Cashflow/Moving House

kriss_boy

We move house on 26/07/13 ie We hand over keys to our buyers, and get keys to new house.

We were told we had to maintain a 10% equity stake (deposit) in the new place (165K home), and as like many couples we've lost a lot of equity in our first house bought in 2008.

My question is about the manner in which the monies are transfered because things are very tight.

We have saved 8K, and we wll add to this my wifes next 3 pays, the later of which is the day before entry! That will take us u to £13.5K. We get approx 3K from the sale of our house which basically takes us then up to the 16.5K mark... which is the exact deposit for the new house!!!
(Ive removed fees to keep it simple).

Im just concerned that the transaction will bounce because its so tight. But on the day of the move we will have the deposit for the new place. Is this normal?

I dont want to ask my parents for money, even if it is for 24 hours...

Oh and I then get paid a few days later anyway!

Building_Surveyor

On the day of the move? The money is normally deposited in advance. Your solicitor should give you detail as to when they need the money and how much via a completion statement. Which will include all fees, stamp duty, deposit everything.

kriss_boy

Building_Surveyor wrote: »

On the day of the move? The money is normally deposited in advance. Your solicitor should give you detail as to when they need the money and how much via a completion statement. Which will include all fees, stamp duty, deposit everything.

How far in advance? A few days before the move or when the missives are completed?

My concern is that my buyer waits till the end of July to sign missives on my house.... if it were earlier then at least the money would be with us....

kriss_boy

Our parents have offered us money... but we wanted to do this on our own.

The problem was that we listed the house in March, thinking it may well take months to sell. It sold in 2 weeks, then a few weeks ago we saw an unmissable house in the exact area we wanted!

japmis

I paid my deposit 24 hours in advance of contract exchange and the remainder of the monies (stamp duty, fees etc) 24 hours before completion..... and I'm cutting it really fine.

Find out now if they accept "Faster Payments"; you can transfer money online without a charge (limited to £10k per transaction but no limits on how many transactions per day).

Thrugelmir

kriss_boy wrote: »

But on the day of the move we will have the deposit for the new place. Is this normal?

Your solicitor will require cleared funds for the deposit prior to the exchange of contracts. The deposit received on your property can be used towards the one you need to place.

Before exchanging the solicitor will also check that the finances are in place to cover not only the purchase cost but legal fees, EA fees etc. So you will need to ensure that adequate cleared funds are with your solicitor.