Buying using another home as collateral

[okiedokieme]

Has anyone done this?

I can't sell my family home because my dd needs to live there, stbexh has agreed to stay there until she finishes her masters (she has mh issues) when the house will be sold and I get the first £250k. Has anybody used a broker to get a 25 year mortgage (paying isn't the issue) despite being older on the understanding it will be paid off once the house sells in 2 years time? As I said paying the mortgage isn't an issue, just couldn't afford repayments on a 6 year mortgage for £250k! Anyone suggest a broker, bank doesn't offer any suitable products, can only do a normal mortgage and we fall foul of max age/retirement criteria.

[Shelley54]

You can't get a mortgage on the basis of owning another home.

You could mortgage either the new house of the old house, but you would need to meet criteria on affordability (and you suggest you won't meet this).

Also mortgage companies don't like arranging mortgages that the borrower says they'll pay back in two years time in full.

Speak to a broker but the info you've given here suggests it's not going to happen.

[Sicario]

Things have really changed with banking. I was turned down flat for a similar arrangement which came as a complete shock to me. Short-term lending, like the old-fashioned bridging loan, is now frowned upon.

The moment you tell them you intend to pay back after the sale of your other house it's a big fat NO.

A specialist broker might be able to help.