FTB - how do you set a sale completion/exchange date

Carrotline

We've put in an offer, appointed a solicitor and got the ball rolling on searches, but - due to a small !!!!-up on my part - haven't been able to apply for full mortgage yet.

The last point should be rectified next week, and we've kept the buyer informed every step of the way.

However, they want us to complete sometime in the first week of June, which - even if everything goes smoothly with our lender next week - might be a bit of a stretch for us.

Therefore, what I want to know is do we have any say in when we want to complete, as I'm worried we'll not be able to do it by their deadline. So would like to ask if we could push it back by a fortnight or so to give us a little wiggle room.

Further to this, if we can't move this and miss the completion deadline will that mean we lose the house or is the completion date just a line in the sand to aim at with these things?

They are also putting pressure on us to complete and exchange on the same day. This would be absolutely no problem.

Any advice gratefully received!

zzzLazyDaisy

Carrotline wrote: »

We've put in an offer, appointed a solicitor and got the ball rolling on searches, but - due to a small !!!!-up on my part - haven't been able to apply for full mortgage yet.

The last point should be rectified next week, and we've kept the buyer informed every step of the way.

However, they want us to complete sometime in the first week of June, which - even if everything goes smoothly with our lender next week - might be a bit of a stretch for us.

That is not going to happen. 1st June is only a couple of weeks away. If you have not yet applied for the mortgage, presumably the lender's surveyor has not yet been out to value the house (btw, if that is the case, I strongly suggest you have the homebuyers report rather than the basic valuation).

Therefore, what I want to know is do we have any say in when we want to complete, as I'm worried we'll not be able to do it by their deadline. So would like to ask if we could push it back by a fortnight or so to give us a little wiggle room.

Your solicitor will not exchange until the survey and searches are in place and the lender has confirmed the mortgage. In any case nothing can happen until the vendors solicitors have sent the contracts and transfer documents to your solicitor, who then needs to send them to you (or call you in) for you to sign them. Has this happened yet?

Further to this, if we can't move this and miss the completion deadline will that mean we lose the house or is the completion date just a line in the sand to aim at with these things?

The completion date is set at exchange and not before. Either party can pull out at any time before exchange -even 5 minutes before - and there is no come back. So yes it is theoretically possible that they might change their mind about selling to you and put the house back on the market if you don't complete in the next two weeks, but it is not very likely as buyers are hard to find and they would be putting back their sale by a lot longer than two weeks.

They are also putting pressure on us to complete and exchange on the same day. This would be absolutely no problem.

I suggest you take your solicitors advice on that. Yes exchange and completion can take place on the same day, and it does happen occasionally. But depending on your circumstances, it can make for unnecessary stress and complications. The norm is to have two weeks between exchange and completion, with the date for completion being set at exchange and at that point completion is legally binding on both parties. I suggest that you just tell them you have no objection to this, and leave the solicitors to work that out between them

Any advice gratefully received!

Please try to relax. Buy a home is ranked up there with bereavement and divorce as one of the most stressful life experiences for a reason! The vendors are putting pressure on you , probably because the quicker you exchange the less likelihood there is of the sale falling through. All you can do is to assure you vendor that you are keeping the pressure up on your solicitor to move as quickly as possible....... and then let your solicitor get on with the job in hand.

Bella73

From our experience that just isn't going to happen. We put our offer which was accepted back in March....still no completion date yet. We have been told not to exchange and complete on the same day as getting the monies transferred can have delays. Lots of things are totally beyond our control so personally I wouldn't be tied into such a short time frame as it probably won't happen and you will be disappointed.

What exactly is their rush? I know we are keen to get into our new property but that sounds like a very short time and some people on this site have been 4 to 5 months between offer and moving in.

Solicitors are rather like snails with their own pace and agenda...the Vendors ones in our case not ours.

By the way ours is a no chain buy as we are renting and the place we are buying is from the family of the deceased lady the property is empty.

Our mortgage alone took about 2 half weeks and we've been told that was really quick.

Yorkie1

If I understand you rightly, you are both selling your existing house, and buying a new property? Your sale is ready to go, and it's your onward purchase where you have a delay?

If that's not right, and you're the buyer at the bottom of the chain, then ignore everything I'm about to write, and look at all the other replies!

When did you accept your buyer's offer on your house?

Exchange and completion dates are set by negotiation. Other than impatience, does your buyer have a particular reason for wanting to move in a couple of weeks' time? Is your buyer in rented accommodation? If so, it may be that they need to move because they've given notice or will have another month's rent to pay. This may help you to understand your position.

If they have hung around for months waiting for you to find a house to move onward to, then their desire to get moving is understandable and you may need to offer to move into rented accommodation in order not to lose them.

Carrotline

@zzzLazyDaisy We've been sent a draft contract and a list of fixtures and fittings, by our solicitor, and the results of the searches. That's it.

We've not been called into sign anything, and know our solicitor will when the time is right because he's told us that.

@Bella73 I think the rush on their part is because they bought it a few months ago as a development project, and have spent a lot of money on renovations. So, probably keen to recoup their investment quite quickly.

We went to see the property again last week and a lot of the work is still to be done, which is something else that is baffling me about why they're so keen to push the sale through so quickly

@Yorkie1 We're first time buyers with nothing to sell, and the people we're buying it off are a troop of property developers.

zzzLazyDaisy

Carrotline wrote: »

We went to see the property again last week and a lot of the work is still to be done, which is something else that is baffling me about why they're so keen to push the sale through so quickly.

Sorry if this sounds patronising, it really is not meant to be, but this is something that is often misunderstood by FTB's....

You buy the house as seen. Any work that needs doing is your responsibility. If the vendors have promised to do certain work, that work would need to be carried out before exchange as once you've exchanged you are committed to buying (and for that reason the standard advice is always to go and have a final look round before exchange and check that the house is in the same condition as when you agreed to buy it (or in your case, that the agreed repairs etc have been carried out).

kingstreet

Offer agreed
Solicitors instructed
Sales memorandum issued by agent
Purchaser applies for mortgage
Vendor's solicitor prepares and issues draft contract
Vendor completes seller's enquiry forms and returns to solicitor
Valuation/survey carried out
Purchaser pays solicitor for searches
Searches requested
Renegotiation of price due to survey findings - if required
Mortgage offer issued
Purchaser's solicitor receives seller's enquiry forms and raises any enquiries
Searches returned
Responses to enquiries
Purchaser visits solicitor to go through paperwork, hand over ID and deposit

Until all the above has taken place, what is below can't! Setting dates at the outset of a transaction results only in disappointment.

Completion date agreed between all parties
Contracts exchanged
Completion takes place.

Building_Surveyor

I exchanged and completed on the same day. Had no problems whatsoever

Building_Surveyor

But also to add, as you are a FTB you haven't secured a mortgage yet? Are you sure you are able to get one. You seem to be doing some things a bit backwards from the norm. Have you been to a bank yet? Hope you have.

Carrotline

We've got the decision in principle from our lender and were told we could submit a full application as soon as the offerd been made.

We're looking to get a Nationwide Save To Buy mortgage, but you have to have been saving with them for six months to qualify. We were told we met all criteria during our first meeting (because we've made six monthly payments), but were told we were two weeks under the qualifying period during our full application meeting, and had to abandon it.

Hence the hold up. We're going back this week.