Sub-sale, back-to-back transaction HSBC question

mortgage_q_2

I've got a question regarding sub-sales/back-to-back transaction. Basically, a new property was built with some units sold off plan. I'm buying from someone who bought off-plan and who has exchanged but not completed. (They have paid a deposit but not the full amount.) As a result the transaction would be classified as a sub-sale and I understand that a number of mortgage lenders are not lending in those cases.

Does anyone know whether HSBC are lending in those cases?
Does anyone know whether this a matter of negotiation or whether there is a clear rule?

Many thanks

_Andy_

Have you rung HSBC and asked?

mortgage_q_2

Rang HSBC and they can't say over the phone. It requires a branch appointment. Very strange as they could not say over the phone whether they categogorically do or do not offer mortgages under these circumstances....

_Andy_

Phone teams only deal with routine cases, hence fobbing it to the branch.

RichPyke

You will need to speak with HSBC and get it all sorted. If they usually don't accept sub-sales with the exception of a few exemptions you will still need to have HSBC confirm it.

Arrange an appointment in branch, if nothing else, the hour or so you may lose is a lot less hassle than you'll get if it get's close to exchange and this crops up delaying everything - trust me, I'm in a similar position with Halifax (and despite my case being an exemption, I am still waiting on Halifax confirming this to the solicitors).

mortgage_q_2

Rang them again and this time they seem to say it's ok as long as my LTV does not exceed 75% and I will use the property as my primary residence. Not sure I can rely on their information though...