is this scenario even possible?

Logan008

wrote:

Written on: 02/12/2013

wrote:

I cannot believe the experience I have gone through over the last 3 months:

My mortgage adviser went through our requirements to purchase a house. We have a few small homes we rent out and completely own them and the house we wanted we required a 65% mortgage. Our initial application was accepted based on a 'buy to let' on this new house subject to lots of surveys etc. Everything was going smoothly (although taking ages) and just as we were near exchange on contracts, they decide that a small clause in the deeds limiting the type of person we could let to was not acceptable, this after we had paid out around £1500 in surveys, solicitors and they waited to the last second to tell us. We supplied information that we had a Tenant waiting to move in at full rate and 3 other people who wanted it. This made no difference.
SO - we had to then arrange a 'buy to let' mortgage on the 3 house we already own to raise the same money for the house we wanted. Surveys and costs for all 3 houses and again at the very last minute say they don't like one of the clauses in your Tenancy Agreements that we have in our current houses. Something pathetic about not being sublet for the first 3 months - well the current tenants have been there far longer. They wanted an amendment made and signed by current tenants.
ANYWAY to shorten the whole story every time you contact them IT WILL take you a minimum of 20 minutes to speak to someone and very often the line will be cut off before you get that far. THEN, you speak to someone who doesn't give a dam and makes you feel really bad, followed by being put through to a number of other departments who were all trained the same way.
NOW if you need to amend even the tiniest thing they will then take '5 working days' to process this, or tell you that it is not acceptable, then after you think you've made it right, it will take 5 more working days
THEN you exchange contracts allowing 9 days to completion to make sure their 5 working days are covered and you are told on the day of Completion that they want more info!!!!! YEP, you supply it and it will take 5 working days to process. You have broken your contract with the the vendors of property, they then break their contract and so on all along the chain. DO NOT USE BIRMINGHAM & MIDSHIRES FOR ANYTHING - otherwise any money you think you save on 'special deals' will be well lost after all the huge extra legal fees you will have to pay.

I thought you had to have all offers in place before exchange of contracts took place and a completion date is set?


once BM submitted an offer how were they able to pull the plug on the deal at the day of completion?

Logan008

has anyone got a comment, as to me I cant see how this happened, and they lost out because of BM?

Thrugelmir

On your other thread you have received no mortgage offer.?

ACG

Its their money they are lending you.
They can pull the offer or ask for whatever they like right up until completion.

5 working days seems like a long time, but i dont really do many mortgages with BM. If thats what their timescales are, thats what they are (I tend to ask what the timescales are before submitting a case and if time is important then i use a different lender) - why not use a different lender when the first one fell through if the timescales were too long?

Is the issue in the AST the same issue that was picked up on the first mortgage? If so then it seems a bit strange that you would stick with the same lender.

Sorry its not sympathetic but some of these issues could potentially have been overcome.

Logan008

the scenario is a review I found involving another BM client.


the people involved don't appear to be trying to hide things from BM, it just seems BM looking for excuses not to lend, but quite happy to take fees.

ACG

But it could only be half of the story.

With all respect to whoever posted that, they could be being stupid and making an application following an issue with the AST. So effectively they are making an application knowing there is an issue.

Isnt there a saying, stupidity is doing the same thing over and over expecting to get different results.

It could be BM being inept, but it could just as easily be the applicants/mortgage brokers fault.

Impossible to say. I dont think bm make things difficult on the odd occasion i have used them things have been fine.

Logan008

ACG wrote: »

But it could only be half of the story.

With all respect to whoever posted that, they could be being stupid and making an application following an issue with the AST. So effectively they are making an application knowing there is an issue.

Isnt there a saying, stupidity is doing the same thing over and over expecting to get different results.

It could be BM being inept, but it could just as easily be the applicants/mortgage brokers fault.

Impossible to say. I dont think bm make things difficult on the odd occasion i have used them things have been fine.

whats AST?


also we are using them and they have so far taken nearly 2 months to get to the point of offer, then at the last minute they ask for something completely irrelevant. its like they arnt looking at the app as a whole or different people keep being assigned to it.

Leon_W

That copied first post is stupid.


"Tenancy Agreements that we have in our current houses. Something pathetic about not being sublet for the first 3 months"

No lender is going to allow a tenancy agreement with a clause that permits subletting !

ACG

An AST is the tenancy agreement.

What is it that is irrelevant? It might be in your eyes but we might be able to give you an explanation as to why it is needed.

2 months to offer sounds crazy. I would be expecting to complete in that time frame. I have used them twice in the last 6 months, i always call them up before hand and run the case by them and ask what documents they need - both times the case sailed through. Your scenario may be more complex but my theory is to always do the ground work before submitting a case to ensure it fits with lenders criteria.

BTL is not really my bag, although as i now have a couple of landlords on board it is something i am getting more into.

Logan008

we are let to buy. for 2 half weeks the MA was on holiday, during which time nothing seemed to happen. then when I started chasing I was told by the MA my solicitors needed to send them info on our purchase before they would offer. my solicitors found this strange, and said they had not been contacted by BM. so basically for about a month the pair had been sat looking at each other without talking. then BM lost the fax with the details of our onward purchase, or said they didn't receive it from my solicitor, though my solicitor uses electronic faxes, so another week wasted.

Logan008

ACG wrote: »

An AST is the tenancy agreement.

What is it that is irrelevant? It might be in your eyes but we might be able to give you an explanation as to why it is needed.

2 months to offer sounds crazy. I would be expecting to complete in that time frame. I have used them twice in the last 6 months, i always call them up before hand and run the case by them and ask what documents they need - both times the case sailed through. Your scenario may be more complex but my theory is to always do the ground work before submitting a case to ensure it fits with lenders criteria.

BTL is not really my bag, although as i now have a couple of landlords on board it is something i am getting more into.

surely a deed stating the type of person you could let to isn't an issue to BM, as long as there getting there payments each month. also this sort of thing should be checked by them before they offer surely.