How to bridge the gap and purchase new home before I sell mine

[Jon Ostojic]

Hello everyone. Thanks for taking the time. I've been doing a live-in-flip in Seattle for the last 2.5 years. Two realtor friends have told me my house is now $700k give or take, with about $300k equity. We've considered selling once we completely finished in the next 3-6 months and doing it again.

I go to open houses all the time and yesterday I went to one because it was a unique house/property. I was blown away by both the property and the house. For those interested:

https://www.redfin.com/WA/Seattle/10333-Ravenna-Av...

I've never seen such a place and I know it's unique. It has a separate entrance to a rental unit already (high on our want list), and the property is a sanctuary with stream. The house is in really good shape. I looked through the whole 30 page inspection report. It's in WAY better shape that our current house was.

The problem is I'm not ready. At best I was estimating 3 months to list mine. I'm wondering if it's in the realm of possibility to buy this place BEFORE we sell ours. Even if the loan isn't ideal, we could presumably refinance in a few months after we sell our house.

As a brief rundown I'm currently "house rich and cash pour" as I heard someone say recently. I own 2 cash flowing rentals on the west coast (one in BC Canada) with a total of $250k equity and my primary residence with about $250k-300k equity. Not living month to month, but I don't have more than about $15k liquid at the moment. I could easily come up with around $30k more liquidity within a month or so.

Are there any non-obvious financing options that I'm missing to buy this house now before I sell mine?

[Jon Ostojic]

Originally posted by @Dave Skow:

Jon - that's a great location and an interesting home ......#1) if you haven't  already done  so - get a loan pre approval in place  based on the premise you have your present place  sold  and closed  so that you are assured  you can get  refinanced down the road    ........from the  sound of it  - it doesn't sound as if your income is large enough to  carry  existing debt and  proposed new debt?

 2)  approach  seller  to see if they have  flexibility to  close in 60- 90 days   and provide as much  as you can ...non refundable EM  ...maybe a larger  EM note .....3)   see if they have any flexibility to  carry a note for a  short period of time

thanks

Thanks Dave. My income is 6 figures, but that's still not enough to float both my home and this for any length of time and for conventional loan purposes--at least I'm assuming. The problem is that this is Seattle: no contingencies and they are reviewing offers tomorrow and the open house was yesterday. But yeah, getting pre-approved with those assumptions would be good. Thanks.