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Buying 2nd property - really need advice
Lmbmd
Posts: 2 Newbie
Hi there,
This is my first post, as I really need some advice and wasn't sure where else to go.
Me and my fianc! need to relocate due to work. We currently own our flat outright. I wanted some advice on the options available for raising money to buy another house to move into.we don't want to sell our flat as its in London and we feel we would never get back into the market there if we did. Neither of us have had a mortgage before so find it confusing. Went to the bank but I felt they were just giving me Advice that suited them.
Together our income is around £50k and i would expect rental of £1000 PCM if we were to rent the flat.
We are happy to save for a deposit but do need to move within the next year so won't be able to raise a huge amount.
What are possible courses of action ?
Many thanks.
Lucy
This is my first post, as I really need some advice and wasn't sure where else to go.
Me and my fianc! need to relocate due to work. We currently own our flat outright. I wanted some advice on the options available for raising money to buy another house to move into.we don't want to sell our flat as its in London and we feel we would never get back into the market there if we did. Neither of us have had a mortgage before so find it confusing. Went to the bank but I felt they were just giving me Advice that suited them.
Together our income is around £50k and i would expect rental of £1000 PCM if we were to rent the flat.
We are happy to save for a deposit but do need to move within the next year so won't be able to raise a huge amount.
What are possible courses of action ?
Many thanks.
Lucy
0
Comments
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Speak to a broker. Many Buy to Let mortgages are broker only.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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Take matters a step at a time. Rent while you settle into your new location. Continue to save. Buy when you are ready to put down roots. You may even decide that you won't return to your London flat.0
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What is the flat worth?"Dream World" by The B Sharps....describes a lot of the posts in the Loans and Mortgage sections !!!0
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Most brokers will have dealt with this type of scenario dozens of times.
It should not be a problem to raise funds on the current property and get a mortgage for the new property.
You are right to deduce that the Bank is the wrong place for this enquiry.
This is a slim chance that a single bank will be the right lender for both the capital raising on the current flat and the mortgage on the new property.
Engage a broker.I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Foxy-Stoat wrote: »What is the flat worth?
Around £300k
How much do brokers charge? Sorry for obvious questions. We are complete newbies to mortgage world0 -
What a broker can do is find you a BTL lender who would be happy to give you a Loan/Mortgage on your current unencumbered property ( IE no mortgage).
This might be 50/75% of the property value ( depends on rent !!) which you can use as a deposit on the next property.
You rent out your flat in London and buy a new place elsewhere.
Simple but you need a broker ( costs can be offset against rental income)0
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