Selling two houses to buy one?

moneysavermummy2014

Hello!

I wonder if anyone can help offer any insight.....

My husband and I have two properties, one being my original flat from before we moved in together and the second being our joint home. We want to sell both in order to buy our forever home. The flat sale is more one of convenience; we just want to get rid of the mortgage and are aware we will walk away with very little, if anything at all. It is a bit of an albatross around our necks..... The outstanding mortgage is £90k with a monthly repayment of circa £500pcm.

We are in a fortunate position whereby we have about 200k equity in our current property, and a joint income, before bonuses in excess of £100k. We are looking at buying our new property on a ten year fix, and I want to approach a new lender to discuss this as the rates offered by the two existing lenders we use are a bit shoddy at the mo! However, how would it be received by them knowing that we have two mortgages outstanding? It is extremely plausible, in fact very likely, that the flat may not sell in the immediate future at all, as it is sat in a very stagnant market/region, and, having expired the consent to let period it now sits empty.

We want to borrow approx £330k on the new mortgage if we get approval, against a property value of approx £500k. If the flat we own does not sell, we would be continuing on the £500pcm repayment for the forseeable future.....

Has anyone any experience of getting a mortgage while having two properties to sell, one of which very realistically may not in the near future? Any advice on how to approach it? I want to just phone the lender for a chat but am not sure how best to discuss it and I get awfully flustered and tongue tied when I am nervous......

Any general advice/insight for a completely useless me?

Thanks in advance!

amnblog

A good broker can take you through this process.

It sounds doable and there are a number of ways you can handle it.

moneysavermummy2014

Thank you

And for my next stupid question (cue the 'idiot of the evening' award winner...), what's the best bet/route to finding a good broker?!

amnblog

Recommendation is the best route.

Or you can use unbiased.co.uk

It can be tricky to decide how to select a broker.

In a recent blog on our website we covered issues such as broker types:

Estate agency

National

Local

Specialist

What to ask your broker:

Qualifications

Service type

Process

How much it costs/fees

Ironically, it is far easier for another mortgage broker to identify a good one that it is for a borrower.

getmore4less

Review your selling stratagy on the flat.

Paying interest on £90k, council tax and other costs against getting out a few month earlier by a lower price.