House buying in Scotland - timeline and transfer of funds

Johnston_FW

Hi, completely new to this so a bit clueless and looking for some advice.

So my situation is I am trying to buy a property, I am a 1st time buyer, I currently have a £10k deposit available to me. This will allow me to put down a 5% deposit plus an additional £5k over and above the home report value of the property (give or take but thereabouts given the price range I am looking at).

For whatever reason the area I am in the market seems to be going a bit crazy at the minute and therefore houses are going for upwards of £10k above the value of the property, therefore I am just not able to compete with that with my current funds.

Over the next 8 weeks (the time I believe it takes to go through the mortgage process and reach a completion date) I should easily be able to come up with an additional £3k, due to the fact I have just moved out my rental property and in with my mum therefore have no monthly house related costs, I am due a (small) bonus at work and I have also just this month had a resonably significant pay rise.

Therefore my question (eventually getting to the point) is, at what point do you actually hand over the full deposit amount to your solicitor and will they be able to proceed with the contract etc on the basis that these funds are coming from future income and not currently in my account at this very point. Just to re-iterate I do have the £10k available to me now, its just this extra few thousand that I think could make a big difference to my position when making an offer.

I am in Scotland so I know the process will be different to England but any help or guidance would be very much appreciated!!!

googler

You'll have to be able to show your solicitor that you are in a position to proceed with your purchase, and you have to have funds in place before they will tender an offer on your behalf.

I don't think any solicitor would proceed with an offer on your behalf on the basis that some of the purchase price would come from assumed income between offer and entry date; however, why not ask yours?

System

Part of the checks are proof of funds and anti money laundering checks, in a similar way to a solicitor not submitting an offer without an offer in principle for a mortgage, I'd be very surprised if any would be willing to submit a binding offer based on potential future income

davidmcn

googler wrote: »

You'll have to be able to show your solicitor that you are in a position to proceed with your purchase, and you have to have funds in place before they will tender an offer on your behalf.

I don't think any solicitor would proceed with an offer on your behalf on the basis that some of the purchase price would come from assumed income between offer and entry date; however, why not ask yours?

Hmm. They'll strongly advise you that you'll need funds by the date of entry. Your solicitors doesn't need to see funds at the time of offering. I don't see a problem with submitting an offer if you know you'll have put the funds together by the date of entry.