So this idea of knocking down our house and building a new one (same waterfront lot) is getting more traction, and we are now fishing for quotes. I'll spare the real estate/reasoning details on that. We have a mortgage of $225k now and it is assumed that if we knock the house down, we will need to pay it off. We don't have any idea of the cost for building new, but it it is pretty certain that it will be beyond our available (tax free) cash by $200k-$400k.
Probably.
So I plan of visiting our bank soon (who has our mortgage now) and inquiring about getting a mortgage. We are now both retired, have a very comfortable portfolio/income stream. Sure we could raid our portfolio for the extra, but it would push us WAY up in the tax brackets; don't like that idea. Having a mortgage the size that we have now would be zero problem with our finances.
We have no pension or annuities. I manage, and pull from, our portfolio periodically through the year, dump it into the local bank savings account and then create regular bi weekly "paycheck" transfers into our household checking.
So my question is has anyone sought a mortgage in similar situations. I would think that the bank would want to see some kind of guaranteed income stream to approve a mortgage. Has anyone done this? I wouldn't rule out getting a modest annuity just to make this work, but if the bank wants to see $10k/mo of guaranteed income to give us a $2k/mo mortgage, I probably won't do that.
Probably.
So I plan of visiting our bank soon (who has our mortgage now) and inquiring about getting a mortgage. We are now both retired, have a very comfortable portfolio/income stream. Sure we could raid our portfolio for the extra, but it would push us WAY up in the tax brackets; don't like that idea. Having a mortgage the size that we have now would be zero problem with our finances.
We have no pension or annuities. I manage, and pull from, our portfolio periodically through the year, dump it into the local bank savings account and then create regular bi weekly "paycheck" transfers into our household checking.
So my question is has anyone sought a mortgage in similar situations. I would think that the bank would want to see some kind of guaranteed income stream to approve a mortgage. Has anyone done this? I wouldn't rule out getting a modest annuity just to make this work, but if the bank wants to see $10k/mo of guaranteed income to give us a $2k/mo mortgage, I probably won't do that.