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Second-Time Buyer

3 replies

KupoNutCoffee · 21/07/2021 20:02

I'm not sure where to post it, and tbh at the moment its more hypothetical than a I-need-to-know-right-now-or-else. But I like being prepared, and fb is determined to keep showing me house for sale, and giving me ideas.

So how buy your next home? Or more specifically, how do you pay for it? Especially when you're buying a property that would cost more than your existing?

I can't seem to find anything that explain whether I need (another) £10k in the bank, or if it is all meant to come from the property sale. Its all first time buyers and re-mortgaging when I search....

I sort of see it like this - current mortgage £150k, House sells for £180K Pretend New house, £250K.

Sale pays off current mortgage leaving £30k - this "spare" £30k acts as the deposit on the new house. Does it all have to go to the deposit? Or only an agreed amount - so you say i'll put down £20k deposit and the remaining £10k can be used to pay fees and whatever?

Or am I meant to have £10k in the bank ready to pay fees and stuff up front?

Wish they explained this in school instead of making plastic spirals in DT....

OP posts:
Bargebill19 · 21/07/2021 20:06

www.fairstoneni.co.uk/7-key-steps-to-buying-your-next-home/

Here you go!

Bargebill19 · 21/07/2021 20:07

Stamp duty may have changed Bands/rates. So check !

Usual2usual · 21/07/2021 20:11

Either or really we are about to buy our 4th house paying a lot more than we did for this one, we are paying deposit and fees mostly from the profit we are making because the market is good but are putting in some savings too.

When we moved to my current house we didn't have enough equity to pay a 10% deposit on this house never mind fees etc so we had to save up quite a bit first.

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