Decision in Principle not accepted by EA

Fuzion

I made an offer on a house today, and was told while the offer was probably acceptable, I'd have to speak to the EA financial adviser to discuss my mortgage. I provided my London & Country 'certificate of decision in principle' and evidence of my deposit and received this -

"Thank you for sending the proof of your deposit which is absolutely fine. Unfortunately the L&C approval clearly states that it has not been credit searched or scored so we cannot accept this."

Which sounds reasonable but L&C tell me they need to have an offer accepted before they can take the mortgage application process any further. Seems like a catch 22. How should I proceed here?

(The EA financial adviser advised me that they were able to offer a mortgage, of course; I wonder if they are trying to push me to use one of their mortgages? To be fair the deal they were offering was okay).

marksoton

Of course they are trying to force you to use their service.

Tell them to jog on and that you expect your offer to be presented to the vendor immediately.

always_sunny

I had the same problem, I ended up buying another property.
The EA is obliged to pass your offer to the vendor but if they have other offer they will sway towards one who uses their FA.

Don't worry, eventually the right property will come along, no need to fall prey of their tactic.
Do not disclose your financial position with the EA.

rtho782

The rules are whatever the vendor makes them, if the vendor says they will only accept offers with a decision in principle that has been credit searched, it sounds like you won't be able to use L&C as the mortgage provider if you want that property.

They are limiting their market, but that's up to them.

marksoton

rtho782 wrote: »

The rules are whatever the vendor makes them, if the vendor says they will only accept offers with a decision in principle that has been credit searched, it sounds like you won't be able to use L&C as the mortgage provider if you want that property.

They are limiting their market, but that's up to them.

The chances it's vendor driven are slim to none.

It's the EA. OP is it Connells perchance?

Fuzion

To be honest the EA's mortgage offer seemed reasonable at 2.99 on a 5 year fixed rate, incl fees and basic survey etc. There are slightly better deals out there though. Just to be clear, you don't have to 'prove' you will be accepted for a mortgage, beyond confirming you have a Decision in Principle?

Fuzion

It was Yourmove.

AlexMac

In my last few purchases I've always had an offer accepted before finalising finances and while I've never used the EA's advisor's services(and they are obliged to forward all offers to their client), it's a matter of judgement how you handle them (the EA).

The blunt way would be to tell them how to run their business; stop messing you about or trying to bounce you into using their other (income-generating) services such as Finance, insurance or the solicitor who will give them a commission for every referral, and order them to forward the offer as they must, and get a reply from their client or you'll find another house.

Or you can play nice, smile, speak to their advisor, get your offer accepted, then do what everyone does, which is make your own decisons . I've had a couple of sessions with EA's in-house financial advisors because some of my local EAs simply use 'em to give you a fiancial health check so they can strongly recommend to their clients you if there are competing offers (we live in a sellers' market area). They soon get the message if you already have your own preferred lender (as we usually do)

good luck

JP1978

Your Move pay their staff quite a low wage and they have incentives to make their wage up - ie selling home insurance, mortgages etc.

Post the offer through the vendors door if you think that they are not passing on your offer.

glasgowdan

I'd tell your move to pass the offer on, that you won't be using their mortgage advisor and I'd back this up with a note to the seller directly

AnotherJoe

Posts 9 &10.