There is no answer that is right for everyone, and the honest version is that it depends on the market you are in and how much uncertainty you can carry. Both ways round have a specific risk, and they are not the same risk.
You know exactly what you have, so you can buy with certainty and negotiate without a condition attached. The risk is the gap: if you have not found the next place by settlement you are renting, storing, or negotiating a longer settlement with your buyer. In a rising market you are also buying into a market that has moved since you sold.
You secure the property you want, which matters most when the thing you are after is rare. The risk is that you are now committed to two settlements and your own sale has to reach a number and a date. That pressure is visible to buyers, and it is felt most sharply at auction, where a contract is usually unconditional.
Start with what your home is worth A free instant appraisal as a range, so the two-transaction arithmetic starts from a real figure rather than a guess. Appraise my home
A bridging loan covers the gap between the two settlements. It is a real option and it costs real money — interest on both properties for the bridging period, and a shorter time limit than most people assume. Talk to a broker or your lender about what it would cost in your situation before you rely on it.
Whichever way round you go, the thing to establish early is what you would actually have to spend. Everything else is a preference until that number exists.
Where stock is short and homes are selling quickly, selling first is lower risk because the next purchase is the hard part. Where stock is plentiful and campaigns are running long, buying first is the exposed position, because your own sale is the uncertain half. Look at how much is listed near you and how long it is taking before deciding.
Communities.com.au