adding solicitors fees/stamp duty to mortgage?

james3333

can this be done?
i.e if i were to buy a house for £170,000 could i borrow £177,000 to cover the fees?
or could i take it from the equity i have already in the house i would be selling?

hex2

You can borrow 95% plus up to a further 30% unsecured from Northern Rock, so in theory yes.
Really depends on when the solicitor wants his money. Mine says that I have to cough up stamp duty at exchange so I can't use my equity. I am sure if you explained up front you could come to an agreement

Manchester_Lucy

I belive that any borrowing over the cost of the house is treated like a loan.

Are you using the equity in your current house as a deposit for your new purchase? If so then I think you just need to reduce your deposit and keep some back for all your solicitor fees/stamp duty.

james3333

Manchester_Lucy wrote:

I belive that any borrowing over the cost of the house is treated like a loan.

Are you using the equity in your current house as a deposit for your new purchase? If so then I think you just need to reduce your deposit and keep some back for all your solicitor fees/stamp duty.

we havent seen a house to buy yet, its difficult for us to save up deposits, fees, etc so we are going to use the equity in our house (£40k) to pay for fees, if this is possible..... so will look at houses slightly lower price to compensate.
cheers

Guy_Montag

If you can't save up for fees & deposits, are you sure you should be buying a new house?

danuk

i was thinking about the same.... moving current mortgage of £100000 to new home but our house will sell for £140000 so 40k equity..... i hope we could move to bigger house say £180000 ish and pay for fees, deposits (do you need a deposit?) within this..........

loujay_2

We are doing something similar. House is £130k, have 90k equity so in theory need £40k mortgage. House needs money spending on it, about 10 - 15k, add on the fees, EA, sol etc makes about 60k in total. We are putting down 65k of the equity and keeping back the remainding 25k for improvements fees etc and so end up borrowing £65k. Anything left over we will pay back in a lump sum to reduce the mortgage further.