HSBC pull out of mortgage 2 days before completion

Mortgage_Adviser

HSBC issue the conditional offer subject to valuation, prior to the valuation taking place.
If the conveyancers have checked this type of offer and have not spotted that it is not a full unconditional offer then OPmay have a legal claim against his conveyancers for not spotting that the client hasb't got a full offer and proceeding to exchange.

diggingdude

Any update?

milomilosh

Update to follow.

Want to see situation resolved before I jinx it.

[Deleted User]

Up until quite recently the broker route was doing Offers issued subject to valuation. It was then up to the conveyancer to get a copy of the valuation to check any conditions and to decide if the offer was valid or not.
Obviously this caused chaos with chasing down valuation reports at the last minute so it was changed.

I can only assume the direct route still uses this old way of doing things and there is a case of no one reading the mortgage offer here.
You should have noticed the subject to offer bit but more importantly so should your conveyancer.

It is easy to blame HSBC here but if the offer is issued subject to valuation then its not their fault. Its either your broker for not telling you it declined (although i cant see how a broker did this recently as it feels like this change to 'proper' offers happened last year some time). Your conveyancer for not reading the offer, or yourself for not reading the offer and authorising exchange.

Eager to see a resolution cause you are potentially in a mess here but hopefully there is a way to fix things.