Buying and Selling a Home at the Same Time in Portland: What You Need to Know
Navigating the Portland real estate market can be both exciting and overwhelming—especially if you’re planning to buy a new home and sell your current one at the same time. One of the most common questions homeowners face is: Should I sell my home before I buy, or buy a new property before selling? The answer? It depends—and understanding what’s right for your situation requires a thoughtful look at your goals, finances, and the current market conditions in the Portland metro area.
The Chicken-and-Egg Question of Real Estate
This isn’t a new dilemma. For homeowners needing to make a move, deciding which step to take first—selling or buying—can feel like a classic chicken-and-egg scenario. Each path comes with benefits and trade-offs, and there’s no one-size-fits-all answer.
At Paris Group Realty, LLC, we often guide clients through this decision by helping them get clear on what matters most: is it more important to secure the right new home, or to maximize control and profit from your existing home sale?
If Your Top Concern Is Finding the Right Home, Consider Buying First
In a city like Portland, where the housing market can move fast and inventory is limited in some neighborhoods, buyers looking for specific criteria often feel more comfortable purchasing their next home first.
Whether you want to be in a certain school district, need more space, or have your heart set on a particular architectural style, buying first gives you the time and flexibility to find exactly what you want without the pressure of needing to vacate your current home.
That said, buying before selling requires careful financial planning. You’ll need to determine how you’ll fund your purchase before your existing home sells, and what your monthly obligations will look like if you end up carrying two mortgages temporarily.
Financing Tools That Can Help: Bridge Loans and Mortgage Recasting
If you’re leaning toward buying before selling, there are two common financing solutions that can help make it possible: bridge loans and mortgage recasting.
Bridge Loans – A bridge loan is a short-term loan that helps you access the equity in your current home to finance your next purchase. Think of it as a temporary financial bridge: it gives you the liquidity you need to put a down payment on your next home while you’re still waiting for your current property to sell. Once your home sells, you use the proceeds to pay off the bridge loan.
While bridge loans typically come with higher interest rates and fees than conventional loans, they offer flexibility that can be invaluable in a fast-moving market.
Mortgage Recasting – Another option is mortgage recasting. Here’s how it works: you purchase your new home with a traditional mortgage. Then, after selling your old home, you apply a lump sum from the sale proceeds to reduce the principal on the new mortgage. Your lender then recalculates your monthly payments based on the new loan amount—without you having to refinance.
Not all lenders offer recasting, and terms vary, so it’s critical to talk to your mortgage professional early on to explore which options work for your financial situation.
If Getting Top Dollar Is Your Priority, Selling First May Be Smarter
On the flip side, if your primary goal is to sell your current home for the highest possible price—or if your ability to purchase your next home depends on the proceeds from your sale—selling first may be the better strategy.
By selling first, you know exactly how much equity you’re working with. This can be a huge advantage when it comes to budgeting for your next purchase. It also gives you greater leverage during the sale process. You can wait for the right offer, negotiate from a position of strength, and avoid being pressured to accept less favorable terms.
In Portland’s current market, where housing inventory is still relatively tight, sellers continue to benefit from strong demand in many neighborhoods. Homes that are well-prepared and priced strategically are still attracting multiple offers and selling quickly. With a solid sale under your belt, you may find yourself in a stronger position when it’s time to buy.
Can You Do Both at Once? Yes, But It Requires Strategy
If buying first strains your finances, and selling first makes you nervous about finding your next place, you’re not alone. Many homeowners ask, Can I sell and buy at the same time? The answer is yes—but it requires planning, coordination, and a great real estate agent.
Here are a few common strategies:
1. Start Your Home Search After Accepting an Offer
Once your current home goes under contract, you’ll have a clearer idea of your timeline and finances. At this stage, your offer on a new home becomes more competitive because it shows sellers you’re serious and your financing is in progress.
