Double Trouble

Why in the world would anybody buy a new home without first selling their current home given the state of the housing market today? Don't these people read? Here's a story about a couple who bought assuming they could quickly sell their condo and at a price higher than what this condo in a buyer's market would bring. Stories like these are more and more common. The moral of the story: sell your current home before buying a new one - don't assume a quick turnover at the price you want in this market.

Slow-market crisis: Stuck with two homes

What's more, the number of houses sold nationwide in August fell 12% from last year. For those who've just signed contracts to buy, it's less and less likely they'll be able to sell their old houses before closing on their new ones. To understand what that means, do the math: In Massachusetts, a state particularly slow for sales, it takes the average seller 114 days to find a buyer. That's almost four months of double house payments.

With a $300,000 mortgage, you'd pay about $10,000 in interest, taxes, upkeep and insurance while house No. 1 sits on the market.