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Mortage offers and gazumping
vmp
Posts: 37 Forumite
Lets say you have a mortgage approved for a house worth £100K with a mortgage of £70K and a deposit of £30K.
In order to fend off a gazumping attempt, you increase your offer to £110K.
You're in the fortunate position where you can simply increase your deposit to do this, rather than needing additional borrowing.
Do you need to reapply for your mortgage (because the property value and deposit amount has changed) or not (because the amount you're borrowing is the same)?
Does anyone have any experience of this?
In order to fend off a gazumping attempt, you increase your offer to £110K.
You're in the fortunate position where you can simply increase your deposit to do this, rather than needing additional borrowing.
Do you need to reapply for your mortgage (because the property value and deposit amount has changed) or not (because the amount you're borrowing is the same)?
Does anyone have any experience of this?
0
Comments
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You notify the lender of the new purchase price.
As the valuation will remain the same, the loan to value will be unchanged so the case doesn't have to be re-underwritten.
A new offer will be issued.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0
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