Cash Shortfall

TocH

We are in a position where we have seen a house that we want to buy and we are approx £50,000 short in being able to buy it outright. The sellers estate agent is asking for evidence of ability to purchase. We have our house on the market and if we sell that there will not be a problembut who knows how long this will take.

We owe £80,000 on our present mortgage but have not wanted to pay it off as we are on a fixed rate of 4.85% and get more interest on our savings. My husband works away in a fairly inaccessible place and I have been left to deal with all this - not that I'm complaining, far from it but I am floundering!

What should I do as I am new to property selling/buying, mortgages etc. Should I arrange another mortgage, get a bridging loan (things of the past?) or what?



Can anybody give me advice on what are my options?

Leighthal

Is your current house overpriced?Can you lower the asking price for a quick sale in order to get the house you desire?

karnsculpture

Discuss the situation with your current mortgage adviser - they may be able to port your present deal over to the new property, which would allow you to keep the interest rate. If you need more money you will need to borrow more with them which will most likely not be at the same rate - but would possibly still work out cheaper than going for a whole new mortgage.

If you want a second opinion see a different mortgage adviser as well - there will be no obligation to go through them but they will be able to give you more options.

TocH

Thank you, you 2 for the advice. In answer to Leighthal we have already priced it well under similar properties in the area and Karnsculpture I have rung to make an appointment with my building society. Will also ring around others.

Thanks again

Doozergirl

TocH wrote: »

Thank you, you 2 for the advice. In answer to Leighthal we have already priced it well under similar properties in the area and Karnsculpture I have rung to make an appointment with my building society.

Great as you are already with them, I'm sure there is something they can do.

TocH wrote: »

Will also ring around others.

There are Whole of Market mortgage brokers that can search the whole market for you as well. Not only are they likely to get you a better deal because most high street lenders are very limited in what products they can offer, they will save you a lot of time. Martin recommends using a whole of market broker Try and get a personal recommendation or ask on the mortgages board

tonycosgrove

Doozergirl wrote: »

Great as you are already with them, I'm sure there is something they can do.



There are Whole of Market mortgage brokers that can search the whole market for you as well. Not only are they likely to get you a better deal because most high street lenders are very limited in what products they can offer, they will save you a lot of time. Martin recommends using a whole of market broker Try and get a personal recommendation or ask on the mortgages board

Just used L&C to re-mortgage.

I downloaded the MSE re-mortgage guide read it and promptly contacted L&C who were fantastic.

I got the Woolwich 0.17 above BBR on a lifetime tracker with no penalties or fees (except a £35 fee to the Woolwich) and I can walk away at anytime providing I pay a £275 admin fee.

The service from L&C was first class.