Preparation

Consolidate Your Financial Position

Carefully examining your financial situation

Once you have decided that selling your property is definitely the correct decision, you should take a good look at your finances and find out how much you are able to spend on a new home. Communicate with your mortgage provider and find out how much you still have outstanding on your current mortgage and whether or not you will be subject to a penalty for early redemption as well as looking at similar houses in your area and finding out their selling prices. This should enable you to work out roughly how much you will be left with and how much you can afford to spend on another home. Work out what size mortgage you are likely to require for any new property that you have in mind. Shop around mortgage lenders and find out how much they might be prepared to lend you in order to check that you can actually afford to purchase the type of property that you have your heart set on.

Should You Stay In A Housing Chain?

Should you buy straight away or rent for a short periodAlthough you may feel that the pressure is on to stick to time pressures, stay in the housing chain and buy at the same time as you sell, in fact it could make more sense for you to sell your home and rent for a period while you search for your perfect property. This option may initially sound terrifying, inconvenient and expensive but it may actually be less stressful than staying in the chain. You will eliminate any time pressures to buy a house which may result in you choosing a less desirable property in the panic of facing a deadline. It will also mean that you do not have to accept a lower price than your property is worth simply because you have had your offer accepted on your dream house. A buyer who is no longer in a housing chain will also be much more appealing to sellers who are more likely to accept your offer if you have no need to search for a buyer for your existing property. Of course there are problems associated with breaking the chain, not least the added expense and hassle of having to rent a property while you look for a new home. Also, the longer it takes to find a new property, the more chance there is of property prices rising and you may find that you are no longer able to afford the type of property that you have set your heart on.