Can solicitor request mortgage funds before exchange?

ExNicotineQueen

We viewed the house we are going to buy again this weekend just to see if the vendors had cleared their junk. They hadn't, so we have refused to exchange until they clear it.

They have proposed this should be done with a deadline set of next Monday night (27th). The EA has said we can view the property again on Tues (28th) after work to make sure we are happy with it.

Assuming we are happy with the state of things on Tuesday night, Wednesday (29th) morning, if we call our sols and say we want to exchange that day and then complete the following day, Thursday (30th) is this possible?

What would happen if we viewed the property on Tues night and they still hadn't cleared everything (strong possibility, vendor has had 2 months already) and we pulled out of sale because this is the last straw (no exchange). If the solicitor had drawn down funds, what happens to them? Do we need to pay interest on it?

The bank we have got a mortgage with is Natwest if that helps.

davidmcn

Yes, solicitors can request funds before exchange.


If returned quickly enough most lenders won't charge you interest. You'll probably have to pay your solicitor's bank transfer fee though (as well as whatever else they're entitled to charge for an abortive transaction).

AdrianC

If you're planning to complete on Thurs, then they're not just able to, but they're going to NEED to draw them down before you exchange on Weds...


If the money is delayed, and isn't available, then you can't complete.

Bobby_Wader

you will have to give the funds prior to exchange date, this is standard. We have done so on numerous times. We have also had exchange and completion on the same day, no need to have to delay 24hrs

SmashedAvacado

you could put a clause in the contract asking the seller to clear the junk.
You could agree that if the junk isnt gone at the completion date that they have to complete but that you can hold back £2k at completion in compensation of your costs in getting the junk removed
that woudl be incentive enough for them to do it in the time that they ought to

tacpot12

If there is to be any sort of delay between Exchange and Completion, I would only expect to pay a small deposit prior to exchange, say £2000. This is what you would loose if you pull out of the deal after the exchange of contract. The main deposit and the balance from the mortgagor are only required a few days before completion. You will have to provide your solicitor with evidence that you have all the funds available, so there should be no need to pass them to the solicitor weeks before completion. Remember you are paying interest on the funds, so you don't want to be borrowing them weeks before completion is due.

Be careful paying money to your solicitor. Call them to check the bank account details you are paying to. There have been a number of frauds where emails from solicitors have been intercepted and bank details changed by a fraudster.

In the OP's particular case, because they intend to exchange contracts and complete within a couple of days, paying ALL the purchase price before completion will be necessary.

bigstevex

For the sake of some junk I'd just move it myself, definately wouldn't let something like this stop a transaction or pull out. Your losses on aborting would be higher than clearing it yourself surely?

martindow

Normally people are living in the house when you exchange and only move their stuff out on the day of completion. It would be good for you to have the reassurance that the place will be empty when you exchange but is it really a deal-breaker?