House completing on Friday but need to sell as soon as it completes

lauravenue

Hello,

I'm looking for some advice. I'm sorry, I may be asking stupid questions but I'm new to all this house buying stuff!

Basically we've exchanged, paid a lot of money and are completing on Friday, but since our exchange we basically need to live somewhere else, due to many family related reasons. If we hadn't have exchanged we would have obviously pulled out but now it's too late, and this is my first house I have no idea what to do, as this wasn't expected when we started buying this house.

We have a mortgage from Halifax, 2 year fixed rate, but I'm unsure what happens to your mortgage when you move. As I said, I'm sorry if I sound stupid but do you take your mortgage with you? Can you keep the same mortgage when moving, without having to re apply? As we chose Halifax for a reason and are happy to keep it but having to re apply to buy a new house would put a dampener on this as we obviously have only just applied for a mortgage now.

I know we will incur vast costs moving again so soon, but there really is nothing we can do about the situation, so I'm just trying to gain some knowledge on what to do.

Has anyone ever sold so soon after buying? I know it's probably a ridiculous idea, but we wouldn't be able to afford to keep this house and rent it out, and buy another place. And I don't really see why we would keep this House and rent another house in our new area to live as renting is really not what we want when we unfortunately were aiming for stability with this house.

I appreciate any comments on this situation I've found myself in. Does anyone think it will be easy to do?

G_M

Selling will be difficult as lenders often won't lend on properties that the seller owned for less than 6 months, so your pool of potential buyers will be vastly reduced.

If you did find a buyer and sell, and buy elsewhere, you may well be able to 'port' your current mortgage product to the new property.

You could apply for CTL and let the poperty, but again, within 6 months Halifax are likely to suspect you planned this from the off and wanted to avoid higher Buy To Let costs - so I suspect they'd insist on ending your current mortgage (with all the penalties of early redemption) and granting a new, more expensive BTL mortgage.

You could ask, and just maybe get CTL. But then you'd be a landlord with all that goes with that.

chopper78

You will likely find it difficult to sell the property within six months of completing, as your buyer's mortgage company would possibly refuse to allow the transaction. e.g. Halifax's terms:

"the current vendor must have owned the property for at least six months before we can accept an application to purchase that property"

Obviously, moving will involve a a whole new set of stamp duty, solicitor's fees and all that.

nubbins

I think one of the main problems is finding a cash buyer for your property as many lenders will not lend on a property that has been owned for less than 6 months
http://www.tinsdills.co.uk/beware-the-6-month-rule/

You will need to check if your mortgage is portable.

paye

Hi,

You need to find out if you can take the mortgage and rate with you to a new property, if you can I belive early repayment charges will not apply ( please correct me if i'm wrong someone).

The other option depnding on your curcumstances, why not privatley rent the house for two years if you can afford it, but you will have to let the lender know this ( I wouldn't personally )

If you decide to sell up completley, then you will have to pay repayment charges, solicitors fees, agent fees etc.

xylophone

You could move in and cope as best you can with whatever difficulties arise until you've been in the house for six months?

Hoploz

You wouldn't necessarily need to leave it that long before going on the market again - I think it'd be ok to market it pretty soon after but with a proposed completion date for after the 6 months is up, as a lot of chains take about 3 months or more to go through anyway .... mortgage experts here may be able to confirm or deny this.

davidmcn

Apart from the mortgage issues, buyers are also likely to be suspicious about why you're selling so soon (I'm not sure whether that's more or less a problem if you obviously haven't even lived there long enough to discover any neighbours from hell etc).

Marvel1

From a buyer point of view, I would wonder why so soon and what is wrong with it or the area.

moneyistooshorttomention

cjdavies wrote: »

From a buyer point of view, I would wonder why so soon and what is wrong with it or the area.

You are going to need to be open with your buyers about why you are selling again so soon. That way - they'll be sure the reason is a personal one and wouldn't be applicable to them (ie neighbours from hell/planned development nearby/etc).

I admit to being puzzled what these circumstances could be - and am assuming it's something to do with family? (eg a relative's sudden major chronic illness?).

As a potential buyer I would be trying to work out in my own head how long I thought the "problem situation" was likely to continue - eg relative now in wheelchair for rest of life and still likely to continue living to "ripe old age" or an illness that might prove more short-term (ie the seller might change their plans again - and decide to stay in the house after all and withdraw it from sale).

Davesnave

People's lives sometimes change in an instant. It's not for us to ask why the OP wants to do this if she has decided not to share the info.

As a cash buyer, I'd be wary, but willing to risk having my fingers burned at the right price. I purchased my current property, aware there was a second reluctant seller involved, wishing to scupper the deal. So what? The price was right.

The question is whether the OP could afford to sell it for the price that would quickly attract a cash purchaser.