We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
What happens between exchange and completion financially?
Theyarv1
Posts: 158 Forumite
Specifically - when i send the 10% deposit for exchange to my solicitor - who holds that money exactly? I assume it is not the vendors.
Let's say there's a chain, and someone is downgrading, they are selling a £500k property to buy a £300k property but they have no money. How do they typically pay the 10% on their smaller property?
If the answer is a temporary mortgage - what happens if they are buying a property they can't get a mortgage one? Do they have to get a bridge loan for the £30k for a couple of weeks between exchange for their 300k purchase and a few days after completion for their 500k property?
Thanks
Let's say there's a chain, and someone is downgrading, they are selling a £500k property to buy a £300k property but they have no money. How do they typically pay the 10% on their smaller property?
If the answer is a temporary mortgage - what happens if they are buying a property they can't get a mortgage one? Do they have to get a bridge loan for the £30k for a couple of weeks between exchange for their 300k purchase and a few days after completion for their 500k property?
Thanks
0
Comments
-
Generally exchange happens for the chain onthe same day and deposits all move up to the top of the chain, ie whoever is selling and not buying.
Same happens on completion day. So no bridging loans needed.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.3K Banking & Borrowing
- 253.7K Reduce Debt & Boost Income
- 454.3K Spending & Discounts
- 245.3K Work, Benefits & Business
- 601.1K Mortgages, Homes & Bills
- 177.6K Life & Family
- 259.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards