Mortgage Offer

pollyanna24

On an earlier thread, I read somewhere that some mortgage companies hold mortgage for up to 12 months. Now this would be quite handy for me as my mortgage is up in April 2008.

Where can I find this information? Is it a case of ringing them all up and finding out as this information doesn't appear to be on websites?

Also I'm guessing for the priviledge of holding a mortgage this long, the reservation fee woudl be sky high?

JoeK_3

I assume that you are referring to a mortgage offer.

Mortgage offers last from three to six months and can be extended by requesting this from the lender.

There might have been an arrangement fee or booking fee involved for the mortgage product but there is usually no cost involved for the extension of the offer.

JoeK

pollyanna24

Thank you. How far in advance do people normally start looking for remortgages then? I figured that it would be quite near the end of their current fixed as otherwise everyone will be clambering to get another fixed rate before interest rates go up again.

Will mortgage companies still extend their offer even if it is not for a house purchase, but just a remortgage when you have an actual completion date? I mean, it's not like we are in a chain or anything like when you are actually purchasing.

Is there a risk that the company won't extend their offer and therefore you risk losing the reservation monies?

JoeK_3

pollyanna24 wrote: »

Thank you. How far in advance do people normally start looking for remortgages then? I figured that it would be quite near the end of their current fixed as otherwise everyone will be clambering to get another fixed rate before interest rates go up again.

Anything from three months to around the time that the deal finishes.

pollyanna24 wrote: »

Will mortgage companies still extend their offer even if it is not for a house purchase, but just a remortgage when you have an actual completion date? I mean, it's not like we are in a chain or anything like when you are actually purchasing.

A remortgage is just moving a loan from one lender to another and takes around six weeks.

pollyanna24 wrote: »

Is there a risk that the company won't extend their offer and therefore you risk losing the reservation monies?

Most remortgage products do not have a reservation fee and often you can find a fee free remortgage.

Have no fears

JoeK

sbradshaw

Hi
We have just received a mortgage offer from rooftop which will expire in six weeks.
We have been told that we will have to reapply for a new mortgage offer and e reassessed which will mean losing our survey fee, and our good interest rate if we do so. As our seller has now told us that she will take roughly eight weeks from this week.

I cant beleive all the problems that we have had with our mortgage offer/house purchase which has been going on since 12th march.

Can anyone shed some light onto the mortgage offer expiry date? Is this normal?
Thanks

luckyfool

6 weeks is ridiculously short, 3-6 months is more standard. The survey should still be usable as long as it is less than 6 months old at the time of extension.