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Exchanging contracts, deposit required?

Hello,

We are considering moving, we have lots of equity in this place however little cash.

If we find a property we like and we exchange contracts, do we have to pay 10% of the purchase price or will that come out of our equity when we sell?

Have tried searching but could not find the answer.

Thanks in advance if anyone can help.

Comments

  • Woody69_2
    Woody69_2 Posts: 119 Forumite
    You usually use the deposit from your buyer as they will also have to pay 10%deposit. In my case the first time buyer at the start of the chain was getting a 100% mortage so there was no deposit to pass up through the chain and so we all exchanged with no deposit. The solicitors usually want you to exchange and complete on the same day in this instance but nobody was happy with this so we had 2 weeks between.
  • rustybucket
    rustybucket Posts: 277 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Thanks Woody
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