Make It a Smooth Move

July 24, 2015 | Posted by: Cam Brown

Make It A Smooth Move! Nine tips to survive the buy/sell

So there’s a move in your future. Apparently, handling a move is in the top 5 items on the stress list next to death of a loved one, divorce and/or losing a job.  Although I can't help you with the other stressful situations, I certainly can help with the mortgage aspect of the move. It is a stressful juggling act: selling one home, buying another. I deal with this all the time, and have some tips for making a smooth move through these two transactions:

  1. Dig up your mortgage papers. You’ll want to begin with the facts on your current mortgage. Find out if it’s portable. If so, you may want to carry your mortgage to your new property: saving you discharge penalties. Are there any conditions to port the mortgage, and if you need more funds, can you blend the rate?

  2. Ask about penalties. If you want to pay out your mortgage, what is the penalty? Sometimes it’s worth paying a penalty for a much lower overall interest rate. I can run the numbers for you.

  3. Find out what your home is worth. Get a market evaluation of your home from your realtor. Understand the costs involved in selling; you’ll want to know how much you will have available to purchase your new home.

  4. Get a mortgage pre-approval for your new home. Know how much you can afford.

  5. Ready to shop.  With your realtor, start the business of buying and selling.

  6. Plan your downpayment. If your downpayment funds are coming from the sale of your current home, you’ll need to provide a current mortgage statement and a copy of a fully-executed sale agreement.

  7. Qualify for your mortgage. This will be similar to getting approved the first time, although your employment, credit situation, or lender guidelines may have changed, which means qualifying could be different. I will advise you accordingly.  

  8. Bridging any gap. Sometimes the sale of your old house closes after you take possession of the new one. Your lender may be able to provide a short-term bridge loan.

  9. Make a smooth move. And celebrate this important milestone!

I can help you with all of the mortgage details for your new home!


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