Do you want to sell your current property and buy another at the same time? You may be moving to a different place or country for a career or other purposes. However, selling the property the minute you put it on the market is impossible. Navigating the purchase and sale could be difficult at times.  It requires the right expertise, planning, and strategy. If you have been struggling with that lately, the blog may help.

Focusing on clear communication, planning, and setting realistic expectations is the basis. You need to be on top of your finances. Usually, it takes time to get the funds after the property sale. What if you want to buy a property quickly? Here, financial facilities like bridging loans may help. It helps you bridge the property purchase price without waiting to get the money by selling your property.

What is bridging finance?

A bridging loan is a secured loan with a repayment tenure of 12 months. It is usually used to buy another property before the sale of the current one. A bridging loan, as the name suggests, helps you bridge the amount required to buy a new property. One can do it before selling the current property.

You can also use a bridging loan to renovate the current property. It may help you sell it at a better rate. The loan is useful in purchasing a property at an auction. It helps you pay the basic price without relying on the property’s sale. Later, you must repay the dues in full within 12 months.

Can you get a bridging loan with bad credit?

Yes, you can get a bridging loan despite a bad credit score. It is a short-term secured loan that requires one to pledge a property.  So, you can stake your currently owned property as security and get the loan. The amount you get depends on the value of your property and the time. The loan providers calculate the loan-to-value ratio while providing the money. You may get up to 80% of the property’s value as the loan amount. It entirely depends on the condition of the residential place.

On bridging loans, you may fetch low interest rates as it is a secured loan. However, just like the property, the exit strategy is also important for these loans. You would need to explain- How would you repay the loan dues timely?  You need to time the sale and plan the repayment to qualify for the loan.  Later, you can repay the dues from the sale of the property within the year. Thus, if searching, can you get a bridging loan with bad credit online? The answer is Yes.

How to navigate house sale and purchase without worries?

If you are selling the house for the first time, it could be challenging. However, you can still take the expert’s advice and get the inspections done. It may help you get a fair idea of the price you can expect to sell it. Here are the steps that may help you navigate the sale and purchase of a home stress-free:

1)     Conduct property valuation

You can use an online property valuation tool to identify the approximate costs of your home. It is if you cannot hire the advisors. Next, contact at least 3 local real estate agents for valuations. They analyse the unique features of the property and accordingly decide the selling price. Some value-adding aspects automatically increase the price of the property. Having 2-3 agents may help you get a fair price at least from one.

• Work out your budget/ finances

The next step is analysing your budget according to the valuation. Selling a property also requires you to spend on legal aspects. You will need to analyse how much you want to spend on your next house. Also, factor in the mortgage if you have an ongoing one. Additionally, you cannot forget about the deposit. You may need one if seeking a bridging loan. Moreover, in exchange contracts, it is mandatory to provide one.

Check whether you can get the deposit on the house you want to sell. You can use the same for the new house mortgage. However, you may require a slightly higher amount to pay for the new one. Apart from this, consider the solicitor's fee and taxes while deciding the budget.

Thus, accordingly, you must plan for the costs and save money before going for a property sale or purchase.

• Consult a mortgage broker for ease

It is ideal to check on mortgage quotes for buying a new property. If you're clueless about the whole thing, hire a mortgage broker. He may help you understand the best mortgage providers and explore options. Mortgage providers may also help you understand the possibilities of remortgaging.

Check whether it is beneficial for your finances. You can also port your deal with a new mortgage dealer for better prices and low interest rates. However, know that taking another mortgage before the current one ends may result in an additional charge. Check whether you can manage both.

• Hire the conveyancer

After getting basic quotes from the estate agents, checking the mortgage and planning cost, check the conveyancer. You may find a reputable one by comparing reviews. Avoid going with the cheapest one always. Instead, check the portfolio and analyse the number of speedy house sales he excelled in. It will help you spot the right one. Identify the documents required and get them in writing to avoid any confusion.

• Prepare the required documents

It is generally ideal to ensure all the documents are in place before setting up your home in the market to sell.  Prepare at least 2 months before to avoid the delay in selling the home. It is because you may need title deeds, planning permissions, guarantees, performance certificates, etc.  Here are some documents to maintain while selling and buying a house:

Some of these documents, like insurance, planning certifications, and mortgage paperwork, may require sufficient cash. It is hard to get so much paperwork done without a lump sum.  If you lack that, explore external finance solutions for low credit scores.

You may need one if you struggle to save enough. Explore and get a direct lender for bad credit loans with guaranteed approval online. You may get the cash immediately despite pending debts. It may reduce the time it takes you to get the planning permissions and licenses.     

• Exchange and complete the move

Lastly, set dates, arrange movers, and exchange contracts. Pay the deposit on exchange contracts, which is usually 10% of the purchase price. If upsizing, the new purchase price could be high. In that case, it may take you longer.

Bottom line

If you want to buy and sell the home at the same time, the blog may help. It lists the clear path to keep the stress in check. You don’t need to worry and get confused. Instead, identify how you can begin the process with the help of solicitors, real estate agents, and legal advisors.  It may ease the thing for you.