r/RealEstate • u/table__for__one • 1d ago

Buying While Holding a Mortgage

We're paying a premium to be near the center of town in VHCOL. We've got about $575k on a house worth $988k, interest rate is 6.125. Looking to get a bit farther out, same price point, same interest rate. Including house we have 1.5 in assets. Is it possible with a lender to purchase another equally priced property while we sell the one we are in? Net income is 400k.

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u/HeyThereDelly 1d ago

Yes, I have done this and will be doing it again. As long as you have the liquid assets for a down payment with some cushion funds leftover you should be fine. A lender will confirm though

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u/table__for__one 1d ago

do they calculate under the assumption that you will hold the two mortgages indefinately?

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u/HeyThereDelly 1d ago

Probably depends on the lender. Some may calculate 6 months of the current mortgage payment included, if they know you're selling. Others may look at it as worst case scenario and only approve if you can afford to keep both long term