Should You Buy or Sell First? A Homeowner’s Dilemma

By The Libby Starnes Team, Signature Homes Real Estate Group

When you're ready to make a move, one big question can trip up even the most seasoned homeowner: should you buy your new home first or sell your current one? Both options have their pros and cons, and the right choice depends on your unique situation. Here’s a breakdown of the factors to consider to help you make the best decision for your circumstances.

Buying First: Pros and Cons

If you find your dream home before your current house sells, the temptation to buy first can be strong. After all, who wants to risk missing out? But there are a few things to keep in mind before diving in.

Pros:

● You’ll Have a Place to Go: Buying first means you won’t have to worry about finding temporary housing between selling and buying. You can move straight into your new home without the hassle of storage units or short-term rentals.

● You Can Take Your Time to Move: When you already own your new home, there’s no rush to pack up and move out immediately. You can transition on your schedule, which makes the process less stressful.

Cons:

● Financial Stress: Owning two homes at once means you’ll be carrying two mortgages (unless you buy outright), which can get expensive quickly. You might also have to dip into savings or secure a bridge loan to make it work.

● Pressure to Sell Quickly: When you’re paying for two homes, you might feel pressured to sell your current one quickly, even if that means accepting a lower offer than you’d like.

Selling First: Pros and Cons

On the flip side, selling your home first offers some financial security, but it also comes with its own set of challenges.

Pros:

● No Double Mortgage: When you sell first, you won’t have to worry about carrying two mortgages or taking out extra loans. You’ll know exactly how much money you have to work with for your next home, which can simplify the buying process.

● Stronger Buying Power: With the proceeds from your sale in hand, you’ll be in a better position to make competitive offers, especially in a hot market. Sellers tend to prefer buyers who aren’t relying on selling their home to close the deal.

Cons:

● Temporary Housing Headache: If you sell your home before you’ve found a new one, you’ll need to figure out where to live in the meantime. This could mean renting a place, staying with family, or putting your belongings in storage – all of which can be a hassle.

● Feeling Rushed to Buy: Once your home is sold, you might feel pressure to find a new place quickly, which could lead to buying a home that isn’t quite right just to avoid being stuck without a place to live.

So, What Should You Do?

There’s no one-size-fits-all answer, but here are a few key factors to help you decide which option is better for you:

1. Current Market Conditions Is it a buyer’s market or a seller’s market? In a seller’s market (where there’s more demand for homes), selling first can give you a bit of an edge, as your home is likely to sell quickly. In a buyer’s market (where there are more homes than buyers), it might take longer to sell, so buying first could make more sense.

2. Your Financial Situation Do you have the resources to cover two mortgages for a while, or is selling first the safer financial move? If money is tight, selling first might be the better option to avoid financial strain. If you have enough flexibility to manage owning two homes for a bit, buying first could give you more control over the timeline.

3. Risk Tolerance How comfortable are you with uncertainty? If the thought of carrying two mortgages or potentially rushing to buy stresses you out, selling first might be the safer bet. On the other hand, if you can handle some financial overlap or waiting to sell buying first gives you more time to find your ideal home.

Bridge Loans and Contingency Offers

If neither option sounds ideal, there are a couple of alternatives worth exploring:

● Bridge Loans: A short-term loan that covers the gap between buying your new home and selling your old one. This can help you buy first without feeling rushed to sell immediately.

● Contingency Offers: You can make an offer on a new home contingent on selling your current one. This arrangement can protect you from owning two homes at once, but not all sellers will accept contingency offers – especially in competitive markets.

Deciding whether to buy or sell first depends on your personal situation and the current market. Weigh the pros and cons, consider your financial flexibility, and think about how much risk you're comfortable taking on. With a clear understanding of your options, you can make a decision that fits your needs and leads to a smooth move into your next home.

Need personalized advice for your move? The Libby Starnes Team is here to help! Reach out to us for expert guidance and support every step of the way.

Pamela Starnes and Tiffany Libby are the Libby Starnes Team with Signature Homes Real Estate Group. Call them at 207-838-8051 or 207-712-2424 or visit them online at www.libbystarnesteamhomes.com. <

Current Housing Crisis 2025

By Matt Trudel

I personally would not consider this market a “crisis,” but many people are arguing that side of the conversation. I hear what they are saying, and I do not deny that a lot of the current numbers leave many folks feeling dim about the future. I just do not consider this a true “crisis.”

We do still have a shortage of inventory, although inventory is up from last year. Yes, interest rates are still elevated, and people are just having a hard time digesting the idea of having a 6.5 percent or 6.75 percent interest rate when we were looking at 4 percent or lower just a few years ago. The real issue is that younger adults, whether single or married, are having a very difficult time affording a home because of current market values.

The current median home price in Maine is $390,200. That is a new record for Maine, beating out the median price that was set in 2023 about $360,000.

I have been working with a few younger buyers looking to purchase their first home. I am helping them navigate this market which is moving quickly and not showing signs of slowing down. Both of these clients have done all the right things. They have paid their bills on time, established good credit with scores over 700, and have a solid savings account to cover a down payment and pay their closing costs.

