Will getting sofa finance before completion affect mortgage?

Charles2988

Will getting sofa finance before completion affect mortgage?

The sofa finance has not started yet because we are not in our home. Would this affect my mortgage completion and do halifax do another credit check?

getmore4less

Do not change anything financial between exchange and completion.

MrSaver96

Yes it will certainly effect your mortgage application if you have applied before completion. You are obliged to tell your lender if you take any further finance out following your offer up to completion - even if this is buy now pay later.

Your lender will do a further credit check prior to completion. Although this may only be in circumstances where the time lapse between offer and completion is significant - someone should be able to confirm.

Moral of the story - don’t take any further credit out until completion and you are in your home!

KatieDee

During our mortgage application we were asked several times whether we expected to apply for any additional credit in the near future, or following completion. I assume this is to accurately assess your affordability.

If you're borderline on the affordability and they run another credit check prior to completion, they now have two reasons to doubt your suitability as a borrower - you've deliberately misled them with your credit commitments and you might struggle to afford the repayments if your circumstances change.

Mind you, they might not check, you might be fine and you might get a brand new shiny sofa to compliment your lovely new home...but do you really want to take that risk?!

AnotherJoe

Go into the sofa shop, tell them your issue, hopefully they will let you cancel,recind the finance application and come back in a couple of weeks to reorder. I'm sure you can get by for a few days without a new sofa, you can borrow some camp chairs, bean bags, use the dining room chairs, whatever.

Charles2988

Thank you for your message, I have a chat with a mortgage advisor n they said it's won't affect the mortgage completion because it's haven't started yet. If anyone has any information bout this

getmore4less

Where are you in the process?

Buying furniture before you move in is often a mistake

PasturesNew

We see this time and time and time and time again .... stop with the excitedly running round choosing sofas malarky ... stop it.

Until you get the keys in your hand, until you walk into that room and feel the space, until you're physically in and its yours .... choosing any sofa could end in tears for many reasons .....

Feel the space, observe the space, ponder the space.... measure the space ..... think, ponder, stare. Then choose one.

You can sit on blow up furniture or garden recliners for awhile.... it doesn't hurt.

JasonHand

Yep we see this time and time again and each time the advice is wait until you are in your new home.

Just think if you lose the mortgage because of you have a new credit commitment. You would be gutted and it is so easily avoided.

Hopefully you will have good few years in your new home. Whats a few weeks without your new furniture?

csgohan4

You have been warned


https://forums.moneysavingexpert.com/discussion/5930981/help-mortgage-offer-withdrawn-after-exchange