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I have found a property but not sold my existing home. What are my options? | Top
One of your options in this situation is Bridging Finance. This allows you to purchase or construct a new home even if you have not sold your existing home. Care should be exercised when seeking bridging finance and your What If We Finance Mortgage Broker can explain all your options and things you need to consider.
What is Bridging Finance? | Top
Bridging Finance is short term finance (usually lasting between 6 to 12 months) which allows you to fund the purchase or construction of a new property until you sell your existing home.
How does bridging finance work? | Top
There  are different approaches to Bridging Finance and these vary from lender to lender. 

Approach  A – this involves the lender financing the existing property and the property you are buying as security with one loan to cover the finance. This is loan (often known as Peak Debt) lasts for 6 to 12 months. Different lenders have different repayment requirements.

Some lenders require no repayments and interest is added to the loan. Once you sell your property you the proceeds of the sale are used to reduce the Peak Debt.

The loan is now converted to a regular home loan.

Approach B – is similar to  Approach A but the lender requires regular repayments on the existing home loan and interest is added to the loan for the new property. 

Approach C – is similar to Approach A but the lender requires repayments on the Peak Debt.

You must be cautious with Bridging Finance because if you cannot sell your property for the price you envisage or within the agreed time frame the debt may create a huge strain on your finances.

Contact your What If We Finance Mortgage Broker to understand more about the suitability of bridging finance for you.
How do I make a deposit on the new property? | Top
If you do not have sufficient funds to make the deposit your What If We Finance Mortgage Broker can always organize a Deposit Bond. Contact What If We Finance for more information.
What is a Deposit Bond? | Top
 Basically, a deposit bond is like an insurance policy. The deposit bond is the policy document that tells the vendor that the insurance company will pay the 10% deposit to the vendor in any of the circumstances where the deposit would ordinarily be forfeited by the vendor. 

No money actually changes hands under the deposit bond. Instead, all purchase funds are paid at settlement. In the ordinary course of events settlement takes place, the purchase price is paid in full, and the deposit bond simply lapses.
For a $500,000 property and assuming a 10% deposit, a Deposit Bond may cost between $500 and $600.

Contact What If We Finance for more information.
Is it cheaper to sell my house, rent and then buy? | Top
This will really depend on your circumstances, the cost of the house, the size of your  mortgage and the state of the rental market.
Contact What If We Finance for more information and a detailed assessment of your situation.
     
     
     
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