question?

celica1994

Hi just curious.

I bought a house 2 years ago in finglas for 120k . got a 90 percent mortgage, 2 percent cashback. anyways im looking around the property value on my road and it seems all the houses are going for over the 200k mark now. im looking down the country and the property is considerably lower priced, i would be curious in selling and moving if the property price gap gets good enough. my main question is this. how do i go about sellling one house and buying the other? and how does this affect my mortgage? is there a big legal process involved and is it costly? thanks in advance for any advise

Samuel T. Cogley

You sell your house, and buy the new house essentially on the same day, it's called a chain. If you need a mortgage for the new property you'll need to apply again, the old mortgage is extinguished when you sell (and the proceeds of that sale go to clear the outstanding mortgage - you're left with the profit).

celica1994

Samuel T. Cogley wrote: »

You sell your house, and buy the new house essentially on the same day, it's called a chain. If you need a mortgage for the new property you'll need to apply again, the old mortgage is extinguished when you sell (and the proceeds of that sale go to clear the outstanding mortgage - you're left with the profit).

ahhh so basically ya reapply all over again for a new mortgage?

Samuel T. Cogley

celica1994 wrote: »

ahhh so basically ya reapply all over again for a new mortgage?

Yep with the equity from the old house as a deposit.