Here’s Where To Start if You’re Selling and Buying at the Same Time

Quick Answer: If you're a homeowner on the Gulf Coast getting ready to move, selling first is usually the stronger play right now. Homes are taking longer to sell in Biloxi and other parts of the coast than they did a year or two ago, which raises the risk of carrying two mortgages if you buy before you sell. Selling first also puts your equity and your offer strength to work for you. It isn't the right call for everyone, but it's worth weighing seriously before you decide.

Why Selling First Usually Wins Right Now

Selling is typically the harder half of a move, so getting it done first clears your biggest hurdle. That's especially true on the coast right now, where inventory has grown in cities like Gulfport and Biloxi and homes are sitting longer than they used to. When there are more homes for sale than buyers actively shopping, waiting on your own sale to close before buying protects you from a costly overlap.

You Won't Get Stuck Paying Two Mortgages

Buy before you sell, and you risk carrying two mortgages at once. With homes taking longer to move in parts of the coast, especially in Biloxi where supply is running well above balanced, that overlap could stretch on longer than you planned. Add in an unexpected repair or a slow buyer on your old house, and the cost adds up fast. As Ramsey Solutions puts it, selling before buying helps you avoid unnecessary risk and headaches. Selling first takes that risk off the table completely.

You Can Use Your Equity to Fuel Your Move

Selling first also means you know exactly what you're walking away with before you commit to your next home. Equity, your home's value minus what you still owe, adds up faster than a lot of owners realize. According to Realtor.com, homeowners who've been in their home for five years have about $180,000 in equity on average, and those in their home six to ten years have more than $340,000. After you sell, that money can cover your down payment or, for some coast buyers, fund a large chunk of the next home outright. Knowing that number up front makes it a lot easier to plan your next move with confidence.

Your Offer Will Be Hard to Pass Up

When your house is already sold, your next offer doesn't need a home sale contingency. In a market where buyers can afford to take their time, that matters. Picture it from the seller's side. If their home has been sitting a while, they're going to favor the offer most likely to close without a snag, and a contingency-free offer from a seller who's already closed is exactly that. It can also give you room to negotiate on repairs or price, since a motivated seller would rather keep the deal moving than start over with someone else.

Is There a Catch?

Selling first has real tradeoffs too, and it's worth weighing them honestly before you decide. According to Zillow, the biggest downsides are the risk of needing temporary housing between closing and your next move, and the pressure of shopping for your next home on a clock. The upsides are knowing your exact budget, having stronger offers, and avoiding the two-mortgage risk altogether.

The good news is these downsides are manageable with the right plan. A rent-back arrangement, where you stay in your old home for a set time after closing, can bridge the gap. Flexible or extended closing dates can do the same. Your agent can help you build either option into your sale from the start.

By the Numbers

Median home equity after 5 years of ownership: about $180,000 (Realtor.com)
Median home equity after 6 to 10 years of ownership: over $340,000 (Realtor.com)
Biloxi months of supply: 6.6, well above balanced
Biloxi average days on market: 90

The Bottom Line

There's no single right answer for every homeowner, but for a lot of coast sellers right now, leading with the sale makes the move easier on both your mind and your wallet. Connect with a local agent to figure out what selling first, with the right backup plan, could look like for your specific situation.

Frequently Asked Questions

Is it better to sell my house before buying a new one?
For most homeowners right now, yes. Selling first avoids the risk of carrying two mortgages, gives you a clear budget based on your actual equity, and lets you make a stronger, contingency-free offer on your next home.

What if I sell my house and can't find a new one in time?
A rent-back agreement lets you stay in your old home for a set period after closing while you keep shopping. Your agent can negotiate this as part of your sale.

How much equity do I actually have in my home?
Your equity is your home's current value minus what you still owe on your mortgage. A local agent can run a comparative market analysis to give you a real, current estimate.

When does it make more sense to buy first instead?
Buying first can make sense if you have the financial cushion to carry two mortgages comfortably, or if your local market is moving fast enough that your current home is unlikely to sit long once listed.

What's a home sale contingency, and why does removing it help my offer?
A home sale contingency means your purchase depends on your current home selling first. Sellers often see contingent offers as riskier and slower, so an offer without one tends to stand out, especially when homes are taking longer to sell.

Sources

Realtor.com via Yahoo Finance — https://finance.yahoo.com/economy/articles/home-equity-key-unlocking-millionaire-100000386.html — Median home equity by years of ownership
Zillow — https://www.zillow.com/learn/sell-or-buy-first/ — Pros and cons of selling first vs. buying first
Houzeo Biloxi Market Report — https://www.houzeo.com/housing-market/mississippi/biloxi — Biloxi months of supply and days on market