proving proof to support offer..

yak00

I've just made an offer on a property for 120k, however understandably the agents won't finalise the offer until I can provide evidence to support my offer.
Now here's the dilema ..
I've lent 8k to a friend (which I had invested in NS&I bonds, and show on a bank statement)
My partner has 8k invested in NS&I bonds which we would cash in (have the certificates as evidence)
I've also been promised a further 10k but obviously I would be able to proof this until it's in my account.
Now would the agent accept this as sufficent proof if I was to present this along with a 105k mortgage (agreement in principle) ? or would they want to see 15k in my bank account or morgage agreement for 120k

BTW I've an appointment with the agent's financial advisor ina couple of days time, but am looking to arrange the mortgage and provide the proof prior to then so that the sold board can go up asap.
With being a FTB I'm keen to make sure I've got everything covered and things don't drag

Cara79

Hi there

You do not need to show them your bank statements! All they need to know is you have an Agreement / Mortgage in Principle and if required, you can show them this. They do not need to know where the 'cash' is coming from or invested. All you need to say is that you also have savings. You do not want them to know exactly how much you can afford as this will let them 'drive' the price up.

If you have to go to see their financial advisor just take your Agreement in Principal with you and show them. Alternatively, you do not need to see them. I understand that by law, estate agents have to present every offer to their client. You may even be able to do an offer qualification over the phohne.

Good luck!

JennyB

It sounds like the statements and most importantly the AIP would be fine - perhaps fax them copies to get that sold board up! Incidentally estate agents always like to get you in with their own financial adviser even if you don't need it (as you already have an AIP), so be prepared for the hard sell... on the other hand they might find you a better deal.

yak00

JennyB wrote:

It sounds like the statements and most importantly the AIP would be fine - perhaps fax them copies to get that sold board up! Incidentally estate agents always like to get you in with their own financial adviser even if you don't need it (as you already have an AIP), so be prepared for the hard sell... on the other hand they might find you a better deal.

Thank you both .. I am being over catious in case agent asks where to provide proof for the difference between the AIP (£105k) and the agreed buying price £120k ... I want the sold board up there ;-)

Also .. could I get a AIP for 105k but reduce this to say 95k ?.. I'm only really applying for 105k to provide sufficent proof to the agent.

Cara79

Also .. could I get a AIP for 105k but reduce this to say 95k ?.. I'm only really applying for 105k to provide sufficent proof to the agent.[/QUOTE]

Absolutely! An AIP is normally for the max amount you can borrow, so when you come to get the mortgage offer, it will ask for the property price and the amount you want to borrow.

Hope it all goes smoothly.

Cx

loulou41

I was advised on this board not to show the EA my bank statements. I had a chat with the lady who I will be using to deal with the conveyancing when I do get the house, and she is quite happy to tell the EA, I have the funds after I have shown her my bank statements. Hope this helps.

AndrewSmith

The agent is legally bound to forward the offer to their client, the vendor.

If you are only needing a mortgage of £95,000 then that is all the proof you need to give them. The AIP for £95k along with your word that the rest is deposit from cash savings/investments.

They have no right to ask for your bank statements etc. Tell them to sod off.

Tell the agent that you are arranging your mortgage asap and will give them your broker's number so they can call him and clarify that you are able to proceed. Your broker need not go into detail just confirm that all is OK.

DO NOT see the agency broker first as they will try to retain original documentation and may have a vested interest in disclosing information to the estate agents to force you to offer higher.

If the Agent will not accept your AIP for 95k or a call from your broker assuring them that all is OK then I would personally smell a rat.

Andy