same day exchange and completion

mair1

sorry dont understand what you mean?

rome_2

I didn't have a deposit and was getting a 100% mortgage when I bought my flat and it wasn't a problem. No one ever suggested to us that we would have to exchange and complete the same day and solicitor never mentioned to us that there could be a problem having no deposit. I think the bank (HSCB) may have released some of the funds to pay the deposit. In fact I'm certain they did as we never exchanged when expected and it was pushed back 6 weeks and I remember being annoyed that the solicitor was earning interest on the deposit funds!

[Deleted User]

What silvercar is saying is that anything could happen at the last minute, for instance you could ask your Vendor to drop the price or you won't buy it and since he'll probably be packed up in his removal van he'd be forced to say yes. Of course you wouldn't do that, but nothing stops you, hence why people along the chain (who don't know you or your personal circumstances) may not be happy to exchange on the last day. If you exchange a few days before, then you are legally bound to buy and pay what was agreed.

shykins

u say uhave the money for stamp duty, land registry etc.. well as that does not have to be paid until after completion why cant you use that as yr deposit , then when your mortgage comes through u will have the money for the stamp duty available

good luck

lynzpower

I exchanged and completed on the same day. But I was in no chain FTB buying a new build.

Absolutely perfect for me in this situation, except the vendor didnt know where the keys were! All sorted by 5pm though so couldnt complain, plus wasnt paying removal men, so that helps

mair1

shykins wrote:

u say uhave the money for stamp duty, land registry etc.. well as that does not have to be paid until after completion why cant you use that as yr deposit , then when your mortgage comes through u will have the money for the stamp duty available

good luck

Well thats what I thought we could do but as £5% deposit is £10250.00 and fees/stamp duty are £3300.00 theres quite a deficit. We are more than happy to put that down but just wondered if that would be enough

mair1

We just want to but the house and do it so that it fits in with everyone else in chain but can only put down a £3500 deposit whereas sol is talking about £10250. Not too sure what to do now but cant believe that everything could falll apart because of this

silvercar

Solicitors fees shouldn't have to be paid before completion. I understood that stamp duty has to be paid within 28 days of completion.

mair1

am now very confused

silvercar

Speak to your solicitor, tell him what money you have and that you are getting a 100% mortgage and ask him to sort it out.