Bridging finance

My in-laws are looking at downgrading their home. They have two properties which are fully paid off and are looking to purchase another one and then sell their main dwelling. What financing options are available to them and who provides them? Bridging/Equity Release, etc

Any advice is much appreciated.

Why don't they sell, rent and buy? Or move into the second property temporarily.

I am in a similar position. I would like to purchase a new smaller property, move in and then put my home on the market. Looking at Bridging for about 1 year. I could meet monthly interest payments. Equity after move would be about €500k and I could be tempted to put it on deposit with the institution that lends me the money.

Kimmagegirl said:

I am in a similar position. I would like to purchase a new smaller property, move in and then put my home on the market. Looking at Bridging for about 1 year. I could meet monthly interest payments. Equity after move would be about €500k and I could be tempted to put it on deposit with the institution that lends me the money.

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You could approach your own bank - or indeed any other bank and put this to them.

My information, on the ground, is that the banks are not doing bridging. At all. They might be prepared to take a mortgage on your current house and on the house to be acquired with the mortgage being discharged in full. That may depend on your age and earning capacity.

Overall, it seems that if someone wants to downsize, they need to sell first and then go into the market to buy.


mf

Thanks mfi. I would have 50% of the cost of the new house and would just need the other 50% plus funds to totally refurbish the house that I would be buying. Stay in my existing house until the work was done and then move. I have no real income and I am of an older age.
I guess the only alternative is to sell first, put the furniture in storage and rent somewhere.
It is just that you read of older people living in big empty houses and are unwilling to move and allow the younger people with families to trade up. Maybe if it was made easier for them to trade down there might be more movement in the market.