Advice, please - Mortgage company on go slow

Anjistar

hello,
Is there any good way to get a Mortgage company to get a wriggle on?

Someone I know is about to lose both their first flat and their hard-earned deposit because the Mortgage company has sat on their application for 3 months, given them no indication as to whether or not they'll get it (despite an agreement in principal 3 months ago). Not a peep out of them last week and today requesting more documents, so it hasn't even gone to the assessor yet, let alone a surveyor.

It is now 2 weeks to when they have to sign the contract for their apartment (bought off plan a year ago) and 4 weeks to completion. If they sign without a mortgage in place they will be charged a hefty interest fee (between £30 and £60 a day). If they don't sign they lose their deposit as they can't possibly sell it in time.

It just seems so unfair that the mortgage provider can take so long to make a decision, possibly turn them down and thereby lose them their deposit, effectively scuppering their chances of ever owning property.

Many thanks for bearing with this rant! Any advice most gladly welcomed.

libf

Either the buyer or broker need to chase up with phone calls, and at this stay probably every day.

ACG

Who is the lender?
Some lenders you can give a kick up the backside, others will just fall on death ears.

It is for the broker or applicant to sort out though.

Landofwood

ACG wrote: »

Who is the lender?
Some lenders you can give a kick up the backside, others will just fall on death ears.

It is for the broker or applicant to sort out though.

Hopefully deaf ears, death ears sounds like a massive overreaction.

silvercar

Nag, every day. Use social media if necessary to spur them on.

Post the name of the lender as someone on here will know how quickly they work.

Have they exchanged yet?

Worst option is to get a back up plan in place - new application with different company, bridging loan, friends or family??

Let_Us_See

I agree with ACG. Forget "wriggling" with these deadlines you should (or your adviser) be making a real nuisance and bombarding the lender for updates and pushing application forward.

Why has the application been allowed to drift in this manner?

ACG

Landofwood wrote: »

Hopefully deaf ears, death ears sounds like a massive overreaction.

Oops.
Was on the phone and being male I can not multi task.

Thrugelmir

Anjistar wrote: »

It just seems so unfair that the mortgage provider can take so long to make a decision, possibly turn them down and thereby lose them their deposit, effectively scuppering their chances of ever owning property.

What's been the issues?

Buying off plan does have risk attached. As there's no guarantee a mortgage will be granted. A DIP means little as is not an indication of whether a mortgage offer will actually be made.

roje

Can't they just switch to another lender if all else fails? Some are quicker than others?

Anjistar

Thanks everyone for your input, it's very helpful.

I gather the broker and the solicitor are, and have been, doing as much as they can and are as frustrated as the clients.

I haven't put the lender as I don't want to jeopardise anything. I will suggest they get onto social media, as I know that has worked for me with other big companies.

Dave_Ham

Something does not add up right.

What has your friend and the broker and unbelievably the Estate Agent been doing for 3 months and they are still requesting documents???