Mortgage Offer Expiry

argomatt

Hi,

I am expecting (hoping) to receive a mortgage offer from Virgin Money at some point this week.

The vendors have not found a property they like so the chain is not formed yet, and I have no idea how long it will be before any progress can be made.

I had read somewhere that mortgage offers are valid for 90 days. Is this always the case or does it vary between lenders?

What happens if the 90 days are up before completion? Is is possible to get an extension or do I have to start the whole process again?

I guess if starting again then I will have to pay a new set of fees and another valuation etc?

Matt

kingstreet

If you were my client, I would have advised you not to apply for a mortgage until your vendor found a property and the chain was fully formed.

VM's offers last sixteen weeks and it has a set extention procedure you can start within two weeks of the offer expiring. Once extended, you have a further eight weeks in which to complete.

After that, it's a whole new app, fees etc.

argomatt

Thank you for the information.

I had tried to wait and delay the application but the broker was insistent I get the application in soon as possible because he was worried the product he was suggesting to me might be discontinued.

I hope something will be sorted in the next 24 weeks.

Maybe it won't be entirely bad though - within that time my salary should have increased by 50% due to a promotion at work and I might be able to get a mortgage at a better rate?

Paully232000

Mine lasts 6 months as according to the paperwork for the mortgage approved on 30 August, expires in feb 2014.

kingstreet

Paully232000 wrote: »

Mine lasts 6 months as according to the paperwork for the mortgage approved on 30 August, expires in feb 2014.

Virgin Money offer?

Paully232000

kingstreet wrote: »

Virgin Money offer?

No Accord.

kingstreet

Some lenders offers last three months, some six months and the very odd Virgin Money 16 weeks.