Feeling stuck on whether to sell your current Denver home before you buy your next one, or buy first and then sell? You’re not alone. The path you choose affects your stress level, cash flow, and timing. In this guide, you’ll learn the trade-offs of each route, how Denver’s market tempo influences your move, and the tools you can use to bridge the gap. Let’s dive in.
Denver market basics that affect timing
Denver’s market moves at different speeds by neighborhood and price range. Entry-level homes often draw more buyers and can move quickly. Higher-priced properties may take longer, depending on location and features.
Seasonality matters. Spring is typically the most active, with more listings and more buyers. Late fall and winter can bring fewer choices, but you may face less competition when you purchase.
Interest rates and local pricing trends also shape what’s possible. Rate shifts can change your buying power and affect how competitive offers need to be. Keep an eye on recent comparable sales and days on market in your exact neighborhood and price band.
Option 1: Sell first
Selling first means you close on your current home before you buy the next one.
Pros of selling first
- You remove the risk of carrying two mortgages.
- You know your exact net proceeds, so budgeting for the next purchase is clear.
- Your next offer can be stronger without a home-sale contingency.
Cons of selling first
- You might need temporary housing if you haven’t found a new home.
- You could miss out on properties while you wait to sell.
- Moving twice can add cost and hassle.
How to reduce the downsides
- Negotiate a rent-back so you can stay in your home for a short period after closing.
- Book short-term housing early if you’re moving during busy seasons.
- Work with your agent on a realistic listing and moving timeline so you’re not rushed.
When selling first makes sense
- You prefer low financial risk and a predictable budget.
- You lack the reserves or equity to carry two homes at once.
- Your current home should sell quickly based on local comps and days on market.
Option 2: Buy first
Buying first means you secure your next home before selling your current one.
Pros of buying first
- You lock in the right property, which is key for specific neighborhoods or unique homes.
- You reduce the chance of being priced out or losing to competing buyers.
Cons of buying first
- You may carry two mortgages temporarily and need to qualify for both.
- If your current home takes longer to sell, carrying costs can stack up.
- Appraisal or financing issues on the new home can add pressure.
How to reduce the downsides
- Get pre-approved for a buy-first plan and ask your lender about options such as bridge loans or a HELOC.
- Price and prepare your current home to cut days on market.
- Line up staging and photography so you can list quickly after you close on the new home.
When buying first makes sense
- You have strong credit, cash reserves, or access to short-term financing.
- You need a specific home type or location and inventory is tight.
- You can comfortably handle an overlap for a defined period.
Financing tools to bridge the gap
- Cash purchase: Most competitive and simple, if funds are available.
- Bridge loan: Short-term financing to buy before you sell. Expect higher rates and fees and plan for a tight timeline.
- HELOC or home equity loan: Often lower cost than a bridge loan, but requires sufficient equity and lender approval.
- Carry two mortgages: Possible if you qualify on income, debt, and reserves. Ask your lender about requirements, rate locks, and timing.
Tip: Lender timelines matter. Confirm how long underwriting, approvals, and any second-loan or HELOC funding will take.
Contract strategies and occupancy solutions
- Home-sale contingency: Your purchase depends on selling your current home. This can work in slower or balanced segments, but is less competitive in fast-moving areas.
- Contingency variations: Shorter contingency periods or larger earnest money can strengthen an offer.
- Rent-back (post-closing occupancy): If you sell first, you can lease back your home from the buyer for a set time, paying an agreed rent.
- Simultaneous closings: Coordinate to close on your sale just before your purchase on the same day. This requires careful planning with both escrow teams.
- Short-term lease or month-to-month rental: Provides breathing room if your sale closes before you find the right next home.
Always review Colorado contract language on earnest money, contingency timelines, occupancy, insurance, and liability with your agent.
Timelines to plan around in Denver
- Home prep and listing: 1 to 6 weeks for repairs, staging, photos, and marketing.
- Market time: Days on market vary by neighborhood and price band. Entry-level homes can move fast; higher-end homes may take longer.
- Escrow and closing: Commonly 30 to 45 days for financed deals; cash can close faster.
