With a lot of our work currently comprising of assisting clients move safely to a bigger home, here is another clip about the topic. Common themes to work on if you are about to embark on this exciting journey.
Handle on numbers
Please forget about CV’s, you need to start looking at actual sales data for the house you would want to buy. And the house you want to sell. Getting a good handle on what is possible also means sitting down with a good mortgage adviser(like ourselves). Look at the repayments at slightly higher interest rate as these can move through the adventure.
Holding the old one as an investment
Often clients can fall in love with their home and find it hard to let go. Think objectively, look at the current value. If you lived in your dream home, would you spend your currents home value on buying a rental investment? Does the rent make sense in terms of the value locked in that house.
Understand risks
Some buying selling methods can have risks. Bridging finance can mean that you buy first and then have time to sell. But what if the sale price is much lower? After you have already taken more debt this can squeeze the budget. A similar issue can arise if you are buying subject to selling, however at least with the correctly worded contract there might be some outs.
