DO NOT use a home equity loan to cash in on all the equity in your current house.  Although this may be tempting, it could lead you to owe more on your home than it’s worth.  If you absolutely have to use your equity for a down payment, borrow no more than 85% of the value of the home.

Decide whether or not to move into the new home before placing your house on the market.  If you are going to stay put, stick with it.  If you are going to move, make sure the old house sparkles.  Seriously consider staging it.  A vacant house reveals any and all flaws.

Place your home on the market ASAP.  Thoroughly prepare it for sale and price it competitively.  Don’t make the mistake of pricing it based on the amount of money you need to afford your new home.

Be aggressive.  Constantly monitor the market so you are ahead of any trends.  Take all offers seriously.  Nothing says “make a lowball offer” like a vacant house that has been on the market for 6 months.

Explore the temporary housing options available in your area.  Formulate a plan for where you will go when your home sells.

Begin the search for your next home as soon as you place your current house on the market.  The goal is to identify neighborhoods or areas that interest you.  Try not to get too attached to any one house, as it might not be on the market when you are ready to begin making offers.

If you are planning on using the proceeds from the sale of your current home to fund your purchase, be prepared to have less money than you were hoping.  Especially in a buyer’s market, price reductions and offers for less than the asking price are common.  Calculating your net proceeds based on a variety of sale prices will help you be prepared.

When you do get an offer, try to negotiate a lease-back.  A lease-back is where you rent your home from the new owners for a short period of time.  This can give you time to look for a new home without the hassle of making two moves.