Mortgage finances advice - moving in with parent & debts

stevetuk

I wondered if anyone can help with this situation? My elderly mother and I are planning to sell our individual properties and move in together in a larger house.

We've found one that is perfect with an annexe for £450K.

Her property has already sold for £335K. She has £120K equity release to pay back from this, so a total of £215K realised.

Mine remains on the market but we're assuming a sale below asking price of c.£235K. Of this I have £92K mortgage to port across and the property would be in my name.

I have debts of £35K to pay off.

I could extend my mortgage to cover the shortfall but I can't extend the mortgage while I have debts. I can't pay the debts without selling the house, and I can't offer on the new property without having sold it. Plus I'd then have to somehow pay the debt and then request the mortgage all before completion.

I'm really not sure how the order of things would work or if this is even possible to accomplish. I'm hoping someone might be able to offer me some advice in this very unusual situation (I know, sorry!).

ACG

Also you could find your lender does not like properties with an annexe (not many do). 

Who said  you cant offer on the property without having sold yours? The agents have a legal obligation to put your offer forward, they will likely tell the vendor you are not in a position to proceed, but that might suit the vendor, they might be waiting on theirs to sell before they make an offer on a property. 

stevetuk

Thanks, I hadn't realised that about an annexe. Searching online suggests this isn't a problem though. I'll double-check with my lender but in the meantime more worried about the current ordering of events with clearing debt then extending mortage to be able to offer on this property.