Second time vendor pulls out whilst applying for a mortgage

darkman13

Agreed to buy a property; a day before survey vendor stated he no longer wished to sell, the mortgage application via Halifax stopped.

Found a new property few doors away on the same street £35,000 more expensive but decided to go with virgin who were lending the missing amount, just as applying for a mortgage and a credit search done literally four hours after I get a call stating the vendor wants £15,000 more than the agreed price.

What happens from here on in regards to current application to virgin mortgages? My credit rating due to 2 searches naturally has fallen and even if I was to raise another £15,000 I have lost confidence by vendor who on the day before exchange might say I want another £10,000.

Do I continue with the virgin mortgage application and state the vendor has pulled out and find a alternative property or does the application fall as there is no sale proceeding and take another hit on the credit file? What would be the implications of this and what would you do if you were in my situation?

I've read this post few times it sounds a bit confusing but that's only because I'm confuse myself!

First application was a by broker Lost confidence in her so decided to go direct to virgin mortgages.

[Deleted User]

Your credit rating is fictional so is neither here nor there. There's nothing you can do about the searches being recorded as and when they need to be.

I'd have thought if Virgin is your preferred choice, then you stick with them once you have a new property.

Lilla_D

Losing a property is quite common, lenders are aware of it, so when you find a new property, you (or the broker) can just update the lender and they'll proceed with the same application (but with new address and new figures) for the new property. Assuming that you find a new property within a few weeks, rather than after 2-3 months.

As said above, the credit score is fictional, ignore it. The fact that you had 2 credit searches is more important, so it'd be wise to stick to Halifax or Virgin during the next attempt once found a 3rd property.