Exchange of contracts happening tomorrow what should I expect?

pinkteapot

Have you had your formal mortgage offer, or a decision in principle?

If your full mortgage application went in and you've received your formal mortgage offer (massive document, often sent on by your solicitor), then the lender doesn't usually do any more checks. They only make the offer once they've assessed both you as a borrower (via pay slips, bank statements, etc) and the property as collateral (via the valuation survey). Once the offer is issued, you've 'got your mortgage', even though the loan doesn't start until completion.

In theory, if your circumstances change before completion (eg if you lose your job) they can withdraw the offer, but I've never heard of this actually happening.

When you see your solicitor, ask lots of questions. Naturally, as a FTB, you're not familiar with the house-buying process. They'll be used to that and should be happy to answer any questions until you understand what's happening.

Brigmeister30

Not that either of us are about to (hopefully) how would they know if someone lost their job? we have full mortgage offer I am guessing they would only second checks if they thought something wasn't right?

fezster

I believe that all solicitors acting on behalf of a lender are obligated to do a bankruptcy check just prior to funds being requested. That is the only "last minute" check which is done. It may be a term of your mortgage offer to let them know of any change in circumstances - whether anybody does or not, that's a different matter.

In terms of how far you are from exchange, you can gauge this somewhat if you know that searches have been carried out, and your solicitor has sent you a report detailing these, and whether there were any further inquiries to the seller off the back of these. You'll also know if your mortgage offer is ready (as you would have received a copy) and the solicitor would have asked for the deposit to be paid. As said already, ask your solicitor to go through with you exactly what is left before they can exchange, and they should be happy to take you through it.

marksoton

Brigmeister30 wrote: »

Not that either of us are about to (hopefully) how would they know if someone lost their job? we have full mortgage offer I am guessing they would only second checks if they thought something wasn't right?

The most important thing is no new lines of credit and no excessive spending on existing credit till after completion.

Brigmeister30

Spoke to estate agents apparently the seller has had her solicitor searches submitted so just waiting on them and then she is ready to move. Does anyone have any idea what kind of a timescale I am looking at? Thanks

fed_up_and_stressed

Brigmeister30 wrote: »

Spoke to estate agents apparently the seller has had her solicitor searches submitted so just waiting on them and then she is ready to move. Does anyone have any idea what kind of a timescale I am looking at? Thanks

How long is a piece of string ? It depends on how long the searches take to come back ..some local authorities have an 8 week turnaround others a few days.

Then there will probably be enquiries raised as a result of searches and the property information pack so waiting on the seller to answer them and the buyer to be happy with answer etc etc

marksoton

Things seem to be happening a bit back to front here!

Brigmeister30

Unsure as to why they are happening back to front? I think I am mistaken as she is having searchers done on the property she is moving in to... thank you all for your advice sorry if I seem to be very timescaley. As we are FTB we are unsure what to expect!

marksoton

Brigmeister30 wrote: »

Unsure as to why they are happening back to front? I think I am mistaken as she is having searchers done on the property she is moving in to... thank you all for your advice sorry if I seem to be very timescaley. As we are FTB we are unsure what to expect!

In which case i doubt exchange will be imminent. Your vendor is unlikely to agree to move out of the place you're buying when they haven't even had searches done on their new place.

They might, but only if they have somewhere to go in the interim.