Transferring a mortgage offer

Bily85

Hi all,

We are FTB and have been awaiting an exchange date for the purchase of our property for over 4 months now. We have had everything arranged and organised and have been very flexible with regards to the clients requests. Our only request was that the matter be pushed through by last week as we were to be homeless once the tenancy runs out on our property. Despite assurances that this would go through and despite daily chasing, there has been a distinct lack of response from the sellers solicitors and a lack of urgency from the sellers despite the best efforts of the estate agent.

We are now in a position whereby we feel we have been held to ransom, the sellers are refusing to comply with queries which our solicitor has stated are their responsibility and they are pleading poverty (even though we have gone 20k above asking!)

We are wary that our mortgage offer expires in October and now that we are technically homeless are desperate for movement. We have once again been scouring the housing market and note that in these 4/5 months, things have calmed down and you can get a bit more for your money. Combined with the fact that we have continued to pug some money away for the past 5 months, we can put up a larger deposit.

My question is - where do we stand with out lender? We were offered a fixed rate deal for 2 years which was a good offer. Would we be able to transfer our offer to another property? the property may cost more, but our initial OIP was for far higher than we have borrowed. Would we have to get another offer issued?

Any help would be much appreciated.

Thanks

kingstreet

Presumably, you applied before April?

If so, you'll probably have to reapply and be assessed under the MMR regime. You may be able to keep your rate, but TBH it's going to depend on your particular lender's processes.

Bily85

Thanks for the response. We applied after the MMR came into play. We applied through a broker and to be honest, the application and offer was a completely pain free, stress free process. If only the rest of it could have been!

kingstreet

In which case, hopefully the change of property shouldn't see any new requirements, particularly if there's no increase in amount you want to borrow or loan to value.

dannim12345

I'm in the same situation-ish and my broker said it would be fine to transfer mine over but worth speaking to your broker.

Bily85

I think there will be an increase in amount want to borrow but not LTV

Thanks guys, i will consult the Broker

REDDDRAGGON

When the property I was buying a few months ago fell through, and found a new place , I had to do the whole mortgage application again (with Nationwide through a Broker), nationwide did eventually refund me £99 product fee.

This was post-MMR and the second property cost less, so I wanted a smaller mortgage.

TBagpuss

Talk to your broker. I had a mortgage offer (with Nationwide) - my purchase fell through and I then found a new property. I had to pay a second arrangement fee but the first one was then refunded (for some reason they couldn't simply transfer it, I did have to solemnly pay them and then they paid me!)

It was all remarkably hassle-free, and as it was a new offer the time restarted so there wasn't a mad rush to complete before the offer ran out.

Thrugelmir

Bily85 wrote: »

and they are pleading poverty

In what way? As may explain the lack of movement.