They are spot on ready to go and are willing and able to pull the trigger and purchase a new home. The problem is affording to purchase that $400,000 home on a single income. Fitting that payment with taxes and insurance into a person’s budget stretches it and could break it. Even with two incomes it can be very tight.

Yes, there are lower-priced homes in certain towns on the outskirts of Cumberland County. To reach those you are looking at a 45 minute to an hour commute if you work in Portland or South Portland. We have also looked at multi-family home options, which in my opinion is almost always a great way to start with your first home. It not only helps you with your mortgage payment and costs, but it will also continually provide you with income down the road and potentially be the start of your real estate portfolio. However, the question remains. How we overcome this issue with buyers being priced out of the market in certain areas?

Inventory is not going to increase greatly this year. With interest rates in the low to mid 6 percent range, potential sellers who bought or refinanced three to five years ago and have 3 percent interest rates are just holding tight and not selling. They are just looking at the current market values and interest rates of over 6 percent, and they are asking themselves, where am I going to move to, and why double my mortgage payment?

New construction prices are just going up higher, so there is no relief coming with that market. Are there other options out there for buyers who want to be at or under a $375,000 purchase price and under a 45-minute commute? I believe there are options out there for those who have some flexibility in location and timeframe to close on a property.

Five Star Realty is working closely with Primary Residential Mortgage (located here in Windham) and a few investors to find some of these solutions.

Here are a couple of the options we have in the works. I will lay out the general idea of what some of these options are, and you can decide if this concept might work for you.

New construction options at 100 percent financing for VA loans for our veterans. These include both modular and manufactured homes.

There are also programs for Maine State Housing First Time Homebuyer new construction loans with little money down. You don’t have to be a first-time home buyer to qualify for these construction loans.

There are some FHA options, and the seller/builder can provide some closing costs. And, there are some fantastic modular and manufactured home options that are going to be market changing for some people to get into a home that is affordable. This is a very real potential solution for many buyers.

Anyone who would like to learn a little more about these options and how they might help you can call me directly anytime. You can also call Terry Robinson or Stephen Jordan over at PRMI to learn more. It’s simply a phone call to learn a little bit more about what your options are as buyers.

This article was written by Matthew Trudel, Owner of Five Star Realty, Windham, 207-939-6971. <

Refresh Your Home for Spring in Maine: Embrace the season with a fresh start

By Theresa Bouchard

As the days grow longer and the chill of winter begins to fade, spring in Maine brings a renewed sense of possibility. After months of cold temperatures and snowy landscapes, it’s the perfect time to refresh your home and prepare it for warmer, sunnier days. Here are a few simple yet effective ways to give your home a fresh start as spring arrives.

1. Deep Clean to Banish Winter’s Traces

Winter in Maine can leave behind salt stains, dust, and grime, especially from all the time spent indoors. Spring is the perfect time to give your home a deep clean. Start by wiping down windows, cleaning light fixtures, and vacuuming or washing floors. Don’t forget to dust ceiling fans and baseboards, areas often overlooked during regular cleaning. If your carpets or upholstery have seen better days, consider professional cleaning to refresh them. A clean home immediately feels more inviting and ready for the new season.

2. Swap Heavy Fabrics for Lighter Ones

As the weather warms up, it’s time to transition from heavy winter fabrics to lighter, more breathable materials. Swap your thick wool throws and flannel bedding for cotton or linen alternatives. Choose lighter colors—soft blues, greens, and pastels—that evoke a sense of freshness. Changing your curtains to lighter fabrics or colors can also help flood your rooms with natural light making them feel more open and airy.

3. Declutter and Organize

After spending months indoors, winter often leads to clutter. Spring is the perfect time to declutter and create a more organized, functional space. Start by sorting through closets, drawers, and shelves, and get rid of items you no longer need. In Maine, where space is sometimes limited, optimizing your storage can make a big difference. Tidy up high-traffic areas like the entryway or mudroom to create a welcoming first impression. Organize your outdoor gear and shoes so your home feels neat and inviting from the moment you walk in.

4. Bring the Outdoors In

Spring in Maine is all about embracing the outdoors as the snow melts and nature begins to bloom. Incorporating plants, flowers, and nature-inspired decor into your home can help reflect this seasonal change. Houseplants like ferns or ivy, or fresh-cut flowers like daffodils and tulips, add color and life to your space. If you’re lucky enough to have a garden now is the time to start planting or bring in flowers to place in vases. Nature-inspired decor, like floral prints or landscapes, can also lift the atmosphere of your home.

5. Refresh Your Walls

Winter can leave your walls feeling dull and drab, especially in Maine’s gray months. Consider brightening your walls with a fresh coat of paint or new artwork. Lighter, softer colors like pale blues, greens, or even warm neutrals can open up your rooms and make them feel more inviting. If you want a simple update, swap out framed pictures for spring-themed artwork or photos of local Maine landscapes to bring the beauty of the outdoors inside.

