should Corpus Christi Homeowners Consider?
A move within South Texas can change more than your address and mortgage payment. Property taxes, homeowners insurance, windstorm coverage, flood insurance, and homeowners association fees may differ between the home you’re leaving and the one you’re buying. For a move toward Padre Island or another coastal location, discuss the property’s insurance needs and obtain quotes early. Looking at these expenses before making an offer can help you build a more realistic monthly budget.
You should also plan for the period when you still own your former home. Ask who is responsible for mortgage payments, utilities, insurance, taxes, and maintenance during each stage of the program. Your real estate agent can help you evaluate pricing and prepare the property for sale based on its neighborhood, condition, and competing listings. A home in Calallen may require a different selling strategy from a property on the Southside or near the water.
Understand the Costs Before You Commit
Accessing equity before selling comes with program costs and contractual obligations. Ask for a written explanation of the current fee, any minimum charges, additional expenses, and repayment terms. You should also understand the sale timeline and what happens if your former home takes longer to sell than expected. Comparing these details with selling first or making a contingent offer can help you decide which approach fits your situation.
Explore Your Next Move With Platinum Mortgage
Buying before you sell may offer a practical path for homeowners who have equity but need more flexibility to make their next move. The right choice depends on your property, financing, budget, and preferred timeline. LeAnne Alexander at Platinum Mortgage can help you review the program and understand how it may fit your plans in Corpus Christi or elsewhere in South Texas. Contact Platinum Mortgage to discuss your next home purchase before you put your current home on the market.
Program availability, property eligibility, financing approval, fees, and terms are subject to review and may change. Access to home equity involves a loan that must be repaid.