Can I protect my deposit if mortgage offer is withdrawn?

hmwso

Hi All,
I'm in the process of buying a house. I have been 100% honest with my lender about our circumstances - including a change of job, but I'm nervous about it. I notice in the small print that they may "withdrawn the mortgage offer at any time without giving a reason", but I am not prepared to hand over £20,000 deposit during exchange of contracts if they can possibly do that.
Does anyone know whether I can have a clause added to the contract that means that I get my deposit back if the mortgage lender withdrawns their offer between exchange and completion - or whether there is any other way of protecting my hard earned cash?

Many Thanks!!

hcb42

it would be exceptionally rare that this happens, I am house purchase no 7 and have never even worried about this. They wouldnt withdraw without "good reason" at this stage, so just dont give them any reason.

Yorkie1

I very much doubt that you will be able to amend the standard contract conditions as you outline. The seller's solicitor would be bonkers - and perhaps professionally negligent towards his clients - to allow it.

Your best hope is to have the minimum time between exchange and completion.

G_M

The whole point of Exchanging contracts is to form a legally binding.... errr.... contract!

So the seller knows he will get rid of his property and the buyer knows he will get his new home.

And both can plan their lives (and other related arrangements) accordingly.

And if one side defaults, the other can sue.

Your only option is to Exchange and Complete on the same day.

hmwso

Thanks everyone )
Sounds like minimum delay is the only real option.

Makes my blood boil though.... By exchanging contracts, I'm entering a legally binding agreement and I can't have any small print if I'm screwed over by circumstances beyond my control. Yet the mortgage company can pull out at any time for any reason even if it means I lose everything? Why can't theirs be legally binding too? After all, they've had months to decide whether to lend me the money or not and access to every bit of information they need about me!
I notice that the small print doesn't say they can withdraw the offer if I've not disclosed everything - it just says they can pull out for any reason. I have no comeback on that.

zarf2007

hmwso wrote: »

Thanks everyone )
Sounds like minimum delay is the only real option.

Makes my blood boil though.... By exchanging contracts, I'm entering a legally binding agreement and I can't have any small print if I'm screwed over by circumstances beyond my control. Yet the mortgage company can pull out at any time for any reason even if it means I lose everything? Why can't theirs be legally binding too? After all, they've had months to decide whether to lend me the money or not and access to every bit of information they need about me!
I notice that the small print doesn't say they can withdraw the offer if I've not disclosed everything - it just says they can pull out for any reason. I have no comeback on that.

The only things in life that are certain are death and taxes (and the latter can be minimised if you are rich enough), exchange & complete on the same day, problem solved.