buying a house without selling my house

lynzpower

pickles110564 wrote: »

Dont worry go for it. If it is your house of your dreams dont worry a few white lies never hurt anyone.
You can always grease the palms of EA's they are normally on the take and will love to take money in brown paper bags.
Say that you are a cash buyer and get your solicitor to hang it out, put your place up for a fair price that will mean that it will fly out of the window.
Dont let others ruin your dreams, they are normally green eyed monsters who dont have the balls to take life by the scruff of the neck and just love to run others down

up there with some of the worst advice Ive ever seen on this board

niccy

you could always put your gaff up for auction!

BlackRaven_3

I am in a similar predicament myself.

I currently have a £45,000 endowment (12 years remaining). My mortgage is £75,000 (12 years remaining) with £40,000 of it on interest only, the remaining on full capital. The house is valued at over £100,000 (how much more I don't know at present).

We have seen a house worth £250,000 but because of its location it is £199,000 - (the immediate streets are fine, its just a diamond in the rough really). We want to take a mortgage over 25 years, which we have worked out that once £100,000 from our house sale is knocked off is easily affordable. Trouble is, our current house is not on the market yet. Not only that, but its so small for us that we would have to put things in storage to make it look saleable.

We don't want to lose this house, as its unlikely we will get such a bargain again really (a result of the owners job moving). But we can't afford both mortgages at the same time. Does this sound OK, or any other suggestions: -

1) Borrow £25,000 on current house, put £10,000 deposit down and use the rest towards a year and a bits worth of of repayments (plus my untaken holiday pay).
2) Convert both morgages short term to 33 years (to take me to 65) and interest only, with a view to converting back after sale of house.

306NOTOUT

You could always rent your current house out. Get a tennant in for 6 months but and then plan on getting it sold after that. At least it will buy you some time to get everything sorted.

This is what we have done and now we are thinking that we will probably just keep the house regardless in a couple of months time.

My dad always said to try and keep property if I could.

Doozergirl

pickles110564 wrote: »

Dont worry go for it. If it is your house of your dreams dont worry a few white lies never hurt anyone.
You can always grease the palms of EA's they are normally on the take and will love to take money in brown paper bags.
Say that you are a cash buyer and get your solicitor to hang it out, put your place up for a fair price that will mean that it will fly out of the window.
Dont let others ruin your dreams, they are normally green eyed monsters who dont have the balls to take life by the scruff of the neck and just love to run others down

No offence to the OP but why would anyone be jealous of someone in their situation? she can't afford two houses and has unfortunately gone about things backwards resulting in disappointment.

It's not jealousy, it is the fact, above all others, that the OP cannot afford to do this. I have also pointed out that you should only do as you would have done unto you. The result of not doing so is that people don't like you very much and you end up with a big fat chip on your shoulder, and decide that it isn't because you're not a nice person, it's because people are jealous of you.

xela_17

I think the advice of putting your house on the market and setting the price as low as you can afford in order for a quick sale is a good one if you really really want the house.

If you decide to give this house a miss you should still put your house up for sale. You mentioned looking for a house that wants an Aug/Sept completion. That's only 2/3 months from now. The whole conveyancing process can take 2/3 months so you need a buyer for yours now anyway! (Just remembered this is Scottish system so apologies if that system is quicker)

BlackRaven_3

BlackRaven wrote: »

I am in a similar predicament myself.

I currently have a £45,000 endowment (12 years remaining). My mortgage is £75,000 (12 years remaining) with £40,000 of it on interest only, the remaining on full capital. The house is valued at over £100,000 (how much more I don't know at present).

We have seen a house worth £250,000 but because of its location it is £199,000 - (the immediate streets are fine, its just a diamond in the rough really). We want to take a mortgage over 25 years, which we have worked out that once £100,000 from our house sale is knocked off is easily affordable. Trouble is, our current house is not on the market yet. Not only that, but its so small for us that we would have to put things in storage to make it look saleable.

