Mortgage advise... moving but paying mostly cash??

SteffieWoo

Hi there!


I'm hoping someone can help with this best thing to do in this situation...


Me and my OH are currently living in a house we paid 96k for 6years ago and we have about 86k left on our current mortgage.


Unfortunately my m-I-l passed away just before Christmas and her house was left to us in her will, The house is currently being sold and is due to complete on Monday.


We've found the perfect house for us and is it up for 147k


We stand to inherit around 105k from my m-I-l's estate so we would be potentially needing a 50k mortage.


What would be the best thing to do regarding mortgages etc? Would we be able to apply for a second mortgage (even though I know this is fairly difficult when you already have a mortgage)


Or would it be best to speak to our current mortgage provider to see if they could help? (Halifax)


We will be selling our current house once we have moved and then paying that mortgage off with the sale of the house so will then only have the 50k mortgage.


Any help would be greatly appreciated.


Thanks!


SteffieWoo!

Nick_C

Speak to a Mortgage Advisor at Halifax (or elsewhere), but I suspect your best course of action will be to pay off your current mortgage and use the remaining £19K as a deposit towards the new house, taking on a new mortgage of £130K (if you qualify for that amount).

Make a capital repayment once you have sold your current home.

Look for a mortgage that allows early repayments and no penalty fees. Santander and HSBC are currently offering lifetime trackers at base rate + 2%.

You are unlikely to get a mortgage at a good rate on two properties.

SteffieWoo

Thank you Nick

Thrugelmir

Why would you not sell your own property first?

Lenders may well suspicious of your motives.

Are both mortgages affordable concurrently along with the costs of running 2 houses.