please help problem with buyers mortgage

bigmock

hello i have had my property up for sale for 5 months with not much interest, we have recently had a morgage offer and my solicitor told me things were moving toward conveyancing as i was filling out the questionaire on the property. Then a day later i was passing the EA im selling with just for a quick chat where they told me the mortgage has fell through! i have been having lots of problems with my EA as they are not very good and i often am left in the dark. they told me that the mortgage fell through but not to worry as the same buyers are applying for another morgage survey now? surely they wont get another mortgage if the underwriter found problems? honestly what do you think my chances are at selling this as my contract with the EA runs out soon and i do not want to be stuck with them for another 3 months,

many thanks

kingstreet

Have you actually got an acceptable offer on your property?

Your opening sentence sounds like you can't find a buyer, then the rest of the post suggests you have an agreed sale?

Are you mixing up bits about your sale with bits which relate to a property you are purchasing?

It is common for those being declined by one lender then go and try another. It is up to you whether you stick with that buyer, but as you appear to be getting little interest, what do you have to lose?

What does the "another three months" comment in the last line mean? What does your contract say?

bigmock

yes we had an offer i am just wondering how likely is it that there new mortgage will be accepted as their last one was not?

and the other 3 months means i am sick of this estate agents and do not want to have them for another term as the contracts with them are 3 months i have to give notice 2 weeks before to get rid of them. i have about 5 weeks left on my contract with them so unless its possible for the buyer to complete within that time then ill proably lose the buyer as this is one of the worst estate agents ive ever used!

jbainbridge

Usually the contract with an EA is for a minimum term, so couldn't you now give them 2 weeks notice at any time?

bigmock

hello think the minimum is 6 months with them.so will just have to wait it out, i am just concerned about the buyers getting another mortgage as obviously there was something wrong so why would another lender want to give them a mortgage or is this normal and they do have a chance?

Yorkie1

I can understand your worry and frustration.

However, you are merging two issues here.

1. The buyer's mortgage is completely outside your EA's control. This could have happened irrespective of the EA you used. The EA won't know the details of the buyer's finances, nor the likelihood of the buyer's new mortgage application being accepted. The buyer may not know that either, so cannot tell the EA; they presumably thought their first application would be fine.

There are frequently threads on the mortgages board on here, from buyers who first went to one of the pickiest lenders (i.e. those with the best rates), only to get a decline - but who successfully got a mortgage from another lender. So there's no immediate cause for concern yet.

I would, however be checking what steps the EA took to ask the buyers about their proceedability - did they ask the buyers whether they had a mortgage agreement in principle, for example?

2. Your contract with the EA. You need to look at your contract. None of us know what your minimum lock in period is, although 6 months does sound unusually long. If this sale goes through, then you will need to pay this EA as they introduced the buyer. If it falls through, then you can choose whether to give notice and move to another one.

bigmock

many thanks that has been very helpful i will try and stop panicking now

bigmock

sorry edit.

kingstreet

bigmock wrote: »

yes we had an offer i am just wondering how likely is it that there new mortgage will be accepted as their last one was not?

That would depend on the reason for the rejection. Any idea?

bigmock

nope unfortunately have no idea what the problem was but it was literally at the last moment that the lenders pulled out