Can I buy a house before selling my house?

There’s no rule against purchasing a new home before selling your old home, but if you’ll be taking out a new mortgage, your first step should be making sure you qualify. 

Anytime you apply for a mortgage, the lender will calculate your debt-to-income ratio, meaning your total debt obligation every month compared to how much income you earn. Most lenders require that your monthly debt obligations total no more than 43% of your gross income. If you have a mortgage on your first home, that monthly payment will be included in your debt-to-income ratio, which can make it challenging to qualify for a second loan. The best way to determine your options is speaking to one of our preferred lenders who help you problem-solve.