The short answer
There’s no single right order. Selling first gives you certainty about your money and puts you in a stronger position as a buyer, but you may need somewhere to live in between. Buying first lets you move once and on your own schedule, but you need the cash or financing to carry two homes for a while. Many sellers land in the middle: they plan both contracts together so the sale and the purchase close close together, with a short stay in the old home if they need it.
Key takeaways
- Sell first if your down payment depends on your equity or you want to know your exact proceeds before you shop.
- Buy first if you can carry both homes, or you’ve found the one home you don’t want to lose.
- A post-closing occupancy agreement lets you stay in the home you sold for an agreed time after closing.
- A home-sale contingency protects you as a buyer, but many sellers see it as a weaker offer.
- Talk to your lender first. What they’ll approve, with or without your current home sold, decides which options are really open to you.
Option 1: Sell first, then buy
When you sell first, you know exactly what you walked away with, and your next offer doesn’t depend on another sale. In the luxury price ranges, that matters. A seller looking at two offers will usually favor the buyer whose money is ready over the buyer who still has a house to sell.
What works in your favor:
- Your proceeds are known, so your budget for the next home is real, not estimated.
- Your offer can be written without a sale contingency, which reads stronger to a seller.
- You won’t pay two mortgages, two sets of taxes and two sets of utilities at once.
What to plan for:
- You may need to move twice, or rent short-term, if you don’t find the next home in time.
- Storage, temporary housing and moving costs add up, especially for a large household.
Staying in your home after closing
The most common way to soften selling first is to ask your buyer to let you stay for a while after closing. In Colorado this is done with the Colorado Real Estate Commission’s Post-Closing Occupancy Agreement, a separate form that becomes part of the purchase contract when the box in CBS1 §31.1.1 is checked. The contract’s possession section (§17) says that when a Post-Closing Occupancy Agreement is signed, that agreement controls the Possession Date and Possession Time.
The agreement spells out how long you stay, what you pay, deposits, utilities, insurance and the home’s condition when you hand over the keys. It’s worth taking seriously: under §17, a seller who doesn’t deliver possession on time can face eviction and a daily amount the contract sets, plus the buyer’s actual added costs. The buyer’s lender may also have rules about how long a seller can stay in a home the buyer is financing as a primary residence, so I confirm that early.
Option 2: Buy first, then sell
Buying first is the easiest move on your family. You pick the next home, move on your own schedule, and then sell a home that’s empty, clean and easy to show. For luxury homes, that last part can be a real advantage. A vacant home can be professionally staged, photographed and shown whenever buyers ask, without working around your schedule.
The tradeoff is money. Until your current home closes, you’re carrying both. That usually means one of these approaches, and your lender is the one who decides which you qualify for:
- Pay cash or use savings and investments for the down payment, then refinance or pay down the new loan after your sale closes.
- A home equity line of credit on your current home, opened before you list it. Many lenders won’t open a new line on a home that’s already on the market, so this takes planning.
- A bridge loan, a short-term loan secured by the home you’re selling. Terms, fees and availability vary a lot by lender.
- Qualifying for both payments. Some buyers can qualify for the new mortgage while still paying the old one, if their income and debts allow it.
Before you buy first, decide how long you could comfortably carry both homes. That answer shapes how you price the one you’re selling. My guide to what to fix before selling and how to sell a luxury home in Denver cover how to get it ready to sell quickly once you’ve moved out.
Option 3: Buy with a home-sale contingency
A home-sale contingency makes your purchase depend on selling your current home by a certain date. If your home doesn’t sell, you can get out of the purchase without losing your earnest money.
Colorado’s standard residential contract, CBS1, doesn’t include a pre-printed home-sale contingency. When one is used, it’s written into §30, Additional Provisions, which the form itself notes have not been approved by the Colorado Real Estate Commission. That makes the exact wording important: what counts as “sold,” the deadline, whether the seller can keep marketing the home and accept a backup offer, and how quickly you must remove the contingency if another offer comes in.
