I own a fully paid for one bedroom flat in which i live with my partner and baby son. I want to buy a house but if i sell my flat first, we will have nowhere to live and if i buy a house first then i won't be able to put a deposit (from the sale of my flat) down and will probably have to pay double of everything (electric/water/tv licence etc). it's going to be very difficult to do both at the same time but other people must have been in the same situation.Can anyone advise me on the best course of action?
2006-12-24 06:49:33 · 2 answers · asked by Dave G 1 in Business & Finance ➔ Renting & Real Estate
Talk to the realtor there is something call a contingency.
In other words until you sell your flat you wont' be putting the down payment on the house you want to buy. Many sellers will cooperate with a buyer wanting to do this because they want to sell and move on..
2006-12-24 06:52:37 · answer #1 · answered by Tapestry6 7 · 0⤊ 0⤋
You can get a bridge loan (at least that is what it is called in the US) which is a short-term loan against the property you already own, which you use as the deposit/down payment on the property you wish to buy. You pay the bridge loan off out of the money you get from the sale of the flat. Although if you can mortgage the flat outright and keep it and rent it out, and still buy the house, you will be glad for it--- if the rent is close to what the mortgage is, it is paying for itself but still your asset.
2006-12-24 07:20:52 · answer #2 · answered by dcgirl 7 · 2⤊ 0⤋