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Buy a home before selling your current one in Kensington

Kensington’s ZIP 20895 counts 1,353 owner homes with no mortgage in 2020-2024 Census data. That equity can pay for the next house first.
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Buy a home before selling your current one

Buying before you sell is a sequencing problem: tapping equity you haven’t cashed, qualifying while carrying two homes, and timing both closings so you move once.

Deciding to buy before you sell in Kensington hinges on equity more than on timing. Census estimates for 2020-2024 count 1,353 owner-occupied homes in ZIP 20895 with no mortgage, roughly a quarter of the total. To an underwriter, a paid-off house reads as collateral rather than a second monthly obligation. Owners who still owe on a loan aren’t shut out. Their approval simply needs more income on paper, because the lender sizes both payments at once.

Three tools usually close the gap. A home equity line, opened while you still occupy the current house, carries modest costs and can supply a down payment. Bridge financing handles larger gaps but prices in more risk. Making the purchase contingent on your sale removes the double payment, though Kensington sellers with other interest often decline that clause. Your lender lays all three out on one page with monthly figures, and we compare them with you before any showings.

Tax credits need a look while two houses overlap. On levy year 2025 bills, 4,919 principal residences in 20895 carried the county property tax credit, worth $692 apiece. The homestead cap matters more. It holds annual growth in taxable value to 10% on a main home, and Maryland expects the owner to live there six months or more each year. A house left vacant across most of a year can lose it.

With financing chosen, a single calendar links both settlements: the purchase, the move, prep of the empty house, the listing and the sale. Here’s the order we’d do it in, adjusted to your dates. Buy a home before selling your current one explains the approach in general terms. Projected sale proceeds come from our seller net sheet in Kensington, and staging the vacant rooms runs through pre-listing preparation in Kensington. Larger estate moves get their own treatment in Buy before you sell in Potomac. For a fresh value on the current house, our Kensington real estate agent usually replies within two business days.

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Owners trading a large South Kensington house for a condo near Howard Avenue often buy first and ready the old house afterward. North Kensington owners moving up tend to draw on an equity line instead. Anyone moving to an independent living community adds its move-in date to the calendar, which fixes one end of the plan. Each sequence differs. A few owners rent back their old house for a short stretch. We map money and dates together from the first offer, so neither closing arrives as a surprise.
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Answered

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Q: Is buying a Kensington home before selling my current one realistic? A: Often, if equity is there. ZIP 20895 has about 1,353 owner homes free of any mortgage in 2020-2024 Census data, and underwriters count that equity as collateral. Ask your lender to quote three routes, an equity line, short-term bridge money and a sale contingency, so you see each monthly cost before touring Kensington homes. Q: Does a vacant Kensington house lose its homestead cap? A: It can, if the vacancy runs long. Maryland’s cap keeps yearly growth in taxable value at 10% for a principal residence, which the owner must occupy six months or more each year. A few weeks of overlap rarely matters. When a Kensington house might sit empty for most of a year, check with the state assessment office first. Q: Do Kensington sellers accept offers contingent on another sale? A: Sometimes, though seldom when other buyers are circling. A sale contingency spares you two payments, yet many Kensington sellers choose offers that stand on their own. Arranging an equity line or bridge loan before you tour lets your offer compete without that condition, which matters in a busy spring week in Montgomery County.

Sources

Price both loans before touring the next house.

Call with the address, a rough loan balance and a sketch of the home you want next. Within about a week your lender returns quotes on all three financing routes. After that, one calendar ties the two closings together.