Selling & buying again after short period

gameover

I've had my mortgage for almost 4 years. I'm wondering if I have any options for selling up and buying another house in such a short space of time?

My partner and I got a mortgage on a 2 bedroom house, we didn't anticipate how quickly we would out grow it, first getting some pets and then surprised with twins, the house isn't fit for purpose anymore...we're literally bursting at the seams without any decent storage space, only two bedrooms, every corner and cupboard is stuffed with random things we really need to move on.

However, I am worried that because I haven't had my mortgage very long that I could lose out on money? Or how much money it could cost me to get it done?

We have done work on the house so i'd expect it to be worth more (i'm not sure how the market is going at the minute) and other houses in the area seem to sell quite well.

I'm guessing I haven't even paid much with the monthly payments anyway due to interest but we worked hard to save the deposit so i'd rather stay put that lose out.

So, how exactly does this process work? What happens to money i've already paid (deposit, monthly payments), how much money does it cost to sell and buy somewhere else? Do I need another 10% deposit? any advise?

I know the typical response will be 'speak to a mortgage advisor' and we do have one that we used to purchase this house, I do plan to speak to her but only after i've received independent advice as I feel like they have a vested interest that may not be the best deal for me.

I'm hoping i'm over thinking it and it's actually a pretty painless process with little loss.

silvercar

We moved out of our first home after 2 years, so definitely do-able.

Budget for estate agent selling fees/ legal fees/ mortgage arrangement fees/ survey on new place. Not a cheap option to move, but can be done.

Thrugelmir

You need to sit down and take a hard look at your finances. Cut the waste. Overpay the mortgage or save the money. You've costs to fund as mentioned above. Do you yet have the increased income to afford a larger mortgage. In 4 years you will have repaid little of the capital owed on the original mortgage.

gameover

We're earning more than we were when we took out the original mortgage and can quite easily save up to £1000 each month. Money isn't the issue as such, but losing money is what I have a problem with.

If for example we purchased a 100k home, and paid 10k deposit.. and sell it for 110k... what happens to that 110k? Will it ALL go towards completing my current mortgage? can the mortgage be transferred or is it a completely new application?

In a perfect world that scenario would give us 20k to pay fees and deposit and then just adjust monthly mortgage price to cover the higher overall mortgage... But that sounds too easy so i'm guessing there is so much red tape and fees that it will end up in some sort of loss?

amnblog

You get out the purchase price less the outstanding mortgage amount on sale.

Those funds are then available to act as deposit on the new property.

You need a new mortgage application for the new property. You will check your current deal first to establish the costs of settling and options for taking the deal to the new property.