Help! Purchase Price on Mortgage Offer Incorrect

Kalahoma

Hi All

Looking for some help (actually its reassurance more than help!)

I am due to complete my house purchase this Friday.

My Solicitor has just called me to advise the purchase price on the mortgage papers are incorrect ( the Purchase price is 121k and the price on papers is 120k)

This does not affect the amount Nationwide are lending (i am paying the extra 1k as it was 1k over valuation)

Will i need to re apply for my mortgage?

Looks like Friday wont be the day i pick up my keys

Thanks in advance for any advice.

GMS

Solicitor will need to inform lender and have an amended offer produced or an adendum to the original offer. You wont be able to complete with the purchase price being incorrect.

Dave_Ham

Depending upon the lender and probably solicitor/broker, this can still be done and dusted for you on Friday.

There will require action today though..

All the best

Kalahoma

Thanks for that.

The solicitor said they will contact me after speaking to the mortgage company, however i just received a txt from the mortgage company advising the solicitor has requested my mortgage funds be released.

Really not sure whats going on now!

kingstreet

The lender may have agreed to alter the purchase price by a simple exchange of letters. Don't forget your solicitor is also acting for the lender, so certain formalities can normally be dispensed with; certainly where there's no change of mortgage amount and no loan to value threshold has been crossed.

Goldiegirl

When I worked for the Halifax this situation would happen quite often.

Generally if the amendment didn't affect the interest rate product (e.g you had an interest rate for mortgage of less than 75% LTV, and any amendment didn't mean that you were suddenly borrowing more than 75% LTV) the solicitor would let us know and we'd update our records after completion.

Mortgage offers cost money to produce and lenders don't want to be issuing amended offers unless it's really necessary.