Please help as I have no idea what I need

arthur_dent_2

Hello all and thanks in advance to anyone who is lovely enough to help.

I am looking to move house. I own a very run down but large one bedroom house worth in the region of £90 -£95000 and only have £10000 left to pay on this property. We are looking at a property we wish to buy that is £115000 and therefore is affordable to us. What is the problem then? Well I have no idea as to how to go about this buying and selling lark. Also there is also a very very important factor to consider, I cannot sell my house untill we are in pocession of the new one.

I live in a run down pig sty and nobody would even consider purchasing it without our rubbish being moved out first. Also we need to have new windows and a door fitted as the windows are rotten and the door is boarded up.

On the plus side we live in a really good area (we are the shame of the village) and low cost houses in this area are hard to come by.

Anything at all people can offer in terms of advice would be appreciated, thanks Denty.

kingkano

errrmmmm my advice is. Fix the house up!!!

Get the door and windows fixed, rent a lockup storage and store anything excess in there, do a house doctor. Same as everyone else has to do these days!

arthur_dent_2

Fantastic idea, but I married a hoarder and this genuinly isn't an option. Once it is empty I am fairly sure that there will be no problem selling it but I do need to move first. It is a one bedroom house and with four of us living in it there isn't room to swing the proverbial cat let alone show prospective buyers around.

skippy64

Hi Arthur, we were in a similar position to you and we have achieved our target of getting a new house by doing a Buy to Let on our existing house to generate the deposit for the new house. My best advise is to go to a local broker, which is what we did & it has been very strightforward to arrange all the paperwork. I would advise you to do some tidying up though for if you have your house valued for the re-mortgage/buy to let valuation.

skippy64

Forgot to add I asked a similar question on here & got very good replies from the mortgage gurus.
http://forums.moneysavingexpert.com/showthread.html?t=413263

rizla01

Have you considered moving into rented for 6 Mths and put ypor house into auction.

It'll cost nothing to get an auctioneer round to give you a true value and an auction buyer couldn't care less what the condition is like but obviously it'll affect the price that you would acheive.

This does sound like your best option.

arthur_dent_2

That is really useful thanks Skippy. It seems that aside from our houses being of lower value to what yours were the situations are very similar. The property we are looking at has an asking price of £114950 so it is possible we could get it cheaper and the valuation on our house is realistic even given the state that it is in. It is not affordability, just the whole process that scares the willies out of me.

arthur_dent_2

This might sound really stupid, but I can't afford rented accomodation. It would be around double what I reckon my new mortgage would eventually be.

rizla01

O.K. arthurD, well don't be afraid of the selling situation.

Get a couple of Estate agents round and choose the one that you like the most.

They should advise you on everything and make the selling process VERY simple.

You will pay them about 1.5% of the selling price of your house which is a LOT of money.

Just make sure that they earn it, by looking after you.
And best of luck, Hope it all goes well.:)

JoeK_3

Have you considered a Let to Buy mortgage?

This is where you arrange a let to buy mortgage on your existing house (and strip out the equity up to 95% loan to value, subjec to rental income) and then use the money that you have taken out to buy the new house with.

This way you could own both properties with maybe a £25,000 mortgage on the new property.

JoeK

arthur_dent_2

A buy to let mortgage is certainly an option I am willing to consider. Rental on my current home would be around £400 a month and the mortgage on the property we are looking at is around £700 - £750 so yes it is certainly a managable option and would give us some sort of a financial future aswell.