Can solicitor request mortgage funds before exchange?

GeekDom

I have asked my solicitor about the possibility of exchange and completion on same day. No chain on either end, property vacant and unfurnished, vendor living elsewhere.

Solicitor says he requires minimum one week between exchange and completion, so that funds can be drawn after exchange and cleared before completion. The lender is Halifax.

Is this correct? Having done some background research I think Halifax requires 3 working day for funds to be sent. But does the solicitor inform the lender of exchange date, or completion date to request funds? If the latter, does it really matter if I exchange/complete on the same day?

As I am paying them, can I demand this as long as vendor is happy?

Any advice would be greatly appreciated.

Thrugelmir

GeekDom wrote: »

As I am paying them, can I demand this as long as vendor is happy?

You can demand as much as you like. However your solicitor has explained the basis on which they and the Halifax operate. As you are paying for professional advice best to accept it and work to the timescale.

Building_Surveyor

I exchanged and completed on the same day. My lender was nationwide but the funds had to be sent atleast 2days before. The solicitor requested the mortgage funds for the same timeframe. I can only go off my experience, unable to offer professional advice as I have no idea I'm afraid.

GeekDom

Thrugelmir wrote: »

You can demand as much as you like. However your solicitor has explained the basis on which they and the Halifax operate. As you are paying for professional advice best to accept it and work to the timescale.

I thought in these times with CHAPS, BACS etc, exchanging/completing on same day would not be an issue. My gut feeling was that my solicitor can't be !!!!!d doing this on the same day.

My reason for wanting this was my sister was in an identical position, and the vendor decided they wanted to look for a house to buy after she had exchanged and commited to the purchase. I want to avoid that scenario.

GeekDom

Building_Surveyor wrote: »

I exchanged and completed on the same day. My lender was nationwide but the funds had to be sent atleast 2days before. The solicitor requested the mortgage funds for the same timeframe. I can only go off my experience, unable to offer professional advice as I have no idea I'm afraid.

I don't mind if the solicitor requests funds 2 weeks in advance , as long as he can exchange/complete on the same day.

Thrugelmir

GeekDom wrote: »

My gut feeling was that my solicitor can't be !!!!!d doing this on the same day.

As important as you may feel you are. Conceivable that the solicitors office has several transactions completing on the same day. So to ensure that all goes smoothly they will ensure everything is in place beforehand. Rather than last minute hitches occuring.

GeekDom

Thrugelmir wrote: »

As important as you may feel you are.

£1100 in conveyancing fees says I am !!!

CKhalvashi

GeekDom wrote: »

I thought in these times with CHAPS, BACS etc, exchanging/completing on same day would not be an issue. My gut feeling was that my solicitor can't be !!!!!d doing this on the same day.

My reason for wanting this was my sister was in an identical position, and the vendor decided they wanted to look for a house to buy after she had exchanged and commited to the purchase. I want to avoid that scenario.

The last two I've bought (2007, then 2010) were both exchanged/completed on the same say, although the 2010 property was bought from my sister, as she'd had 2 sets of nightmare tenants, then I had a set!

The solicitor could have several properties completing on the same day (most likely), and wants to prepare in advance.

CK

dj.boz

I have not exchanged yet, but my mortgage has been requested already (Nationwide). Completion is expected tomorrow (Friday) with exchange either today or tomorrow.

I can tell you I definatly did not want exchange / completion on the same day, but had to 'split the chain' and exchange on my property a few weeks ago. Completion for that is tomorrow. Hopefully (I use the word hopeful now instead of 'confident' the last piece of the jigsaw) will be completed today and we can exchange on the house I am trying to purchase.

Dave_Ham

Firstly, yes you can exchange and complete on the same day and certainly can with Halifax.

It is a bit more work and pressure and many solicitor try and get a week as commonplace.

If £1,100 is just the Solicitors fee, then this is extremely high. I suspect you have included disbursements and these are not part of the Solicitor's fees.

A novice coming in and asking to exchange and complete on the same day can often ring alarm bells to Solicitors and therefore lenders.

Someone not confident in their mortgage offer would feel much more comfortable in this manner and therefore hence the alarm bells.

When your Sister had an issue, surely when she exchanged she had a date that all parties must complete by to prevent the vendors from doing this??

From_St_Neots

Your solicitor won't want to draw money too early before completion as you are charged interest from the day funds are drawn down and not from the date you complete.