A luxurious and peaceful lifestyle is what makes the Hamptons one of the most sought-after destinations. Known for its stunning beaches, upscale shopping and dining experiences, and charming small-town vibe, it is no wonder that people flock to this area. Whether you are a year-round resident or a weekend escape, life in the Hamptons is truly a unique experience.
However, buying a new home while selling your current home at the same time can be a complex and overwhelming process, even in the best of circumstances. This can be especially true with Hamptons real estate, where competition for desirable homes can be fierce and the real estate market can be quite fast-paced. It is important to have a good understanding of the local market and to work with experienced professionals who can help guide you through the buying and selling process. By taking the time to plan ahead and make informed decisions, you can ensure a smooth and successful transition to your new home in the Hamptons.
Preparing to buy when you haven’t sold
In today’s market, if you find a home that checks all your boxes, it is best to make an offer. However, if your current Hamptons home hasn’t sold yet you might be asking how you will be able to purchase the new property. Consider the options below to help with this common challenge:
- Bridge loan: This short-term loan allows you to finance the purchase of a new home before selling your current one. This type of loan is often used by home buyers who need to close on their new home quickly, but haven't yet sold their old home.
- Home Equity Line of Credit (HELOC): If you have significant equity in your current home, you may be able to use a HELOC to finance the purchase of your luxury home. A HELOC is a line of credit that is secured by your current home, and you can use the funds as needed to purchase the new home.
- Cash reserve: If you have the financial resources, you could consider using cash to purchase your luxury home and then selling your current home after you've moved in. This option eliminates the need for a loan and allows you to be more flexible in your timeline for selling your current home.
- Seller financing: If the seller of the luxury home is willing, they may be willing to offer you financing directly. This option can be more flexible and can provide you with lower interest rates compared to traditional financing options.
My home sold fast. Now what?
On the flip side, some Hamptons luxury homes sell so quickly that the owners might not have had time to find their next property. Fortunately, there are a number of steps that can help ensure a smooth transition. Here are some ideas to consider:
- Rent a short-term residence: If you need a place to live during your search for a new home, consider renting a temporary home in the Hamptons. You can find many options, including apartments, condos, or single-family homes.
- Secure your belongings: If you don't have a place to store your belongings, look into renting a storage unit. This will give you peace of mind knowing your items are safe while you search for a new home.
- Stay organized: Working with your real estate agent, keep a record of homes you have seen and make a list of must-haves and deal breakers. This will help you narrow down your options and make a decision more quickly.
- Evaluate your options: The Hamptons has a diverse range of housing options, from historic homes to contemporary apartments. Take the time to assess your needs and lifestyle to determine what type of home is best for you.
- Be ready to act fast: The real estate market of Hamptons luxury homes can be competitive, so be prepared to act quickly if you find the right home. Make sure your finances are in order and you are ready to make an offer promptly if you discover the ideal property.
Understand the market
The supply of real estate in the area is diminishing, and it's expected to remain low in the near future. The beginning of 2023 in the Hamptons saw a decrease of 17.5% in the number of properties listed for sale compared to the close of the summer season in 2022. Bidding wars have become a common occurrence in transactions, accounting for 1 in 5 sales in the Hamptons, particularly for highly sought-after summer rentals, leading to a shortage of rental properties for summer travelers. This could present a good opportunity for investment in rental properties in the area, as homes are selling quicker than before.
Partner with an experienced agent
Working with a realtor when purchasing or selling a home in the Hamptons has several benefits. Some of the reasons why you should consider working with a realtor include:
1. Market knowledge
2. Expert negotiation skills
3. Network of professionals
5. Stress reduction
Ready to buy and sell?
Buying and selling properties at the same time in the Hamptons can be a challenging process, but working with Susan Breitenbach can simplify the process and ensure a smooth transaction. Ranked the number one broker in the area, her extensive experience and expertise in the local real estate market equip her clients to navigate the complexities of buying and selling properties simultaneously and to secure the best pricing for her clients.
Whether you're a seasoned real estate investor or a first-time buyer, working with Susan Breitenbach can provide the support and guidance you need to make informed decisions and achieve your goals with Hamptons real estate.
*Header photo courtesy of VIP Susan Breitenbach