Yes you will need your 10% deposit and then you can take the balance from the equity from the house when the sale goes through.No, you're thinking of the equity required. You do need at least 20% but we will have more than that once we sell our own house.
Before we get to that stage though, you usually need to transfer a deposit of 10% to estate agent when you sign contracts - or at least we did when we bought first time around. I'm wondering if you still need that in cash when trading up, or if there is any allowance given for the fact you're selling a property.
The booking deposit (as it's called) might not always be 10% – I only had to put downBefore we get to that stage though, you usually need to transfer a deposit of 10% to estate agent when you sign contracts
To the estate agent? Is it not to your solicitor?you usually need to transfer a deposit of 10% to estate agent when you sign contracts -
Booking deposits are not the same as the 10% you pay when exchanging contracts.The booking deposit (as it's called) might not always be 10% – I only had to put down5%€5k. But I don't know what is typical and what is the maximum.
Booking deposits are fully refundable if you pull out of the purchase after you've gone sale agreed – as long as you do so before you sign contracts. At least, that's how it was a few years ago!
I taught second time buyers needed 20% deposit??We're hoping to trade up in the next while, and are aiming to complete the sale and purchase on the same day if we can. In order to do this, am I right in thinking that we should hold 10% of the price of the new house in cash, as we'll need to deposit this before we will have the sale proceeds from our current house?
We do have enough cash to cover it, but I dislike having that much cash sitting around when it could be put to better use elsewhere.
Thanks in advance.
This was discussed above in post #2 and #3.I taught second time buyers needed 20% deposit??
Most likely it's a new mortgage. Most mortgages are unique to the Borrower/property combination. The exception is Finance Ireland.Did the OP have to apply for a new mortgage on the new house or did he just carry over the loan. its that side of the process that confuses me.
Depending on their finances the lender may be happy too allow the op to have two mortgages or the lender may require that the first mortgage is discharged.will you in effect have 2 mortgages until the first house is old.?
As above it really depends on your capacity to service two mortgages or present the case for one the houses as a rental property.will the bank give you a mortgage to buy a home when you already have a mortgage on a home.
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