Early Deposit?

Velvet_Glove

We are one (two?) of those FTBs who are nightmares to sell to because ING are taking their sweet time over getting a survey scheduled in. Understandably my sellers are getting very impatient (the place they want to buy is empty - it is so ironic that there is no chain!) Today our EA passed on a message from them suggesting we "put down a deposit" to show our commitment. I have e-mailed our solicitor about this of course, but wondered if it is common with a slow process?

Thrugelmir

What's slow?

Velvet_Glove

ING, who we have applied for a mortgage through, and who we are also organising the survey through, are dragging their heels.

Crashandburn

I wouldn't be putting down a deposit but maybe best to say to ING you are willing to forego the valuation fee if they decline the case, on the basis they send someone out to survey the property ASAP.

This way, you are able to keep the vendor happy and its gambling the valuation fee rather than anything else

grey_gym_sock

it sounds very dodgy. what would the legal status of this deposit be?

i.e. would you get it back if (a) the survey uncovers serious problems, so you want to pull out, but of course the vendor thinks these problems are not that serious, or (b) your solicitor uncovers legal issues, or (c) you can't get a mortgage.

on the other side, what guarantee does the deposit give you? suppose the vendor wants to pull out, because they have a higher offer, or they've changed their minds, or for any other reason.

the deposit at exchange of contracts is different, in that there is a clear legal commitment from both sides to complete the sale.

Velvet_Glove

Thank you for all the advice. Just as an update, my lawyer advised against us doing the deposit thing but to explain the situation in full to the EA. My partner did this and then called ING, threatening to use another surveyor if they didn't pull their finger out. Lo and behold, the next day I get a call from E-Surv explaining that they've been instructed to carry out a survey! They are hoping mid-next week and fingers crossed that it is valued at the level we need to get the mortgage.

opinions4u

My partner did this and then called ING, threatening to use another surveyor if they didn't pull their finger out

Nasty threat.

Especially if they don't recognise the surveyor and refuse to offer the mortgage until their own survey has taken place.

Velvet_Glove

I'd say effective myself. And when we applied, we were given the option to use our own surveyor - we ironically thought it would be quicker to use theirs!

kingstreet

Typically, a lender operates a panel of surveyors it uses for its mortgage report and valuation business. This would include the likes of Esurv, Allied, Countrywide etc.

Often, you can use the lender's surveyor to do your Homebuyer's report in addition to the lender's valuation.

If you wish to have a different surveyor carry out your survey, you have the right to do that, but the lender will normally still require its chosen surveyor to carry out its report and inspection.