Mortgage Hitch - Opinions?

Dopple

My partner and myself have bought a new home from Bellway, which will be ready to move into mid-June. We have agreed a mortgage with the Abbey and are putting down 25% deposit. Bellway asked us to give them 10% up front (which I think is the norm with new bulids). The 10% will be taken tomorrow. We have the money in our bank accounts.
But due to Abbey sending us the wrong T&Cs for our mortgage will are awaiting on Abbey sending us out new ones to sign.
Everything has been agreed over the phone but as yet no new papers from the Abbey have arrived for us to sign.

Will this cause a major problem or delay?

phlash

I wouldn't pay any cash over until I knew what terms and conditions I was signing up to.

The builder should understand the delay, you could even use them to chase Abbey. You can't be reasonably expected to part with cash on an unknown mortgage agreement.

Dopple

Thanks. Basically the only term that needed changing is that Abbey put in a wrong condition that we needed to sell our present house.
Our mortgage advisor had already told them that we were going to rent our present house not sell, and emailed them bank statements as proof of income/savings. Abbey were fine with this.
Abbey have now said they will we sent us out new T&Cs,
but these are not going to get to us before the 10% deposit deadline from Bellway that is to be paid tomorrow.

phlash

So you are going to rent your current house and then move into the new one?

If so, you are presumably applying for 'consent to let' from Abbey for your original house.

Definitely wait. What happens if they don't give permission for you to let it out - Can you afford the two mortgages without an income on your old home? Presumably you don't know what % Abbey might ask for on the mortgage, as invariably they will up their percentage due to the increased risk of rented properties.

Dopple

Present house is with Nationwide, we are going interest-only (£180 a month) with them and they are fine with this as we only have a small mortgage on the house and we have give them proof that we can pay off the mortgage on it if needed.
Abbey mortgage is 75% as we are putting down 25% deposit.
Once again Abbey have proof of our savings so we passed all of their criteria and they knew we were not selling our present house.
It's just that they messed up by sending out the wrong terms and have not sent us the right terms to sign as yet.
I don't want it to delay or screw up the moving to the new house.

phlash

But you still don't have consent to let?

Dopple

Yes we have consent.

Dopple

Well !!!!!!!!. Nothing goes smoothly does it?
Today was supposed to be exchange of contract but there was a break down in communication between our solicitors and our mortgage company (Abbey) which meant our 10% deposit, which was in our bank account was never paid to Bellway.
I hope it is fairly standard practice in this situation for a week's grace to come into force.
I would hate to lose the house we have reserved.