Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie
Hi all! We have been experiencing an issue on site where threads have been missing the latest postings. The platform host Vanilla are working on this issue. A workaround that has been used by some is to navigate back from 1 to 10+ pages to re-sync the thread and this will then show the latest posts. Thanks, Mike.
Hi there,
There is an issue with role permissions that is being worked on at the moment.
If you are having trouble with access or permissions on regional forums please post here to get access: https://www.boards.ie/discussion/2058365403/you-do-not-have-permission-for-that#latest

buying a new home, selling existing and keep existing morgage

  • 10-08-2015 10:27am
    #1
    Colonel_McCoy
    Registered Users, Registered Users 2 Posts: 751 ✭✭✭


    I already own a property ( neg equity of course) lets call it Property A and I want to buy another, Property B for a similar price of the property A (current value in neg equity)

    Question is
    Is it possible to sell Property A and buy B while transferring the mortgage From A to Property B.

    For example
    Existing mortgage is 210
    Say property A is sells for 120K
    I buy B for 130K and pay the difference of 10K from savings.

    Can I then transfer the mortgage over from A to B and continue payments?


Comments

  • #2
    seamus
    Registered Users, Registered Users 2 Posts: 68,317 ✭✭✭✭seamus


    Short answer is no, you can never "transfer" your mortgage from one property to another. A mortgage is specific to the property on which it's obtained - once the property is sold, the mortgage is cleared.

    Your mortgage on property B is always a new mortgage on that property.

    However, most banks are offering products that allow you to "bring" your negative equity to the new property.

    What actually happens is this:

    Existing mortgage of €210k.

    Property A sells for €120k.

    You buy property B for €130k (10k deposit). The bank give you a new mortgage of €210k. Of that, €120k goes to the vendors of property B to buy their house, and €90k goes to the bank to clear the mortgage on property A.

    Now, chances are that €90k is just being moved internally in the bank from one account to another, but for the purposes of finances, you are getting a new mortgage for €210k.

    This means that your rates will change, and if you have a tracker you will be paying more. BOI, for example, allow you to keep a tracker rate on the original mortgage amount for five years, but they throw another 1% on it.


Advertisement