If you currently own a home, and want to buy before selling it, wouldn’t you have to qualify to carry both payments?
I agree with the above comments. Let me be more specific.
I don’t know how much you owe on the townhouse. But let’s say you owe $300k on your townhouse. Now, you want to buy a $750k house with 10% down (thus borrowing $675k). Since you have less than 30% equity on your townhouse, from the lender’s point of view, you have 2 options:
1. The lender will have to require you to have the income to qualify for the payment for the 2 loans ($300k + $675k = $957k). I’m not sure a $250k income will qualify for this.
2. Put your townhouse on the market. Once, you find a buyer for your townhouse & the buyer is in escrow, the lender will allow you to enter escrow for your new purchase. Then, the sale of the townhouse have to complete (close of escrow) before the lender allows you to close escrow on your new purchase.
