Three Ways to Break Out of a Stationary Property Chain


A broken property chain can be the ultimate nightmare scenario when you are looking to relocate. But even when a chain break scenario does not halt your plans entirely, a stationary or slow-moving property chain can be almost as bad.

Moving to a new home can be stressful at the best of times. Throughout every step of the process, you are painfully aware of the fact that your destiny is almost entirely in the hands of others.

If you cannot quickly find a buyer for your current home and they cannot find a buyer for their home (and so on), the whole thing grinds to a halt.

Worse still, the longer and more complex a property chain is, the higher the likelihood of a broken link. Unfortunately, one broken link is all it takes for the entire thing to come crashing down for everyone involved.

Thankfully, there are options available for those looking to break out of a stationary property chain entirely. Specifically, there are three things you can do to keep things moving and reduce the risk of watching your dream home slip through your fingertips:

1.     Use a bridging loan to buy your next home

If you are yet to find a suitable buyer for your current home but have complete confidence in its market potential, why not use a bridging loan to buy your next home? Bridging loans are specialist short-term secured loans, which can be organised and accessed within a few working days.

It works a little like a mortgage, only significantly faster and nowhere near as expensive. You take out a loan against your current property, you use the funds to buy your next home and you repay the loan when your previous property sells. Monthly interest can be as low as 0.5%, adding up to outstanding value for money when repaid promptly.

2.     Sell your home and rent temporarily

It could also be that you have found a suitable buyer for your current home, but are yet to find the home of your dreams to move into. In which case, the best option could be to accept the bid on your current home, complete the transaction and move temporarily into a rental property.

This will ensure you avoid the risk of the offer of your home being withdrawn, and no equal or better offer being placed at a later date. It also gives you all the time you need to focus on finding your next home, with no need to rush.

3.     Consult with an independent broker

The specifics of your current financial circumstances combined with your main priorities could pave the way for a long list of options to explore.  This is where the help and support of an experienced independent broker could prove invaluable.

Bespoke financial products for escaping property chains are available in a wide variety of forms and configurations, tailored to meet the individual requirements of each applicant. Whether you are facing the very real prospect of a broken property chain or simply looking to opt out of the chain entirely, your broker will advise you on the best course of action.

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