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What if remaining deposit not arranged before completion date
sarah_id1
Posts: 336 Forumite
What is the general practice of time taken between exchange of contract and completion date. it is 1 or 2 or 4 weeks?
What is remaining deposits in not arranged before the completion date? Is there any grace period for the buyer?
What is remaining deposits in not arranged before the completion date? Is there any grace period for the buyer?
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It is whatever you agree upon when you exchange.
What remaining deposits are you referring to?What matters most is how well you walk through the fire0 -
picklepick wrote: »It is whatever you agree upon when you exchange.
What remaining deposits are you referring to?
I am suppose to pay 10% on exchange of contract and remaining 10% before completion date. If I am unable to arrange it as quickly i.e. before the completion date then what is the consequences.0 -
What is the general practice of time taken between exchange of contract and completion date. it is 1 or 2 or 4 weeks?
What is remaining deposits in not arranged before the completion date? Is there any grace period for the buyer?
Average period between exchange and completion is about 2 weeks but can be more, or less. 4 weeks is possible, but unusual.
Have to be clear about terminology here.
You put down a 10% deposit when you exchange. That's all.
Some people refer to "deposit" as meaning the difference between purchase price and mortgage. That difference all has to be found plus related costs and disbursements such as SDLT before completion.RICHARD WEBSTER
As a retired conveyancing solicitor I believe the information given in the post to be useful assuming any properties concerned are in England/Wales but I accept no liability for it.0 -
You'd be unable to complete and in breach of contract.
You simply set a completion date with the vendor which matches your ability to raise your deposit.
You can exchange and complete on the same day, or with a gap inbetween to suit the parties in the transaction. If you are going to have difficulty getting your deposit together, you need to leave enough time between the two to be able to get the funds you'll need for completion. If you have any doubts DON'T EXCHANGE!
Is there a particular reason you are asking this? It may be more useful if you told the whole story, so you'll get a better response...I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0 -
You probably wouldn't be able to exchange until you had proof that you had the rest of the money!
We had 6 weeks between exchange and completion.Should've = Should HAVE (not 'of')
Would've = Would HAVE (not 'of')
No, I am not perfect, but yes I do judge people on their use of basic English language. If you didn't know the above, then learn it! (If English is your second language, then you are forgiven!)0 -
What is the general practice of time taken between exchange of contract and completion date. it is 1 or 2 or 4 weeks?
What is remaining deposits in not arranged before the completion date? Is there any grace period for the buyer?
Usually between one and four weeks, it varies these days and is agreed by the buyer and vendor. No grace period, assuming the house is built exchanging contracts is a legally binding commitment to complete on a given date.I am suppose to pay 10% on exchange of contract and remaining 10% before completion date. If I am unable to arrange it as quickly i.e. before the completion date then what is the consequences.
What are you only paying 20% is this shared ownership? Honestly to be a homeowner you need much more than the purchase price, you need legal fees, three months mortgage payments in case you suddenly cannot work, money for unexpected repairs and maintenance. Don't buy if you don't have all the funds in place.
The consequences of not completing or delaying completion are serious and can run to thousands or tens of thousands of pounds, you really should be discussing this with your solicitor.Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️0 -
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If you pay a 10% deposit on exchange then you pay the remaining 90% on completion.
If you pay a 20% deposit on exchange then you pay the remaining 80% on completion.
If you pay a 30% deposit on exchange then you pay the remaining 70% on completion.
Whatever you do, the total of the numbers for exchange and completion needs to be 100%.0 -
picklepick wrote: »I assume she has a 80% LTV mortgage. 10% deposit is required by the vendor at exchange, and the remaining 10% is needed to complete.
That makes sense. It was the word remaining that threw me!
Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️0
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