If you have a secured loan and then sell your house to buy a new house

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Does the company that gave you the money for the secured loan take the full amount you owe once you sell your house?

We have a loan [secured] we were thinking about selling in the next year or so, and buying another house, but am worried that the company we have the loan with will ask us for the full repayment in full of the loan when we sell the house, thus we would have no deposit for the next house.

Ideally we would like to sell the house, buy a new house and continue with the loan.... advice would be really helpful.

Thanks

CLAPTON

in general you have to pay off the secured loan.

petermb_2

Hi
if you have enough capital left in the new property you would be better off amalagamating the secured loan in your new mortgage. It should certainly be the cheaper option.

regards

Peter

chickpee

We took a secured loan with us when we recently moved but the loan company treated it as an initial application with all credit checks etc before they agreed that it could be transferred to another property.

Hope this helps.