2. Use a Rent-Back Agreement
A rent-back agreement allows you to remain in your home for a short time after closing. This gives you the proceeds from the sale to fund your next purchase while giving you more time to house hunt or complete your next move.
3. Coordinate Closing Dates
It’s not always easy, but with the right timing, it’s possible to schedule both closings for the same day or back-to-back. This minimizes the need for interim housing or temporary storage solutions.
4. Make a Contingent Offer
A contingent offer means your purchase of a new home is dependent on the successful sale of your current home. This option can provide financial protection, but it may be less appealing to sellers in a competitive market. Still, in situations where your home is already listed or under contract, a contingent offer can be structured in a way that still shows you’re a serious and capable buyer. A strong agent can help present and negotiate a contingent offer that works in your favor.
These options require skilled negotiation and timeline management, which is why working with an experienced Portland real estate agent is key.
Tax Implications to Consider When Selling
If you’re selling your primary residence, there’s good news: you may be eligible for a capital gains tax exclusion. Homeowners can exclude up to $250,000 in gains ($500,000 for married couples filing jointly) if the home was their primary residence for at least two of the last five years.
This exclusion can significantly reduce or eliminate the taxes owed from a home sale, and there’s no requirement to purchase another home to take advantage of it.
For those selling investment properties, the tax rules are different. A 1031 exchange allows you to defer capital gains taxes by reinvesting the proceeds into another like-kind property. But the process has strict guidelines and timelines, so it’s critical to work with both a qualified real estate agent and tax professional.
Understanding the Current Portland Market
The Portland metro area has seen shifts in recent years. Higher interest rates and evolving economic conditions have slowed the pace of transactions slightly compared to the market peaks of recent years. But demand remains strong, especially in walkable, transit-accessible neighborhoods and areas close to parks and schools. Inventory remains lower than historic norms, which continues to fuel competition, particularly for move-in-ready homes priced under $800,000. Sellers with well-maintained properties and smart pricing strategies are still seeing quick sales and strong offers. Meanwhile, buyers are becoming more deliberate and selective, placing greater emphasis on value, condition, and location.
Buying and selling a home at the same time in the Portland area takes strategy, especially with how the market’s been behaving lately. Prices have been trending upward, and homes are moving faster than they were in recent months, which can benefit sellers but also means buyers are facing more competition. If you’re trying to line up both transactions, you’ll need a solid plan—whether that’s using a contingent offer, exploring bridge financing, or getting flexible with your timing. The key is understanding how local demand, inventory, and mortgage rates are shifting, and working with an agent who knows how to navigate that kind of fast-moving market.
The Bottom Line: It All Comes Down to Your Priorities
When deciding whether to sell first, buy first, or do both simultaneously, it really comes down to your individual goals:
- Do you need certainty around your next home? Buying first may offer peace of mind.
- Do you need the equity from your sale to fund your purchase? Selling first could be the smarter route.
- Do you want to reduce financial risk and stress? A carefully coordinated plan to buy and sell simultaneously may be your best bet.
There’s no universally right answer—just the right answer for you.
Work With a Local Portland Real Estate Expert
You don’t have to make this decision alone. At Paris Group Realty, LLC, we’ve helped hundreds of clients across Portland navigate the complexities of buying and selling homes simultaneously. Our experienced agents know how to structure offers, align closing dates, and advocate for your goals every step of the way. Whether you’re buying or selling (or doing both), local knowledge is more important than ever. Understanding hyper-local trends—like average days on market, price per square foot, and seasonal shifts in buyer activity—can give you a real edge.
Need help weighing your options? Want to understand your home’s value or explore what’s available in your ideal neighborhood? We’re here to help. Visit parisgrouprealty.com to connect with one of our agents, explore the latest market insights, or browse homes for sale in Portland and beyond. With the right strategy and support, making your next move doesn’t have to be stressful. Let’s get you home!
📩 Email us at info@parisgrouprealty.com
📞 Or call us at (503) 926-5213
