Withdrawal of sale

sparkly_sun

Hi all,

I'm awaiting a mortgage offer subject to valuation on a bit of a bizarre property (grade II, flying freehold, above a shop) and upon receiving this was going to send off my buyers questionairre to the solicitors (as advised by my broker).

I've just had an angry voicemail from the estate agent saying that they vendor is very upset that the questionairre hasn't been sent to my solicitor and that if I don't return it in the next 24hrs they will withdraw the sale.

I don't want to get my solicitor to start all the searches as a cost of £££s only to find the lender won't lend.

What should I do?

Landofwood

sparkly_sun wrote: »

Hi all,

I'm awaiting a mortgage offer subject to valuation on a bit of a bizarre property (grade II, flying freehold, above a shop) and upon receiving this was going to send off my buyers questionairre to the solicitors (as advised by my broker).

I've just had an angry voicemail from the estate agent saying that they vendor is very upset that the questionairre hasn't been sent to my solicitor and that if I don't return it in the next 24hrs they will withdraw the sale.

I don't want to get my solicitor to start all the searches as a cost of £££s only to find the lender won't lend.

What should I do?

How long since offer was accepted?

sparkly_sun

4 weeks. Had decision in principle from HSBC but then they wouldn't lend so now awaiting valuation from Leeds.

Landofwood

sparkly_sun wrote: »

4 weeks. Had decision in principle from HSBC but then they wouldn't lend so now awaiting valuation from Leeds.

I'd probably be annoyed too.

Are you using a broker for the mortgage?

eddddy

To avoid confusion, it's good to keep your solicitor (and the EA) informed about what you are doing and why.

Perhaps the best plan would have been to return the questionnaire to the solicitor, but with instructions not to proceed with anything until you had feedback from your lender.

So just explain the situation to the EA, with your reasons.

It will help the EA if you can give them some concrete facts to pass back to the vendor. e.g. "I applied for the mortgage on <date>. The valuer visited / will visit on <date>. I'm expecting a decision on <date>, and then I will instruct my solicitor to start the searches.

(But the vendor/EA may still be unhappy about the delay!)

sparkly_sun

Yep, using a broker who recommended not sending anything back. My solicitor knows what's going on and another estate agent (not the one who left the angry message, maybe he's on holiday) was is also in the loop with regards to mortgage and valuation. Once the mortgage offer is there I can get the questionnaire to my solicitor the next day.

I can understand why the vendor is upset because they will want to get things moving, and waiting for a secure mortgage offer before carrying out searches etc. slows the process down, but I just can't take a punt on it financially. Surely the approach I'm taking isn't unusual and fairly sensible?

Landofwood

sparkly_sun wrote: »

Yep, using a broker who recommended not sending anything back. My solicitor knows what's going on and another estate agent (not the one who left the angry message, maybe he's on holiday) was is also in the loop with regards to mortgage and valuation. Once the mortgage offer is there I can get the questionnaire to my solicitor the next day.

I can understand why the vendor is upset because they will want to get things moving, and waiting for a secure mortgage offer before carrying out searches etc. slows the process down, but I just can't take a punt on it financially. Surely the approach I'm taking isn't unusual and fairly sensible?

It's sensible for you to wait until your mortgage offer comes through before paying anything.

It's unusual for a mortgage to be rejected, especially when it's been vetted by a broker.

I'd probably remarket the property at this stage.

DRP

sparkly_sun wrote: »

Yep, using a broker who recommended not sending anything back. My solicitor knows what's going on and another estate agent (not the one who left the angry message, maybe he's on holiday) was is also in the loop with regards to mortgage and valuation. Once the mortgage offer is there I can get the questionnaire to my solicitor the next day.

I can understand why the vendor is upset because they will want to get things moving, and waiting for a secure mortgage offer before carrying out searches etc. slows the process down, but I just can't take a punt on it financially. Surely the approach I'm taking isn't unusual and fairly sensible?

In addition to making sure you keep everyone in the loop, I'd be sending an email/call to Mr Angry and their boss, advising them to be a bit more professional (and that you'd rather deal with someone else in future). That behaviour isn't really on.

AlexMac

Agree the above; you're behaving rationally. Although it would be tempting to respond in an equally unprofessional way and bite back by telling Mr Angry Agent that his client is lucky to have a sale on a listed flying freehold, a reasoned approach is surely best.

pinkteapot

HSBC don't deal with brokers so, OP, I'm guessing that you applied direct to HSBC, got turned down, and are now using a broker? If that's the case, explain it to the EA as they'll know your next mortgage application is likely to be fine.

I do agree with Quizzical Squirrel's point that, to your vendor, it simply looks like you think you won't be able to get a mortgage. If I was the vendor, I'd be getting impatient too.

It's up to you whether you call the vendor's bluff and return the questionnaire or not, but keep the EA on-side by stressing your commitment when you speak to them and keeping them updated as often as you can.

Even if the vendor re-markets the property they should still sell to you if you get your act together, so unless you think it'll re-sell fast if it goes back on the market you may not have much to worry about. That's assuming the vendor isn't saying that they're no longer prepared to sell to you under any circumstances.

sparkly_sun

I'm not disagreeing with you, Quizzical Squirrel. I perhaps do seem a bit fluffy and non-committed. My first house buy so it's scary stuff but what you say is very valid.

I've sent the questionnaire off but asked the solicitors not to carry out local searches until the mortgage is confirmed. My solicitors have contacted the vendors solicitors and the valuer has been around today. He's sent the report straight off so hopefully the lender will lend. Nice EA (Not Mr Angry) has been very rational and understanding and has calmed the vendor down. Looks like it'll all be ok but with hindsight I should perhaps have taken to risk with regards to searches etc.