We don't want to lose this house, as its unlikely we will get such a bargain again really (a result of the owners job moving). But we can't afford both mortgages at the same time. Does this sound OK, or any other suggestions: -

1) Borrow £25,000 on current house, put £10,000 deposit down and use the rest towards a year and a bits worth of of repayments (plus my untaken holiday pay).
2) Convert both morgages short term to 33 years (to take me to 65) and interest only, with a view to converting back after sale of house.

Things have moved on a bit since the above. On Saturday morning we had 3 estate agents round for appraisals. As stated, we expected the house to be valued at over £110,000 and all 3 did, but recommended for quick sale advertising at £105,000. As we costed based on £100,000 this was acceptable and therefore as the house we want to buy is with Bridgfords, we thought it prudent that although not the cheapest of them to go with that we should sell via them as they have 2 potential sales to gain by selling ours and therefore more chance of our house being pushed.

Anyway, by 1230 Saturday we were on the market with Bridgfords. By 1pm them telephoned to say they had arranged a viewing for 4pm and another for 430pm. At 4.25pm we got a phone call from Bridgfords saying that the first viewer was willing to put in the asking price!! We showed the other round anyway after telling her we had an offer for the asking price, so hopefully today we may get a higher offer.

That must be one of the faster house sales ever though!!

So now, it will mean that we have about £25,000 equity to put down as a deposit, and need a £175,000 mortgage (£40,000 of which on interest only). Bridgfords are currently suggesting that they can get us a 5.3 interest rate going via them (we are tied in to The One Account until September though) which is cheaper than we currently have, but I don't know if that is necessarily the best deal. Our combined earnings are £45,000 per month and I hope that they will say we can afford it as £175,000 borrowing is more than 2.5 times our income - does that sound about right?

Richard_Webster

Most major mortgage lenders make it a condition that any existing mortgage is repaid before the new one is started so you'd have to find a lender that would consider your finances were good enough for making payments on both mortgages.

If you try being economical with the truth, if, as is normal, you solicitor is acting for both you and your new mortgage lender, he will have a duty to obtain your consent to notify the lender about the existing loan. If you give consent and the lender is OK with it, fine. If the lender doesn't like it, you will have to find the money to pay off the old mortgage. If you don't give consent then your solicitor then has to cease to act both for you and the lender. He is not allowed to tell the lender why, but a lender might guess that something funny was up (and might suspect it was worse than it really was).

As a conveyancing solicitor I believe the information given in the post to be useful but I accept no liability except to fee-paying clients.

andyboyo

BlackRaven wrote: »

Things have moved on a bit since the above. On Saturday morning we had 3 estate agents round for appraisals. As stated, we expected the house to be valued at over £110,000 and all 3 did, but recommended for quick sale advertising at £105,000. As we costed based on £100,000 this was acceptable and therefore as the house we want to buy is with Bridgfords, we thought it prudent that although not the cheapest of them to go with that we should sell via them as they have 2 potential sales to gain by selling ours and therefore more chance of our house being pushed.

Anyway, by 1230 Saturday we were on the market with Bridgfords. By 1pm them telephoned to say they had arranged a viewing for 4pm and another for 430pm. At 4.25pm we got a phone call from Bridgfords saying that the first viewer was willing to put in the asking price!! We showed the other round anyway after telling her we had an offer for the asking price, so hopefully today we may get a higher offer.

That must be one of the faster house sales ever though!!

So now, it will mean that we have about £25,000 equity to put down as a deposit, and need a £175,000 mortgage (£40,000 of which on interest only). Bridgfords are currently suggesting that they can get us a 5.3 interest rate going via them (we are tied in to The One Account until September though) which is cheaper than we currently have, but I don't know if that is necessarily the best deal. Our combined earnings are £45,000 per month and I hope that they will say we can afford it as £175,000 borrowing is more than 2.5 times our income - does that sound about right?

I dont understand why you are tied to the One Account until September. I've got one and AFAIK they only charge you £75 if you redeem within 5 years of account opening

BlackRaven_3

andyboyo wrote: »

I dont understand why you are tied to the One Account until September. I've got one and AFAIK they only charge you £75 if you redeem within 5 years of account opening

Maybe I am wrong then, September is when my reduced rate goes to full price (I only joined them in August) so thought I would be tied in till then.