Buying and selling without a mortgage

pudds

My mum owns her own home and is in reciept of disability benefits.
Due to her health she wants to move to a new house closer to me but my question is how does she go about buying and selling without a mortgage which she would be unable to get?
Her house is worth about 80k and she has 60k in capital. The budget for a new house is about 120k.
I have no experience of the housing market as i've always rented.
She would like to buy the new house first and then sell the other one.
The other way round isn't really an option due to the risk of not finding a new one suitable for her needs and needing to move into rented accomodation if house is sold.
Any help would be much appreciated as i don't have a clue about these things!

Brian

olias

Does she work? If not then it's highly unlikely I'm afraid. She would have to get a mortgage for around £65000, and if her only income is benefits, then she doesn't stand a chance. Personally, I think her best option would be to sell and move into rented. She would then be a cash buyer, it would put her in a better negotiating position, and she would not need to rush to find somewhere. Depending on her disability, providing she does not need a very specifically adapted property, I'm sure she could cope with rented for a while until she found somewhere suitable.

The fact that she would have such a large amount of capital should not affect her benefits, as she already has £60000 which means she is already over the threshold for any means tested benefits.

Olias

G_M

Well, if she want to buy new one before selling the current one, that's £80K that's not available.

So the difference between the cost of the new house (£120) and her savings (£60K) means she has to 'find' £60K (plus moving costs) from somewhere else.

Borrow from family/friends?
Credit card at 0% interest?
Bank loan (10%? 15%?) ?

Obviously once she's moved, and sold the current property, she can pay back the family/loan whatever.

But that's why most peopke buy/sell on the same day. MUCH more stressful/difficult, but the money from the sale goes straight to the purchase.

No mortgage? Makes the conveyancing a bit cheaper and easier. If she's smart/got all her marbles she could even research how and do it herself to save a few hundred.