Moving home with a mortgage How does it all work

woppo26

Right, my family is getting bigger so I need a bigger property.
I currently have a 3 bed house worth around £100,000. I owe around £65,000. Iv seen a house I want to view and hopefully put a bid on, but I’m totally clueless on how it all works. Could anyone give me some info as to what I can and can’t do please.

I’m not in any fixed term deal with my mortgage provider


Many thanks

kingstreet

You get a buyer for yours.

You find somewhere to move to.

You appoint solicitors. You apply for the mortgage you need to buy the new property. This will be the purchase price less the equity from your current property after the current mortgage is repaid, less any savings you want to put in.

Equity can be used to pay fees and stamp duty, if needed.

You exchange contracts on your sale and purchase with an agreed completion date which should be the same for the sale and the purchase.

Your buyer's deposit normally passes up the chain so you shouldn't have to put in any cash to be able to exchange contracts.

For completion, your solicitor draws down the new mortgage funds, repays the existing mortgage from the sale proceeds and puts the residue with the new mortgage funds to transfer to the vendor's solicitor for the completion of your new purchase.

Caz3121

Is your property ready to go on the market? do you think it will sell quick?
Depending on the interest in the house you have seen they may prefer someone that has sold and has mortgage agreed

csgohan4

As a vendor with your house not even advertised AND offer accepted, I would reject your bid straight off as you are not ready to go.


You would be in a chain if you have to sell yours to buy another


https://www.moneysavingexpert.com/mortgages/mortgage-guide

Thrugelmir

woppo26 wrote: »

Could anyone give me some info as to what I can and can’t do please.

Speak to a mortgage broker and ascertain what your potential budget is.