Should I Buy First or Sell First in Today's Market?

It is the classic real estate riddle. You outgrow your current house, or maybe you are ready to downsize, and suddenly you are stuck trying to coordinate two massive life events at the exact same time. You want the pieces to click together perfectly.

The reality is, trying to time the London market perfectly usually leads to a lot of sleepless nights. If you buy first, you risk owning two homes at once. If you sell first, you worry about ending up homeless with your furniture packed into a storage unit. So, Should I Buy First or Sell First in Today’s Market? Let’s look at how things actually work on the ground here in London right now.

The Logic of Selling First

Here’s the thing. We are currently in a market with healthy inventory and patient buyers. Homes are taking a bit longer to sell than they did a couple of years ago. Because of that, selling your current home first is often the safest route for the average family.

When you sell first, you lock in your exact numbers. You know down to the penny how much equity you have. That matters because it dictates your exact budget for the next purchase. It means you can walk into open houses in Byron or Wortley Village knowing exactly what you can afford, without guessing what a buyer might pay for your current place. It completely eliminates the financial stress of carrying two mortgages if your old home sits on the market.

The Alternative: Buying First

Look, buying first is not automatically a bad idea, but it requires a very specific financial cushion. This strategy usually works best if you are downsizing and have a massive amount of equity built up, or if you have a highly flexible bridge financing option in place with your bank.

The main perk here is peace of mind on the purchasing side. You can take your time, wait for the perfect property to hit the MLS, and secure it without pressure. You know exactly where you are moving. But in today's local climate, where buyers are taking their time, buying first without a firm sale on your own property puts you in a vulnerable position. You become a motivated seller, and buyers can feel that.

Navigating the London Market Right Now

Because our local market has stabilized and inventory has caught up, we are seeing a return to classic, balanced real estate protections. We haven't seen this in years.

If you decide to buy first, we can often include a "Condition on the Sale of Buyer's Property" (SOP) in your offer. This clause gives you a set window of time—often 30 to 60 days—to sell your current London home. If your home does not sell, the deal safely dissolves, and you get your deposit back. Local sellers are much more open to these conditions today than they were during the frantic peak of the pandemic market. It is a great safety net, though it does make your offer slightly weaker if you end up in a rare competing situation.

Ultimately, there is no single perfect answer that applies to everyone in London. Your personal financial comfort zone, your current mortgage terms, and the specific neighborhood you are eyeing all play a massive role.

Frequently Asked Questions

What is bridge financing and how does it help?

Bridge financing is a short-term loan from your bank. It covers the financial gap if your new home closes before your current home sale closes. It allows you to own both properties for a few weeks, but you must have a firm sale agreement on your old home to qualify.

Can I make an offer on a house before listing mine in London?

Yes, you can. We can write an offer with a condition that protects you if your current home doesn’t sell. However, you will typically need to get your home on the market immediately to satisfy the timelines in that condition.

How long are homes currently sitting on the market in London, Ontario?

While hot properties in great school zones still move relatively quickly, the average home is taking a few weeks to find the right buyer. It is a patient market, which is why selling first has become more popular.

What happens if my home sells but I can't find a place to buy?

We can protect you by negotiating a longer closing date on your sale—say, 60 or 90 days. This gives you a broader window to shop. We can also look at adding a clause that allows us to extend the closing slightly if you face delays.

Should my choice change if I am moving from a house to a condo?

Yes. The condo market and the single-family home market move at different speeds right now. If you are selling a detached home to buy a condo, your home will likely sell faster than it takes to find the condo, making selling first even more logical.

Let's Figure Out Your Next Step

Deciding how to sequence your move is a big deal, and the right path depends entirely on your specific situation. If you want to talk through the math, look at what homes are selling for in your specific neighborhood, and map out a low-stress plan, let’s grab a coffee.