Newbie moving house advice needed

JonnyNoClue

Hi

I want to move house but i don't even know the basics so i'd like to ask a few novice/newbie questions.

If a mortgage on a property was £40k and it sold for £80k then the owner would make £40k minus costs etc, right?

So, if that owner wanted to then buy a house for £100k how much would the mortgage be? Could or would the £40k (ish) made go towards that leaving the new mortgage at £60k?

Sorry if this seems stupid but i'm being honest with you all, i haven't a clue and i don't want to go speak to an advisor before i know a tiny bit.

Thanks

davidmcn

JonnyNoClue wrote: »

if that owner wanted to then buy a house for £100k how much would the mortgage be? Could or would the £40k (ish) made go towards that leaving the new mortgage at £60k?

Yes, a mortgage is just a loan. If you want to buy something costing £100k but only have £40k then you need to borrow £60k.

JonnyNoClue

davidmcn wrote: »

Yes, a mortgage is just a loan. If you want to buy something costing £100k but only have £40k then you need to borrow £60k.

Thank you very much

G_M

As david says above - but don't under-estimate the 'costs'. You'd need to either have some extra savings for these, or borrow more than 60K.

Before seeing your adviser, read this or a similar book (free at the library!):

https://www.amazon.co.uk/Buying-Selling-Home-Dummies-Melanie/dp/0470994487/ref=pd_sim_14_3?ie=UTF8&psc=1&refRID=3BM02RA0BQ466R4359YT