how to buy new house before old one sells.

[toulouse]

Hi all,
Myself and my husband bought a 3 bed semi for €257K in 2006, now worth €180-€195K. We have €40,000 left to pay. The mortgage is with Ulster Bank, 4.5% interest.
The house is 800sq ft and is too small for out family of 5, we want to upgrade.
We have €14,000 in savings and save €650 per month.
We don't have any other loans.

We have seen a property we want to buy, it's on the market for €200K. It will need a futher investment of €150K to make it suitable for our family.
We both have permanent jobs, husband's salary is €35,000 and mine is €55,000 however currently I take one day parental leave per week.

Can anyone advise me on how to go about buying this new property? By the time my house sells the house we want to buy could be sold.
Are bridging loans a thing of the past?

 

[Knuttell]

Hi all,
Myself and my husband bought a 3 bed semi for €257K in 2006, now worth €180-€195K.

How sure are you of the valuation,property prices fell 60% in Dublin and 50% and still falling outside it.
You really need to be looking at the property register to see what similar properties have sold for but perhaps I am wrong and you have already done this?

Regarding the parental leave,you're HR dept will provide you with a letter explaining this drop in income.

Childcare is something most lenders factor in and want a breakdown of this cost.
PTSB is the only one that doesn't bother with it when underwriters look at affordability...or so I have been told.

You are best off getting a good mortgage broker and putting the house on the market priced to sell I havent heard that term bridging loan in a long time.

 

[toulouse]

Thanks for replying,
Sorry we actually made our first mortgage payment in 2005 but had secured the house with a deposit at the end of 2004. But they have fallen from a peak of €365K in 2007. The valuation is correct though as we checked it out for the property tax.
Childcare is €400 to €500 per month.