# Small neg equity: bought 135k worth 100k outstanding mort 105k. Will bank allow sale?



## barbiedoll (2 Jul 2011)

A number of years ago i bought a house for 135,000,at the moment i still have outstanding approx 105,000.

I would like to move to the country looking for a cottage etc for approx 90,000 to 100.000. I am hoping to sell my house for 100.000.

Would the bank allow me to sell? I have no deposit for move etc but i am in a steady full time job and have never missed payments etc.

I would have approx only 4-5000 negative equity would the bank transfer this to new property and would bank require deposit for new property?

Would be grateful if anyone can give me information or advice on this matter.


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## 2homes (5 Jul 2011)

Hiya, we sold our house for less than mortgage, the bank happily lent us the difference as a loan - we are now renting and pay this amount monthly to our original mortgage company.


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## barbiedoll (6 Jul 2011)

Thanks for your reply,Could i ask approx how much less you sold for,i would not really like to rent but to buy somewhere small a cottage etc for about 90.000 euro.Anymore information would be great if someone can give it.
thankyou


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## 2homes (6 Jul 2011)

No problem asking. We sold for 165K but had mortgage of 190K. Put some of our savings in and borrowed the rest. They were very willing to do it over whatever term we wanted etc.  All I had to show initially was the sale agreed letter from estate agent. Best of luck!


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## Oscaresque (6 Jul 2011)

Hi 2home. Congratulations on your recent move.

Can I ask who your bank is? Do you have 2 incomes, any other dept etc.? Did they ask you why you needed to sell the house? I'm just trying to get a fuller picture as I may be approaching my bank again to ask them if I can do just that.

Thanks,

O


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## 2homes (7 Jul 2011)

Hi, to be honest they didn't ask us anything about our incomes or whether they had changed or to that matter why we wanted to sell. We had always paid our monthly repayments etc so they just loaned us shortfall - prob not much help to you really.  I would say they happy to get some money back into the bank.


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## 2homes (7 Jul 2011)

Sorry Oscaresque, it was INBS, found them good to deal with.


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## moneyhoney (8 Jul 2011)

barbiedoll said:


> A number of years ago i bought a house for 135,000,at the moment i still have outstanding approx 105,000.
> 
> I would like to move to the country looking for a cottage etc for approx 90,000 to 100.000. I am hoping to sell my house for 100.000.
> 
> ...



If your bank allow you to sell at a shortfall, you would most likey have to take out a loan to cover the rest - rather than transfer it to a new property. Even if they allowed you to do this, you still need a deposit of at least 10% (closer to 20% for some lenders) 

Your best bet may be to deal with this current mortgage now & defer any plan to buy again until you have negative equity paid off & a deposit saved. Nothing wrong with renting for a while!


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## barbiedoll (8 Jul 2011)

Many thanks for your reply,this has now answered my questions
Thanks again


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