Removing special condition (mortgage)?

sharingiscaring_2

Hi - I've posted this over on buying and selling but now realise here might be more appropriate.

We are buying and selling. The seller is in a hurry and the buyer (FTB) is working at their own pace.

Lender (Nationwide) has attached a Special Condition to the mortgage offer stating that we have to be released from the mortgage on property 1 before completion on property 2.

We risk losing property 2 if we can't complete quickly.

We can very comfortably afford both mortgages if we were to complete on time on property 2 while waiting to sell property 1. We are also not dependant on release of equity from property 1 to pay for property 2 (deposit, stamp duty, fees, etc).

Would the lender, based on our incomes/affordability, consider cancelling the Special Condition if we explained the timeline? The new mortgage is 90% LTV and there's definitely no cash in our pockets to stretch to 85%.

Another consideration for the lender - we are making over £20k profit from the sale of property 1 which we intend to overpay on property 2 as soon as the funds are released. That would effectively bring it down to 85%.

Are we likely to have any success in getting this special condition removed? We've called the lender but waiting for a call back which could take days...

kingstreet

Nationwide won't go above 85% on a second property, so no chance, I'm afraid.

BTW it has to be 85% or less before completion as they cannot compel you to sell, once they agree to do it.

GMS

You will need another lender for this.

sharingiscaring_2

Thank you, I appreciate the quick responses.

GMS - what other lender might consider the second mortgage at 90%?

This is such a frustrating situation for us because it took us so long to find this house and any delay in selling ours will be a really big problem with Christmas around the corner.

gazfocus

sharingiscaring wrote: »

Thank you, I appreciate the quick responses.

GMS - what other lender might consider the second mortgage at 90%?

This is such a frustrating situation for us because it took us so long to find this house and any delay in selling ours will be a really big problem with Christmas around the corner.

You have to think sensibly. You say your seller is in a rush, so can he/she really afford to withdraw from the sale with you, start marketing the house again, then go through the entire process again, including all surveys, mortgage applications, etc?

I'm sure that if you explain the situation to your seller, he/she would be understanding?

GMS

sharingiscaring wrote: »

GMS - what other lender might consider the second mortgage at 90%?

.

Without knowing your circumstances I wouldnt like to say. Cant really name lenders as this can be seen as giving advice.

Broker may be a good idea for you on this.

sharingiscaring_2

Thank you. We've concluded that even if we could secure two mortgages we don't want to stretch our cash funds (for 85% deposit) unreasonably. Am hoping we can convince seller to stay calm and wait for our sale to go through. If not, there are plenty more fish in the sea.