My Mortgage Offer Expires before the Estimated Completion Date.

FaZu_2

Hi Everybody,
we would like to have some advise / suggestions in what to do.
Our current situation is: We have a mortgage offer and ATP approved for a flat in a new building. We reserved it in Feb 16, one of the condition was to exchange within 28 days from reservation, so we have been pressurised to do everything quickly. So now the Estimated Completion Date is the 17th Oct with a longstop date to 16 Apr 17 and my mortgage offer expires the 11th Sep, the ATP expires the 13th Aug 16.
My Solicitor and the IFA stepped back and leave to us, first time buyers, the decision whether to proceed with the current mortgage offer, knowing the will expire before completion) or to amend the mortgage, probably by re-submit a new application, that this it what we wanted to do, but my IFA pulled us off by saying that there is no guarantee that we will fall into the new criteria of lending (I did not see any changes so far).
We are very confused and we do not really know what to do. All this happened because we have been pushed to do everything very quickly without a completion date.
What do you suggest? Can the IFA or Solicitor be liable for any damage to us?
Any suggestion / advise are welcome.
Thank you in advance for your time.
Regards
FaZu

jackomdj

One of the cons of buying a new build unfortunately. IMO I wouldn't be happy with it getting pushed back by 6 months.

alchemist.1

No one is liable to you. Amend the application or resubmit.

Thrugelmir

FaZu wrote: »

Can the IFA or Solicitor be liable for any damage to us?

No. Your choice to proceed.

Mummyto4kids

We reserved a new build back in November and exchanged within 28 days in December. Our contract said anticipated completion was March, we in fact are completing finally next week but our mortgage offer with the Halifax was valid until the end of this month so we literally only have days to spare


We haven't been happy with having the date pushed but the contract said we would only be able to withdraw if the delay was significant - although we felt 3 months was a long delay apparently its not in the new build house world!

poppy1010

We also reserved a new build in November 2015. We had to sell our house, which completed in December 2015. We then moved into temporary accommodation and exchanged on our new build in Januray. Our completion on our new build was supposed to be June 2016, but it's now been pushed back to September 2016. Our mortgage offer expired in June 2016, so we have literally just applied for an extension which took about a week and has been re-issued with expiry date of March 2017! (broker said they did a re-application as product had expired).

Our lender is apparently 'very good and accommodating with new builds'. So that helped I think.

kingstreet

Why do people post very specific questions and then leave out the most important piece of information, the name of the lender.

Some are easy to get extended offers, some you have to reapply.

What the OP is talking about is completely normal. The broker and solicitor do their best to make sure everything works, but we have no control over the actual build timetable. We try to avoid re-applications by using lenders with long draw-down deadlines or are easy to extend.

This often means not recommending the lender with the best rates.