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    • Zreddington
    • By Zreddington 6th Dec 17, 3:35 PM
    • 12Posts
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    Zreddington
    Mortgage offer after reduction in price
    • #1
    • 6th Dec 17, 3:35 PM
    Mortgage offer after reduction in price 6th Dec 17 at 3:35 PM
    We have recently had an offer of £250k accepted on a house and received our mortgage offer last week for 85% LTV. However we have now negotiated the price down by £3k so I am just wandering what now happens with our mortgage as we were putting down exactly 15%. Is it as simple as calling the lender and have them reissue the offer to suit? Or is there another way around it?
Page 1
    • Surrey_EA
    • By Surrey_EA 6th Dec 17, 3:36 PM
    • 1,296 Posts
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    Surrey_EA
    • #2
    • 6th Dec 17, 3:36 PM
    • #2
    • 6th Dec 17, 3:36 PM
    That is likely to be the preferred route, inform lender of change in purchase price, and new offer issued to reflect new price.
    • Lokolo
    • By Lokolo 6th Dec 17, 3:39 PM
    • 19,846 Posts
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    Lokolo
    • #3
    • 6th Dec 17, 3:39 PM
    • #3
    • 6th Dec 17, 3:39 PM
    I did it via my conveyancer.
    • Zreddington
    • By Zreddington 6th Dec 17, 3:59 PM
    • 12 Posts
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    Zreddington
    • #4
    • 6th Dec 17, 3:59 PM
    • #4
    • 6th Dec 17, 3:59 PM
    Is it possible to keep the purchase price the same but to have the solicitors retain the £3k at the end for the work required to be done out of? This would save having to consult lender
    • kingstreet
    • By kingstreet 6th Dec 17, 4:46 PM
    • 32,358 Posts
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    kingstreet
    • #5
    • 6th Dec 17, 4:46 PM
    • #5
    • 6th Dec 17, 4:46 PM
    No. Contract price must match mortgage application price.

    You need to inform your lender and allow them to reduce the price and the mortgage amount if you wish to remain within 85% (of the lower of purchase price or valuation.)
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
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