Can someone explain this please?

Beatle_Ray

Hello, can someone explain how this works please, i have a house which is valued at £400K, the mortgage sum owed is £105K with ten years left to pay, i have 13 months left of the current mortgage deal, if i sold this property at £400K and bought the next one at £450K once the sale has gone through does the balance of what was owing, less any costs come straight to me, i.e. will the difference of £295K be put into my bank account less any deposit i put towards the new property, could i for example put down £200K as a deposit and keep the remainder for potential upgrade work on the new property?
Is that how it works?
Thanks

ACG

It is 2 seperate transactions with your solicitor in the middle.
You sell your home for £400,000 and that money comes from your buyer to your solicitor. Your solicitor then pays £105k to the mortgage lender.

If you are not buying at the same time, they will send you the £295k less costs.
If you are buying at the same time, they will hold back the amount you want to put down as your deposit and ant to pay any costs and then transfer the rest to you.

It sounds like you have it right, but just thought it may help to expand and just make sure.