Quick property ladder question

[No1newts]

Probably an obvious answer but wanted to make sure. I'm wanting to move up the property ladder so (with some made up numbers here) lets say I wanted to sell my 200k property and move into somewhere worth 300k. Do I need to apply for a brand new mortgage and as part of that get another 10% deposit? So meaning selling 200k prop would leave me with 20k plus whatever I paid off the mortgage and I would then need to find the rest to make up a 30k deposit?

Cheers

 

[Destination]

Yes or xfer your existing mortgage, and take a second one combined into it to make up the difference.

 

[No1newts]

Yes or xfer your existing mortgage, and take a second one combined into it to make up the difference.

I imagine I would need a deposit for the second mortgage?

After you have 2 do they combine or are you essentially paying off 2 at the sane time?

 

[PapaLazaru]

I imagine I would need a deposit for the second mortgage?

After you have 2 do they combine or are you essentially paying off 2 at the sane time?

Depends on your lender. Some will combine, others will give you a separate mortgage, so you have two payments. This is only until you come out of any discounted fixed period, at which point you can either move lender and combine, or get your lender to to the same.

The mortgage rate you get now will not be the same as your existing one.

As for your deposit, work out the numbers based on the size of your current mortgage, your current property value and the price of the property you want. This is assuming you have no issues regarding affordability.

 

[No1newts]

I can easily save whatever amount needed just more equals longer save time.

Probably looking at finding 10k on 2.5 but its irritating waiting for the money when we are ready to move on. Of course if my property sold for more than I bought it for that would help but I haven't had it revalued, bit of work has been done to it though.