6. Tackle Outdoor Spaces

Maine homeowners know that outdoor spaces are just as important as the indoors. As temperatures rise, it’s time to freshen up your yard, porch, or deck. Start by cleaning outdoor furniture or repainting it if needed. If your lawn or flower beds need attention, now is the time to trim bushes, plant spring flowers, and clean up any debris left behind from winter. Even small outdoor spaces like balconies or patios can benefit from a few new plants or cozy seating arrangements.

7. Reevaluate Your Lighting

With longer daylight hours, it’s important to rethink your home’s lighting. Swap out dim or harsh lightbulbs for energy-efficient options that mimic natural light. Consider using smart lighting systems that allow you to adjust the brightness throughout the day. Adding candles with fresh spring scents like lavender or citrus can also enhance the atmosphere of your home, making it feel even more inviting.

8. Prepare for Seasonal Changes

Maine’s weather can still be unpredictable in early spring, so it’s important to ensure your home is ready for the seasonal shift. Replace air filters in heating or cooling systems, and check for drafts around windows and doors. Adding insulation or sealing gaps will help keep your home comfortable as the temperature fluctuates.

Why Refreshing Your Home Matters for Spring -- Especially if You're Selling

The tips shared in this article aren’t just about making your home more comfortable for the season; they also help you get your property ready for the spring real estate market. A refreshed home – clean, organized, and full of light – appeals to potential buyers who are looking for a space that feels welcoming and well cared for. By decluttering, brightening up your decor, and enhancing both your indoor and outdoor spaces, you're not just preparing for a fresh start yourself – you’re making your home stand out in a competitive market.

For those looking to go the extra mile, TS Staging Design is here to help. Their expert team specializes in preparing homes for sale by creating inviting, beautifully staged spaces that allow potential buyers to envision themselves in your home. With their professional eye for design and market trends, TS Staging Design can help you showcase your home’s best features, whether it's adding stylish furnishings, arranging furniture to maximize space, or enhancing curb appeal. If you're ready to sell in the spring market, their services can make a significant difference in how quickly and profitably your home sells. Let TS Staging Design help you turn your refreshed space into a standout property that buyers will love.

Theresa Bouchard is the owner and designer of TS Staging and Design. If you would like more information regarding staging services, please contact TS Staging and Design at 207-400-9393 or by email at TS Staging info@tsstaging.me or check us out on Facebook, Instagram or our website at www.tsstaginganddesign.com. We are an award-winning professional home staging company that provides superior customer service and beautiful designs that attract buyers to your home. <

Common Mistakes When Buying Your First Home

By Carrie Colby

Buying your first home is an exciting milestone, but it can also be a complex process filled with potential pitfalls.

Avoid these common mistakes to make a well-informed decision:

1. Looking for a Home Before Applying for a Mortgage.
Many first-time buyers start house hunting before securing mortgage preapproval. However, in a competitive market, sellers may not take your offer seriously without preapproval. Getting preapproved also helps you understand your budget and consider locking in your interest rate to mitigate concerns about rising rates.

2. Prioritizing the House Over the Neighborhood.
While finding a home that meets your needs is important, overlooking the neighborhood can lead to dissatisfaction in the long run. Consider factors like commute times, amenities, schools, and the community culture to ensure the area aligns with your lifestyle and long-term goals.

3. Making Decisions Based on Emotion.
Buying a home is both a financial and emotional decision, but it’s crucial to stay objective. Letting emotions drive your choice can lead to overpaying or stretching beyond your budget. Stick to a financial plan and long-term goals to make a wise investment.

4. Talking to Only One Lender.
Shopping around for a mortgage can save you thousands of dollars. Comparing rates and terms from multiple lenders allows you to secure the best deal. Even a slight difference in interest rates can have a significant impact over the life of your loan.

5. Being Careless with Credit.
Your credit score plays a crucial role in securing a mortgage. Lenders will check your credit report during preapproval and again before closing. Opening new credit accounts, taking on additional debt, or making late payments can jeopardize your loan approval.

6. Buying More House Than You Can Afford.
It’s tempting to stretch your budget for a dream home, but overextending financially can lead to difficulties down the line. Higher mortgage payments may limit your ability to cover other essential expenses, save for retirement, or handle financial emergencies.

7. Not Finding a Good Realtor.
A knowledgeable and ethical real estate agent can make the homebuying process much smoother. A good agent will help you navigate different property options, negotiate the best deal, and set realistic expectations.

8. Choosing an Incompetent Inspector.
A qualified home inspector is an essential part of your home buying team. They help identify potential issues with the property, allowing you to negotiate repairs or reconsider your purchase. A thorough inspection can save you from unexpected costs and regrets in the future.

9. Waiving the home inspection.
What’s worse than choosing the wrong inspector is waiving the home inspection altogether. While it may seem like a good way to save money upfront or to get the seller to reduce the asking price, it’s highly risky. You’d be purchasing the property without full knowledge of its condition, which can be costly in the long run.

By avoiding these common mistakes, you’ll be better prepared to make a sound investment and enjoy your first home with confidence.

Carrie Colby is a Broker with Allied Real Estate, 909 Roosevelt Trail in Windham. She can be reached at 207-232-5497. <