Is my plan bonkers?

9ja4life

We agreed the sale of our property in April with a completion date of June. Buyer pulled out just after brexit and on the day of exchange. We have decided to rent it out for the forseeable future - have consent to let in place and have done since 2013.

Now, we also offered and agreed a price for a property we like. We've had a survey done and have a mortgage in place. Of course, we can't now proceed with that.

I've come up with what I think is a bright idea and this is where I need advice.

We have 50% equity in our old house. We want to ask the vendor of the one we want to buy to rent it to us for 3-6 months so we can remortgage our old house and release equity to pay the deposit for theirs. The house is empty and has been for the better part of this year - divorce in progress. This will also give us the needed breathing space to sort out finances.

So as not to drip feed. There's an ERC of £7k on our property till December. Mortgage is with Santander who have said we can move deals from September so the plan is to move to the SVR and then remortgage as soon as possible. We are currently in rented.

Is my idea bonkers?

spadoosh

Only the seller can tell you.

If i was the seller, i wouldnt call you bonkers but i would say no.

LittleMax

Am I missing something - why do you need to be renting the new house to do this? Can't you explain to your vendor that you need time to arrange the remortgage? Again they can say no - but more likely to agree to wait with it empty rather than sitting tenants they never wanted.

Cakeguts

Divorce may be in process but when the house is sold the sellers will probably want to buy somewhere else. How can they do that if you are renting their house? If they had wanted to rent it out they would have done but they wanted to sell instead.