Buying without Selling

homemover_2

Hello all

I'm just after a bit of advice really. We currently have our house on the market with a relatively small mortgage. We've found a house that we love, have put an offer in which has been accepted...Hoorah!

But now the dreaded fear has started to kick in that we might lose it if we don't sell ours quickly (there's no upper chain you see).

Is there anyway we can buy new house without selling current house? I've tried to get some information from our current mortgage lender but they just said we would need a bridging loan, they don't do bridging loans, conversation closed.

I'm all confused. Does anyone have any ideas? I can provide more specific details if that helps.

Thanks

Orange2010

I would like to know the answer to this.

Gwhiz

Problem with bridging loans is that they are expensive and thus used for short term. If you have no real idea when your house will sell it could be very expensive.

If your existing mortgage is small and you can afford to why not take out a new mortgage on the second property?

Sounds like that's the only option you have if it's financially viable.

mlz1413

Bridging loans are very expensive and come with lots of clauses (I heard a story about one of these before xmas) unless you are sure you will sell your home quickly I would not go down this route.

Give a bridging company a ring (lots on the web) and compare the cost to just bringing down your current asking price.

Could you raise further finance by a loan that can be paid off when you do sell?

2nd mortgage sounds like a good option - will your earnings cover this?

I would say try not to get too emotionally involved in the new house until you have sold, it's easy to lose track when your heart starts ruling your head - get some firm ground rules set now and don't go a over them - even a little bit. Bit like buying at auction, it is all to easy to keep bidding and then when you have to pay at then end you realise how much you have spent.