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Updated over 3 years ago,

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7
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3
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Timing of primary and secondary homes purchase?

Posted

Hi,

I'm a first-time homebuyer. I'm planning to buy two properties -- one primary and one secondary. I'm splitting the capital between these two properties with 20% down each. 

Since my primary home is new construction, although I can sign a contract now (after pre-approval), it takes another 6-8 months to get closed. Meanwhile, I planned to buy a second home in a different state. The second home is a resale property and is most likely to get closed before the primary residence.

Should I time it differently? By the time, my primary residence is about to get delivered there is also a change in credit so my loan approval criterion may change drastically. I planned my budget such that overall DTI is under control even with two mortgages but the lenders may have different rules.

Any suggestions? I don't have an option to do it in a different way. Like closing primary first followed by secondary home.

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