Ask what you can fund
Discuss buying first and selling first with your lender.
- Check how much depends on sale proceeds.
- Ask about any temporary financing you may need.
More on ask what you can fund
Keep unconfirmed financing out of your available budget.
Plan for dates that do not line up
Work out the cost of a timing gap before committing.
- Decide where you could stay temporarily.
- Allow for storage and an extra move if needed.
More on plan for dates that do not line up
Confirm your options with your lender and representative rather than relying on matching possession dates.
The basics
The two orders, explained simply
Selling first means you know exactly how much money you have before you shop. The risk is needing somewhere to live if you have not found your next home in time.
Buying first means you can take your time choosing. The risk is owning two homes at once, possibly with two mortgages, until the first one sells.
Some people try to line both up for the same day. That can work, but it depends on two contracts, two sets of buyers and sellers, and two lenders all keeping to schedule.
Why it matters
Why the order changes your risk
Your equity, the part of your home you own outright, is usually tied up until your sale completes. Your lender or mortgage broker can tell you whether you could qualify for the next purchase before that money arrives, and on what terms.
The wrong order can force a rushed decision. Picking the order deliberately lets you negotiate from a calmer position.
How it works
Choosing your order step by step
Get your numbers from your lender
Ask what you could borrow with and without the sale proceeds. Ask whether short-term bridge financing would be available, its cost and its conditions.
Estimate your net proceeds
Work out what you keep after commission, legal fees, any mortgage penalty and your payout. Use our mortgage payment calculator to see what a new loan would cost each month.
Gauge how fast each side may move
Ask your agent how quickly homes like yours are selling and how many homes fit your search. A slow sale and a fast purchase market point toward selling first.
Price out a gap
List what a few weeks between homes would cost, including short-term housing, storage and an extra move. Compare that with the cost of carrying two homes.
Pick dates with a buffer
Where possible, set your sale completion a little before your purchase completion. A few days of overlap or a short gap is easier to manage than a same-day handover.
Write your fallback down
Decide now what you would do if one deal is delayed or collapses. Share the plan with your agent and lender so they can flag problems early.
Avoid these
Timing mistakes to avoid
Counting on equity you cannot reach yet
Until your sale completes, that money is not available. Do not commit to a deposit or a purchase price that depends on it without confirmed financing.
Buying with a subject to sale that will not compete
Some sellers see a condition on your sale as weak. Ask your agent how such an offer would be received before relying on it.
Keeping the old home as a rental without planning
If you rent it out, the tenancy continues if you later sell. Ending it for a buyer’s use requires a specific three-month notice and one month’s rent in compensation.
Forgetting tax rules on a quick resale
If you bought a property less than 730 days before selling it, the BC home flipping tax may apply unless an exemption fits. Check before you plan a short hold.
Example
Pricing a three-week gap between homes
Illustration with made-up round numbers. Replace each line with real quotes for your situation.
| Short-term rental | 20 nights × $150 = $3,000 |
|---|---|
| Storage unit | 2 months × $250 = $500 |
| Second move | One extra moving booking = $1,200 |
| Total gap cost | $3,000 + $500 + $1,200 = $4,700 |
| Compare against | Your lender’s estimate of carrying two homes, or of bridge financing, for the same period |
If the gap cost is smaller than the cost and stress of carrying two homes, selling first may suit you. If it is larger, discuss buying first with your lender.
Questions to ask
Questions to settle before you commit
Your lender or mortgage broker
- Can I qualify to buy before my sale completes?
- Is bridge financing available, and what does it cost?
- Can my existing mortgage move to the new home?
- What will my payout be?
Your agent
- How long are homes like mine taking to sell?
- How would a subject-to-sale offer be received?
- What completion dates would you suggest for each side?
Your lawyer or notary
- Can both completions be handled smoothly if they fall close together?
- What happens to my purchase if my sale is delayed?
- Which dates in each contract are the most important?
FAQ
Common questions
Is it better to buy or sell first in BC?
Neither order is right for everyone. Selling first gives certainty about money. Buying first gives certainty about your next home. Your lender’s answer on financing usually decides which risk you can carry.
What is bridge financing?
It is a short-term loan some lenders offer to cover your new purchase until your sale money arrives. Ask your lender or mortgage broker whether you qualify and what it costs.
Do I pay tax when I sell my home?
CRA says that when you sell your home you are generally eligible for the principal residence exemption, so you may not owe tax on the gain. You still need to report the sale. Ask CRA or a tax professional about your case.
Can I make an offer conditional on selling my home?
Yes, it is possible to include that condition. Sellers may weigh it against offers without one. Your agent can explain how it may affect negotiation.
What if my sale and purchase close on the same day?
It can work, but any delay on the sale side can affect the purchase. Ask your lawyer or notary how funds will move and what happens if one completion slips.
A practical example
Rehearse a timing mismatch
Choose a realistic example in which the two possession dates do not align.
- Identify where you would live, where belongings would go and what additional costs could arise.
- Confirm financing possibilities with your lender.
Knowing your fallback makes it easier to assess a promising property without depending on perfect timing.
A detail to keep in mind
Do not count on temporary financing or a contract extension until the responsible parties have confirmed what is available.
Official information
Start with these resources, then confirm the details for your property and circumstances.
Government of Canada: choosing a mortgageCRA: Report your real estate incomeProvince of BC: Buying and selling a homeProvince of BC: Sell a rental propertyReference review: October 6, 2026