Deposit for house selling and buying

[rachel36]

can someone please tell me...

do i need to physically find a cash deposit to move house. I am selling a house and buying another. Thanks

[kira000]

As long as your mortgage is for less than the value of the home you are selling, then you have "equity" which worksas your deposit. So you need to workout how much equity you have: How much mortgage you have paid off + any rise in value of your house (how much you realistically think it will go for).. and work with that as your deposit figure.

If you are in the unfortunate position of not having equity, i.e the price of your house has fallen below what you paid, and below the amount you have paid of your mortgage, then yes, you would need to find deposit money elsewhere.

[dzug]

It depends on the seller of the house you are buying (and his solicitor) as to whether they insist on a cash deposit on exchange of contracts or whether they waive that requirement which is normally in the contract.

If they are keen enough to sell they will agree.

[sandmaster]

dzug is right - to a degree. You will find it very difficult to get a 100% mortgage. If you have equity in your house this may act as your deposit but in these stressed days you will need to have sold your house and get completion either before or at the same time as your purchase.