Delaying completion

LinzH

We have had an offer acepted on a house which is quite a lot below the asking price, mainly because the vendor wants to exchange and delay completion for three months until she finds somewhere to live (we were the only buyers able to meet this requirement). The problem is our mortgage offer expires at the end of May which is before the date when the vendor wants to complete.

Can we complete before the end of May and rent back the property to the vendor for a couple of months or is there any other options available to us without having to lose our mortgage offer?

iamana1ias

LinzH wrote: »

We have had an offer acepted on a house which is quite a lot below the asking price, mainly because the vendor wants to exchange and delay completion for three months until she finds somewhere to live (we were the only buyers able to meet this requirement). The problem is our mortgage offer expires at the end of May which is before the date when the vendor wants to complete.

Can we complete before the end of May and rent back the property to the vendor for a couple of months or is there any other options available to us without having to lose our mortgage offer?

Plenty of threads on here explaining the pitfalls of your idea.

TrickyDicky

Why does she want to exchange so quick? cant she wait till she's found somewhere so the whole chain can exchange at once? AFAIK, if you exchanged and she didnt find anywhere before the set completion date she'd be liable to move anyway, else have to pay you compensation for not moving out.

LinzH

We are first time buyers so there is no chain really. That is the reason why we can accomodate her wishes but unless we complete before the end of May we lose our mortgage offer (which we can't afford to really)

LinzH

Do you know what these are or how to search for them?

rach29

Why not have a chat with your mortgage company. Explain what you've told us & ask if they will extend the period of your mortgage offer. You've got nothing to lose by asking.

Good Luck

Fire_Fox

LinzH wrote: »

We have had an offer acepted on a house which is quite a lot below the asking price, mainly because the vendor wants to exchange and delay completion for three months until she finds somewhere to live (we were the only buyers able to meet this requirement). The problem is our mortgage offer expires at the end of May which is before the date when the vendor wants to complete.

Can we complete before the end of May and rent back the property to the vendor for a couple of months or is there any other options available to us without having to lose our mortgage offer?

Your lender will insist on vacant possession, they won't want the vendor living in the house when you are on a residential mortgage. Please read the many 'off plan' threads explaining why a long gap between exchange and completion is a high risk strategy.