Mortgage Expiry Dates

PRENDOJ12

Hi all


I'm currently buying a house from a new property developer. It's not a new build, the current vendors have part exchanged this house for a new build.


They accepted my offer based on the fact that we exchange within 28 days and complete in roughly November (depending when the current vendors new house is ready).


We've gone through all the stages, Nationwide have given me an offer and we are due to exchange next week. However, I noticed that the offer expires on 1 December...


Now new builds are not known to be ready on time, and I'm really worried what will happen if it's not. I could ask for an extension (even then there's still no guarantee it'll be ready), or apply again later in the year. If I proceed and exchange I am legally bound and I could lose my deposit if things fall through.


My broker is going to contact Nationwide about an extension and my solicitor said she could write something in the contract about a set date, but I very much doubt the developer will accept this.


Has anyone else been in the same situation / know of someone who has? This must happen alot if developers are asking people to exchange so quickly.


I am concerned that I'll need to pull out if I cant get something set in stone. I love the house but don't want to lose £40K....


Thanks

amnblog

Nationwide will do a 45 day extension putting a note on the file to that effect.

That takes you to mid January.

Any delay beyond that and your Broker will need to re run the application.

davidmcn

PRENDOJ12 wrote: »

my solicitor said she could write something in the contract about a set date, but I very much doubt the developer will accept this.

No, but they're more likely to accept a longstop date i.e. entitling you to walk away at the point where your mortgage offer expires.

PRENDOJ12

This is really helpful. thanks everyone