Updated: September 2026
Original: 2020
Buying your next home while selling your current one can feel like trying to solve a puzzle where every piece needs to fall into place at exactly the right time.
You need the equity from your current home for the down payment on the next one. But you may not want to sell before finding somewhere new to live. At the same time, buying first can mean carrying two properties if your current home takes longer than expected to sell.
The good news is that Canadians buy and sell homes simultaneously all the time. The key is having a plan for the timing, financing and potential risks before you start making offers.
If you’re thinking about moving to another home, here are the most common ways to buy and sell a home at the same time in Canada.
There isn’t one answer that works for everyone.
Some homeowners prefer to sell first because it gives them certainty. They know exactly how much money they will receive from their home and how much they can comfortably spend on the next property.
Others prefer to buy first because they don’t want to sell their home and then feel pressured to find a new one quickly.
Your best strategy will depend on several factors, including:
Before you list your current home or make an offer on another property, it’s important to understand what your financing would look like in each situation.
One useful tool when buying and selling homes is bridge financing.
Bridge financing is short-term financing that can help cover the gap between the purchase of your new home and receiving the proceeds from the sale of your current home.
For example, you may have:
In this situation, bridge financing may allow you to access the funds you need temporarily until your current home’s sale closes.
Bridge financing is generally designed for a short period of time and the proceeds from your existing home’s sale are typically used to repay it.
Not every situation will qualify, and lender requirements can vary. Generally, having a firm sale agreement on your current property makes the financing process more straightforward.
The important thing is to arrange this financing early. You don’t want to discover shortly before your completion date that there is a gap between when you need your down payment and when the money from your sale becomes available.
One thing homeowners sometimes overlook when planning their move is their current mortgage.
If you’re selling before your mortgage term ends, there most likely will be a penalty to break your mortgage. Depending on your lender and mortgage type, this can be a relatively small cost or a significant expense.
You may also have the option to port your mortgage to the new property. Mortgage portability can potentially allow you to move your existing mortgage to your next home instead of breaking it entirely. Depending on your situation, you may also be able to increase your mortgage if you’re purchasing a more expensive property.
However, portability isn’t always the best option simply because it’s available. This is because the mortgage that worked well when you bought your current home may not necessarily be the best fit for your new situation.
During this part of the process, we will compare:
Sometimes keeping the existing mortgage makes sense. Other times, breaking it and starting fresh may be the better financial decision.
This is often the biggest concern for homeowners buying first. The answer depends on how your purchase was structured.
If your offer was subject to the sale of your current home and that condition isn’t satisfied, you may have the option not to proceed with the purchase, depending on the terms of your agreement.
If you’ve already removed your conditions and committed to the purchase, however, you need to be able to complete the transaction. That’s why some people don’t want to base their entire plan on the assumption that their home will sell quickly for a specific price.
Before purchasing another property, we can look at different scenarios.
For example:
Having answers to these questions before you make an offer will significantly reduce the stress of buying and selling at the same time.
Buying and selling simultaneously is much easier when the mortgage strategy is planned before you fall in love with your next home.
I can help you look at the entire picture. I’ll give you a clear understanding of your current mortgage and potential penalty, how much equity you have, how much you qualify to purchase, whether bridge financing may be available and how the timing of both transactions could affect your financing.
The goal isn’t simply to get you approved for another mortgage. It’s to create a plan that allows you to move from one home to the next as smoothly and confidently as possible.
Buying and selling a home simultaneously requires more planning than a standard home purchase.
The earlier we look at your situation, the more options you may have.
If you’re considering making a move, contact Matthew Jackson before you list your home or start making offers. I’ll review your current mortgage, your available equity and your financing options for the next property.
Call me at 250-826-3111 or complete an application online and we’ll start planning your next move together.
Let’s get your application off the ground.
