bluetonium
Well-Known Member
This is a topic that completely baffles me, so if anyone can help I would be very appreciative.
We are looking to move home, upscale if we can, have had our house valued and have some saved up. But we have a cushy mortgage rate that our provider says we can keep if we move house and take out another mortgage with them for a bigger place. Of course they would say that!
But I can't figure out the figures in my head, can somebody explain?
Say, to keep things simple, that our house is valued at £100k and we get that for it, our outstanding mortgage is £50k and have another £10k saved up, and we are looking at a houses up to £150k.
Does that give us £50k equity from moving house + £10k from the saving, so we can do at most a 10-40% deposit (forgetting moving and legal fees for a minute), transfer our £50k mortgage and then need a new mortgage deal for the balance to top it up to £200k (so up to £40k additional required from a new mortgage agreement)?
As I say, confused!
We are looking to move home, upscale if we can, have had our house valued and have some saved up. But we have a cushy mortgage rate that our provider says we can keep if we move house and take out another mortgage with them for a bigger place. Of course they would say that!
But I can't figure out the figures in my head, can somebody explain?
Say, to keep things simple, that our house is valued at £100k and we get that for it, our outstanding mortgage is £50k and have another £10k saved up, and we are looking at a houses up to £150k.
Does that give us £50k equity from moving house + £10k from the saving, so we can do at most a 10-40% deposit (forgetting moving and legal fees for a minute), transfer our £50k mortgage and then need a new mortgage deal for the balance to top it up to £200k (so up to £40k additional required from a new mortgage agreement)?
As I say, confused!