From the seller’s side, a contingent offer means their sale now depends on yours. In a competitive moment, many sellers will pass on it or ask for something in return, such as a higher price or a shorter deadline. It tends to work best when:
- Your current home is already under contract, so the contingency is about your buyer closing, not about finding one.
- The home you want has been on the market a while, or the seller needs time to find their own next home.
- Your offer is strong in other ways, such as price, earnest money and a clean inspection approach.
Option 4: Line up both closings
Many sellers who are also buying aim for both closings on the same day or within a few days of each other. The sale closes first, the title company sends your proceeds to the purchase, and you move from one home to the next. It’s efficient, but it only works when both contracts are built for it.
- Match the deadlines. Inspection, appraisal and loan deadlines on your sale should resolve before you’re locked into your purchase, so you aren’t committed to buying while your own buyer can still walk away. My guide to Colorado contract dates and deadlines walks through each one.
- Be accurate about your cash. CBS1 §4.4.3 asks the buyer to say whether they have their cash to close available as of the date of the contract. If your down payment is coming from your sale, your offer should say so, and your lender needs to know.
- Build in a cushion. A short post-closing occupancy on your sale, or a few days between closings, gives you room if a closing slips.
Comparing your options
| Path | Best for | Main risk |
|---|---|---|
| Sell first | Sellers who need their equity for the next down payment | Moving twice or renting in between |
| Buy first | Buyers who can carry two homes for a while | Two sets of payments if the sale takes longer |
| Home-sale contingency | Buyers whose current home is already under contract | Sellers may pass on the offer or ask more for it |
| Back-to-back closings | Sellers who want one move and have planned both contracts together | A delay on one closing affects the other |
Know your numbers before you choose
Every one of these paths starts with two numbers: what you’ll walk away with from your sale, and what you’ll need to close on your purchase. I’d run both before you list.
- Your net proceeds. My guide to the cost of selling a house in Colorado walks through payoff, commissions, title and closing costs.
- Your cash to close on the next home. Use my buyer closing costs guide to plan for it.
- Your loan. If your next loan will be above the conforming limit, read my guide to jumbo loan limits in Colorado, since jumbo lenders often have their own rules about selling a current home.
- Taxes. If you’ve owned your home a long time or it was a rental at some point, my capital gains tax guide explains what to ask your tax advisor.
Moving to a smaller home? See my downsizing guide and 55+ communities near Denver.
What’s different at the luxury level
With higher-priced homes, timing is harder on both sides. Fewer buyers shop at any given time, so it’s harder to predict when your home will sell, and the home you want next may be one of only a few that fit. That’s why I plan both sides together from the start: how we price and prepare your home, how much time we give the sale, and how we write an offer on the next home so it stays strong without leaving you exposed.
Selling and buying across the Denver metro
The same planning applies whether you’re moving within the south metro, say from Highlands Ranch to Castle Pines or from Parker to Castle Rock, or moving into Denver or out to Broomfield or Colorado Springs. If you’re selling, start with my pages for selling in Denver, Lakewood, Castle Pines, Highlands Ranch, Parker and Castle Rock. For the purchase side, see my guides to buying in Denver, Lakewood, Castle Pines, Highlands Ranch, Parker and Castle Rock, or browse Denver luxury homes.
How I help
I grew up in Castle Rock and help luxury sellers and buyers across Denver, Lakewood, Castle Pines, Highlands Ranch, Parker, Castle Rock, Broomfield and Colorado Springs. I work with Sean Gribbons at The Gold Standard Brokerage; Sean founded the brokerage, and we run it together. When you’re selling and buying at once, I’ll build one plan for both: a pricing and prep plan for your current home, a lender conversation about what you can do before it sells, and contracts with deadlines that line up. Start with the “What’s my home worth?” tool, call or text me at 720-357-5785, or use the inquiry form on this page.
This guide is general information, not legal, tax or lending advice. Contract references are to the Colorado Real Estate Commission’s CBS1 residential contract and Post-Closing Occupancy Agreement. Loan options and approval come from your lender.
