Renting out in order to buy!

[jonathan]

Hi Guys,
We have found a new property we would like to buy in France but need to sell our existing house first. However as we need to move quite fast to be able to put in an offer for the new house the estate agent in France has said we could rent out our existing property which would then cover our mortgage payment and enable us to purchase the new house with Credit Agricoles agreement and then hope someone would buy are existing house during the rental period.
Has anyone else been in such a situation?
Cheers

[moises]

Hi Jonathan,
You might also (if you haven't done so already) want to check exactly what Credit Agricole's position would be - I work for an estate agents and have had clients doing similar things, but the bank may still take the UK mortgage into account on the debit side and not be keen to take a temporary rent into account on the credit side, if you see what I mean. Though this might be academic depending on your general income anyway.
Have you also considered a bridging loan ("pret relais" in French)? Our local CA offers a 2 year deal which is not bad as far as I can tell.
See you soon

[king2163]

You need to know how credit scoring and your credit report works to get out of debt and improve your financial future. Here is what you need to know.

You may be wondering how some people can walk into a lending institution and get credit, or loans, while others that have the same income or job seem to get turned down or receive a higher interest rate. It is all about the risk factor and whether you are a safe risk, or a bad one, when you are being loaned money.

Creditors use a credit scoring system that gives them an idea of whether the person who wants to borrow money is likely to make their repayments, whether they have a history of not making repayments, or are likely to be unable to make the monthly repayments.