Couple with real estate agent signing contract
Date Published
January 09, 2020

Getting ready to move and buy a new home? Congratulations! If you’re trying to navigate selling one home and buying another at the same time, you may be faced with doing a concurrent closing. We’ll walk you through the basics of what that means and how to do it.

What is a concurrent closing?

A concurrent closing means you are selling one home and buying another within a short amount of time — sometimes even on the same day. Concurrent closings cannot actually happen at the same time. The first closing must be completed before the next can happen, so a timeframe of at least a couple hours (bare minimum) is needed between them.

What are double closings?

A double closing is similar to a concurrent closing but involves a middleman/investor who uses the proceeds from the second closing to fund the first closing. Both closings are done in escrow so the middleman/investor can buy and resell a property for profit without using any of his own cash.

This method is sometimes used for house flipping. However, some title and escrow companies will no longer do a double closing because of the possibility of loan fraud.

What are simultaneous closings?

“Simultaneous closing” is simply a generic term that is used interchangeably for both concurrent and double closings. It’s important to remember that neither type of closing has the two closing transactions happening at the exact same time.

Why would you do a concurrent closing?

Most people try to do a concurrent closing because they need to sell their old house before they can close on the new one. One reason for this is because proceeds from the sale are often used to pay for the downpayment on the new home. Also, some mortgage lenders require the sale of the first property in order to qualify for the new mortgage.

How to navigate a concurrent closing

The two big obstacles to handle in order for a concurrent closing to successfully take place are:

  1. Ensuring both closings happen smoothly (especially the first)
  2. Bridging the displacement gap for you and your possessions

Making sure both closings happen

The risk of trying to do two closings in a short amount of time is that many things can go wrong to delay one or both closings. If your first closing is delayed, it almost always means the second one will also be delayed.

Any error in the closing paperwork can delay the closing, as can last-minute requests for additional paperwork, funding delays, and a number of other things.

The key to making sure everything goes smoothly is communication and organization. Triple check every detail, review your paperwork in advance, and keep in touch with your closing agent, mortgage broker, and loan officer to ensure everything is set. On closing day, make sure you have everything you need and arrive early.

Scheduling the two closings a few days apart and not during the last week of the month (when title companies are usually very busy) is also a good idea. That way even if anything does go wrong you have some time to fix it.

Bridging the displacement gap

When you are selling one home and buying another, there is no overlap of ownership, creating the question of when you will move. This means coordinating move-out dates for both properties and where you and your possessions will reside in the transition.

There are a couple ways you can handle this situation:

  1. Take a short-term lease on your old house after closing
  2. Stay at a hotel or with family between closings


The first option is to work out a deal with the new owners of your old home to lease the property to you for a short amount of time while you pack, clean, and move. If your buyers are also selling a home (or vacating a rental) and need to move as well, this option probably won’t fly.

Option two, also called a double move, involves staying in a hotel or with friends or family until your new home is ready. This option is more common. You can possibly negotiate storing your possessions at one of the two homes during this time, but using a short-term storage solution is more likely.

Using the same company for storage and moving services will help make the process seamless and far less stressful as well.

The bottom line

If you’re buying and selling a home at the same time, the process can be a little more complicated and stressful, but it is possible — and worth it!

AAA Movers has been serving Minneapolis, St. Paul, and beyond for over 50 years. If you’re considering a move, check out our services and get a free moving quote. Our certified moving professionals are ready to help!