- Moving gap: Build a plan for overlap, a rent-back, or temporary housing.
A simple decision framework
Use this checklist to pick your path with confidence.
Your numbers to run
- Estimated net proceeds from your sale.
- Down payment needed for the next home.
- Monthly carrying capacity if you had two mortgages at once.
- Costs for a bridge loan or HELOC, including rates, fees, and term.
- Budget for temporary housing or a rent-back.
- Potential tax implications; confirm with your tax advisor.
Questions to ask your lender
- Can I qualify for two mortgages at the same time? What reserves are required?
- Do you offer bridge loans or HELOCs? What are typical rates, fees, and timelines?
- How long will underwriting take? What are my rate lock or float-down options?
- If I use a HELOC, how quickly can it fund?
Questions to ask your agent
- What are the current days on market and sale-to-list ratios for my neighborhood and price range?
- If I list now, what is a realistic timeline to go under contract and close?
- How competitive are target neighborhoods for buyers like me? Are contingency offers viable?
- What pricing and marketing strategy will sell fastest versus maximizing price?
- Can you coordinate simultaneous closings or negotiate rent-back terms?
Operational steps
- Get a current comparative market analysis and plan prep tasks.
- Secure the right pre-approval for either a sell-first or buy-first path.
- Decide how long you could afford to carry two homes, if needed.
- Prep early: declutter, schedule photos, and line up staging so you can list quickly.
- Map a timeline that aligns listing, offer review, and closing dates on both homes.
Pitfalls to avoid
- Assuming your home will sell instantly in every neighborhood.
- Overestimating net proceeds by forgetting selling costs or concessions.
- Underestimating underwriting time for bridge financing or a HELOC.
- Skimming rent-back or contingency terms instead of reviewing them carefully.
Real-world Denver scenarios
Move-up buyers
If you’re selling an entry-level home and moving into a mid-range property, your current home might attract strong demand while your target price band may be less heated. Selling first can reduce risk, but a buy-first plan can make sense if you need a specific school attendance area, commute pattern, or lot type.
Downsizers
If you’re moving from a larger single-family home to a smaller home or condo, your timeline may hinge on HOA requirements, building availability, and maintenance preferences. A rent-back, short-term rental, or simultaneous closing can make the transition smoother.
How Purple MTN Group supports your move
You deserve a plan that fits your life, not a one-size-fits-all playbook. Purple MTN Group brings boutique, high-touch guidance backed by deep Denver knowledge and statewide reach. Our team is experienced with complex timelines, simultaneous closings, rent-backs, and financing coordination so you can move with confidence.
Here’s how we help:
- Strategy first: We’ll build a custom plan for sell-first, buy-first, or a hybrid approach.
- Lender and timeline coordination: We keep everyone aligned to minimize surprises.
- Listing prep and marketing: Professional presentation, staging guidance, and proactive outreach to shorten days on market.
- Negotiation and contract clarity: We explain your options in plain language and advocate for your goals.
Ready to map your path and make your next move smooth?
FAQs
What is a rent-back and how does it help in Denver?
- A rent-back lets you stay in your home after closing for an agreed time while paying rent, which can bridge the gap between selling and buying.
How long does it take to sell a home in Denver?
- Timelines vary by neighborhood and price band; your agent can use recent comparable sales and days on market to set realistic expectations.
Can I make a contingent offer and still win in Denver?
- It depends on the segment; contingent offers can work in balanced or slower areas, but you may need stronger terms or a shorter contingency period.
What is a bridge loan, and is it right for me?
- A bridge loan is short-term financing that helps you buy before you sell; it can work if you have solid equity and can manage higher rates and fees.
How do simultaneous closings work in Colorado?
- Your sale closes first, then your purchase, often on the same day; it requires coordinated timelines, responsive lenders, and clear contract terms.
Is winter a good time to buy or sell in Denver?
- Winter can offer less competition for buyers and motivated activity, but there are typically fewer listings, so choices may be limited.
Ready to take the next step? Request your free home valuation and connect with Monica Graves to build a buy-first or sell-first plan that fits your goals.
