Nationwide withdrew mortgage offer just before completion

haras_nosirrah

Hi

did you go through a broker or direct to the lender?

If a broker you have someone on your side who can fight this. If direct you may have more problems as it would be a non advised sale.

chappers

I would take Richard's advice you need to find out where the break down in communication was.
Check your application
Check your mortgage offer.
Speak to the underwriter and find out the reason for refusal.
Nationwide aren't in the habit of rescinding on amortgage for no good reason

timmyt

DVardysShadow wrote: »

Take advice from your solicitor - and get whatever evidence you can of the reason for refusal. It is a very poor showand I am sorry to say that you have a big problem to manage now. You need to understand exactly why the offer has been withdrawn. Did Nationwide misunderstand or did you, your solicitor, the developer, your mortgage advisor or anyone misdescribe the purchase?

indeed, they have some explaining to do, and you should publicise this or at least threaten NW with it unless they explain and compensate you

silverm

Thanks to everyone who responded and helped. I have followed a combination of advices, contacted NW, created an official complaint, searched alternative mortgages. Today, I received a response from NW with an explanation of rejection: a series of errors from mortgage broker to NW to the person who conducted the valuation. NW apologised for the mistake and will be refunding all the fess they have charged to date. In the meantime, I did another mortgage application with the hope for speedy progress. Fingers crossed.
Thank you all again.

F_T_Buyer

I hope an alternative application works for you, as this solves the immediate problem.

However, does the letter specifically state the error(s)? Or does it just vaguely pass the buck?

If this is the fault of the broker, I would be asking for damages (and taking it to court) - this is why they have insurance covering them. If it's the fault of the valuer, NW should be tasking the value as it's not your fault at all.

Hopefully, the final solution is you get an alternative mortgage. If this costs more, I would be asking the broker and nationwide for the difference - and I would be taking this further and not letting it drop.

thejonesfamily

wonder if the broker fudged your application to fit

try Halifax - they dont do payslips if your credit is good.

silverm

Dear F_T_Buyer, NW explicitly specified the error, it was a conversation on phone but they will be sending us a letter. In the meantime, I have recorded all the conversation and mailed them back in pdf. It looks like a chain of errors, broker not providing enough detail, NW not investigating properly (although it took them 9 weeks to process), underwriter making maybe the biggest mistake.

I guess my first priority now is to secure another mortgage (having exchanged contracts) in order not to pay any penalties. I have stated to NW that I would be asking compensation if i am going to be charged for any penalties.

You are right, unfortunately the new rate is higher than NW's, your suggestion is something i should look into.

Dear Thejonesfamily,
Halifax is the one I applied for! Hope this time is works.

Thank you both!

Trollfever

Why did your solicitor let you exchange contracts?

http://www.legalombudsman.org.uk/

silverm

it is a requirement of the scheme.

SouthCoast

Any updates?