How to sell my house, with no money?

Homeboy2016

So, this is my situation and I can't get my head round it.

I have a house with over 90% of the equity paid which i live in, so if i sell, i am in an excellent position to downsize and essentially be mortgage free. But the problem is, I am jobless and have no money coming in except JSA.

I have enough to pay bills for the next 2 - 3 months, but of course with selling a house there are expenses such as solicitors fees, storage costs for my stuff and possibly temporary accommodation, none of which I can afford to pay for upfront.

I could put my house on the market tomorrow, but what happens with regards to solicitors fees?. My aim is to sell up, cash in and downsize which will hopefully give me a nice little windfall plus be mortgage free, but i do not know where i want to live yet.

Unfortunately my bank will not allow me to remortgage even for £5k which would be useful to get things moving, in to storage and rent a room until i can find somewhere to live after the sale.

What would you do in my situation? any advice is greatly appreciated

missbiggles1

Homeboy2016 wrote: »

So, this is my situation and I can't get my head round it.

I have a house with over 90% of the equity paid which i live in, so if i sell, i am in an excellent position to downsize and essentially be mortgage free. But the problem is, I am jobless and have no money coming in except JSA.

I have enough to pay bills for the next 2 - 3 months, but of course with selling a house there are expenses such as solicitors fees, storage costs for my stuff and possibly temporary accommodation, none of which I can afford to pay for upfront.

I could put my house on the market tomorrow, but what happens with regards to solicitors fees?. My aim is to sell up, cash in and downsize which will hopefully give me a nice little windfall plus be mortgage free, but i do not know where i want to live yet.

Unfortunately my bank will not allow me to remortgage even for £5k which would be useful to get things moving, in to storage and rent a room until i can find somewhere to live after the sale.

What would you do in my situation? any advice is greatly appreciated

IME, none of the things you mention are paid for upfront so that shouldn't be a problem. Just do what most people do, put your property on the market, start looking for other properties and, when you sell it, make an offer on something else.

You're making the situation far more complicated than it needs to be.

Doozergirl

You don't need any cash to sell.

Solicitors fees are paid on completjon with a sale. When you purchase, they will ask for the search fees up front.

What you really want is to get on the market, get under offer and then organise your next purchase so you are in a chain.

It's just those search fees of £2-300 you might need to find. They're not necessary but really very asvisable if buying in cash.

You can even pay the removal men on moving day from any difference between sale and purchase prices minus the fees.

All you need to do is budget for the costs and make sure there is enough in that pot on moving day for estate agent, removals & solicitor, and perhaps stamp dury on your purchase.

Homeboy2016

That's a good point, so i could put it on the market, someone goes ahead with the purchase, but the property is marked as 'under offer' and in a chain. So that means they can't actually move in until i have moved out?

I can buy a house on the premise that my current property is 'under offer' even if there is no money physically in my bank account? I guess that makes sense because even if i go ahead with the purchase of another property and my buyer pulls out at the last minute, then i will just have to cancel the purchase of the property, so it wouldn't leave me homeless, it would just be incredibly annoying.

I should probably talk to an estate agent really but thanks for your help :-)

glasgowdan

Use and online agent that charges after completion as well and save a couple of grand.

alchemist.1

Homeboy2016 wrote: »

That's a good point, so i could put it on the market, someone goes ahead with the purchase, but the property is marked as 'under offer' and in a chain. So that means they can't actually move in until i have moved out?

I can buy a house on the premise that my current property is 'under offer' even if there is no money physically in my bank account? I guess that makes sense because even if i go ahead with the purchase of another property and my buyer pulls out at the last minute, then i will just have to cancel the purchase of the property, so it wouldn't leave me homeless, it would just be incredibly annoying.

I should probably talk to an estate agent really but thanks for your help :-)

Yes!
Look at some house selling/buying guides before you go and speak to an estate agent and get ripped off

ViolaLass

Houses can easily take more than 2-3 months to sell so if that is your limit, you will need to price accordingly.

slowpoke_rodriguez

Bear in mind that your nice little windfall may affect your entitlement to JSA.

knightstyle

Two things, if downsizing do NOT put anything into storage, get rid of it.
Plus do not be tempted to borrow money for immediate expenses, unless the house you are selling has exchanged contracts.
Oh and if your credit rating is good you can get a loan from a credit card for a year and just pay 1.9%.
Thats three things, I know.

phoebe1989seb

Last few times we've bought/sold our removal co have required payment in full to secure the slot when we booked them

DCFC79

knightstyle wrote: »

Two things, if downsizing do NOT put anything into storage, get rid of it.
Plus do not be tempted to borrow money for immediate expenses, unless the house you are selling has exchanged contracts.
Oh and if your credit rating is good you can get a loan from a credit card for a year and just pay 1.9%.
Thats three things, I know.

The OP asks a friend /neighbour or more than 1 to store stuff.