So you’ve found your dream home. There’s just one problem: You haven’t been able to sell your house yet! So what do you do? In this article, we hope to help you figure out how to move if your house hasn’t sold yet in the North East.
Moving can be tough when you are trying to buy and sell a home all at once. One immediate solution, if you have the funds and a willingness to jump through hoops, you could get a second mortgage and purchase the house as a “second home”. However, expect lots of hoops, banks and the government don’t like this.
In all honesty, you don’t have many options, and your best is certainly just to wait. But at North East House Buyers we understand that everyone’s situation is very different.
How to Move if Your House Hasn’t Sold Yet in the North East
First off, to qualify for a second mortgage you will need to be in a very strong position financially.
You will need a full deposit to purchase the second home (without using equity from the sale). You will also need to pass all the lenders affordability requirements and their stress tests, alongside your current mortgage payments. If you don’t, they will not lend. Also, you will have to pay a higher rate of stamp duty. You can claim this back later, as long as you sell your other house within 18 months. But you will still need the funds at the time.
Really, this option only works if your current mortgage is very small and you have strong access to funds. If you do have only a small mortgage, it would probably just be better to sell your current house for a bit less.
Try to offer the seller of the second home, the option to rent it back from you for a few months.
Depending on their situation, they might love the idea of being able to stay in their home while they shop for a new one and while you wait for a buyer on yours. This would certainly be a better option than a second mortgage.
However, this only works if the seller is able to move without selling, i.e they have another house ready to move into without needing funds. Which is rather unlikely in our experience!
Price your current house for less than you maybe could sell it for.
If market value for your house is, say, £150,000, but you really want/need to move. Price your house for £140/130,000 and watch it fly! Granted, as above this once again only really works if you have a very small mortgage. But it is the only method of all the above that is pretty much guaranteed to work.
At this price, you will be very likely to attract a professional buyer (like us!), who will be very fast and very secure! Making your dream move a reality.