1) Sell First, then Buy
This is probably the most common option people choose. Most people have the financial requirement to sell their current home in order to purchase another. The benefit of this type of move is you don’t have to worry about carrying two mortgage payments. The negative is you will most likely end up moving twice. An inexpensive interim option is to move in with family while searching for your next home. Others opt for flexible apartment leases. Once your home is under contract, you could start looking and bidding on homes. However, you will have to make your offer contingent upon the closing of your current home, which is a big contingency. This will work against you in a multiple offer situation, but the closer you get to the closing, the less of a risk this contingency is for a seller. If you get lucky and find something right away that you like, you may be able to coordinate the timing so you can move from one home to another. However, it is a difficult task to coordinate, and is exacerbated by a lopsided market. You may also feel pressure to compromise on the house to find something quick and avoid the double move. Be conscious of that and ensure your second home is what you really want. This option works well in any market.