Will 'lockdown' effect house purchases?

ACG

JustJane101 said:

ACG said:

JustJane101 said:

ACG said:

I cant see there being any houses going on the market and I cant see anyone wanting to buy other than people already in a chain. So if you look at supply and demand, there will probably be neither and so house prices should stay fairly static as there will be no evidence of down valuations once things return to normal. 

In the last recession house prices dropped as there were mass redundancies - 10,000 at a time in some companies. The government has stepped in like never before to not just protect banks but most businesses out there. Some business will go under and there will be redundancies, but I cant see it being on the scale of 10 years ago. 

Nobody knows if house prices will drop, personally, I think there will be a little drop but I dont think it will be anything more than maybe 10%. But to be fair if people want to move in 6 months time and nobody is listing, you might even find demand outstrips supply and the opposite happens. 

My accountant boyfriend agrees with you here, and so do I. But it is a fact that Kensington amongst others have pulled 95% LTav mortgages. 

How long does a mortgage offer last? If I do get my mortgage offer today, will it only be 12 weeks? What happens if they don't allow me to exchange and complete before offer expires? Will they renew the offer now they aren't going 95% mortgages?
This is even saying I do get my offer!  This house means so much to me. It's going to be my home for a very long time so negative equity in the short term isn't a worry of mine. 
I'm sick with worry, I'm anxious. I'm angry that I won't get to see my boyfriend now until all this blows over as he lives 600 miles away. I'm still working as normal which is probably a God send to be honest. I understand nobody has a crystal ball but I cannot cope with not knowing for much longer because there is nothing I can physically do to help my situation. If I lose this house purchase, I will end up waiting a very long time for something this perfect to come up again, especially if the market slows. I need this house otherwise me and my boyfriend will not be able to live together any time in the near future, and our lives are pretty much on hold.   

If you fit on the 95% product with Kensington there may be 1 or 2 other lenders who may consider you at 95%. 

Some of the specialist lenders have tightened their belts, that is because they are currently not eligible for the money the government are offering to conventional banks. If that changes you may find things revert to "normal" on that front. Their thinking is if they tighten their belts a little now, they should be able to carry on lending over the longer term without struggling to get more money in. 

Nobody really knows and if I am being completely honest, the last 2 days have been exhausting, so I can imagine what you are going through. I get quite invested in our customers mortgages so if things go wrong it weighs on me. After this week I cant wait for it to all just die down as it has been the worst week I have had since being a broker and I normally love my job. 

I am really surprised at how ill prepared mortgage lenders are with cancelled valuations. I raised this issue 2 weeks ago with a few lenders and they have nothing. 

I cant really offer any helpful words other than this is affecting everyone and I would like to think if you applied before the 95% product was pulled, they should be agreeing it if they would have accepted you last month. If it is declined, you probably have some time to explore other lenders as no estate agent is really expecting any movement for the foreseeable. 

Fingers crossed! 

Really?! That's positive to know. I honestly thought this was my only chance. 

I really don't want to annoy my brokers again, as I've asked for an update monday and yesterday. Still nothing. They said they would call Kensington yesterday but I have heard nothing back and frankly that scares me because I now am pretty certain I haven't had it. 

Honestly thank you guys for all the hard work you do for us. You all deserve a lot more appreciation than you get. It is frustrating but I'm glad my valuation has already been done to some extent. 

The quicker all this blows over and life goes back to normal the better. I hope you guys aren't suffering because of it. 

I'm on night shift this week but I have slept about 30 minutes and so anxious I can't sleep, and I've been like this since friday. I feel sick. My job is one of the most secure out their (I will not lose it and I will get full sick pay If I need it)...i honestly thought this would help me but maybe I'm wrong 

Its not your brokers fault, honestly lenders (all lenders not just specialist lenders) have been shockingly bad. This has been on the cards for 2-4 weeks depending on how proactive they were and we are just getting no answers from anyone. 

Estate agents are being pretty relaxed about it, which is a first. I think that shows you how up in the air things are at the minute. It is 100% not a sign of your application being good or bad. 

homeless9

ACG said:

Ive woken up in my garden and various train stations around the country over the years, a few weeks on your own floor youll be fine. It will put hair on your chest as my granddad used to say.  

Not if I get coronavirus. Imagine getting the virus and trying to recover lying on a floor.

homeless9

Firsttimebuyer_25 said:

homeless9 said:

If I end up moving into my new build I'd be sleeping on the floor as you can't buy any beds, sofas, etc right now. Ain't even got a blow up bed. I'd be shivering on the floor.

I'm in a similar situation, but just got a bargain mattress delivered next day from Very! £120 quid and very prompt delivery....credit to them!

ahh, I thought non essential businesses were not working. Well hopefully there are companies still delivering things like this in a few weeks time.

JustJane101

Its not your brokers fault, honestly lenders (all lenders not just specialist lenders) have been shockingly bad. This has been on the cards for 2-4 weeks depending on how proactive they were and we are just getting no answers from anyone. 

Estate agents are being pretty relaxed about it, which is a first. I think that shows you how up in the air things are at the minute. It is 100% not a sign of your application being good or bad. 

Do you think they are just too scared to lend? I'm so nervous they are going to say no because of what ifs in the market. 

My broker have been fantastic, minus one thing that they missed which they probably should have realised (Kensington wouldn't accept my deposit, but hopefully we are sorted now). I couldn't fault them aside from this. If there was no issues with the deposit then I would probably have had offer 2 weeks ago! 

Interestingly my partner just remortgaged with Halifax. Had a telephone call last night and got accepted straight away nil issues. Although he has perfect credit history on all 3 providers, and LTV is now 46%. 50k a year annual earnings and only about £3k outstanding on credit cards. No other debts. I think it gets more tricky with first time buyers on lower wages though. 

Our estate agents haven't responded to any of my recent request nor the vendor. Vendor actually emailed me this morning as estate agent is probably off. Both of our solicitors are still working and doing everything they can to help us out. I really hope I hear back from Kensington today. 

I am probably going to be sent to do stuff with work to help out in this virus stuff (military). I can't help but think if I had a house in all of this me and my partner now wouldn't be having to cope with an undefined amount of time apart as he can work from home, I can't. He can't be left in my current accomadation alone. 

Stress levels are slowly getting worse to the point I can't eat. Giving myself till 1400 then will call broker. I know it isn't their fault but!

pelirocco

Dont count on getting a removal company in , we are stopping friday , and no face to face surveys until it is deemed safe to do so 

JustJane101

I won't need removals, as everything will be furnished from scratch and I'll have a month or so to move things between my current accomadation and the house. Not that I have a lot of stuff anyway! 

JustJane101

Update.

I've just had an email from my broker. After Kensington were not happy with my deposit source, we waited for the Forces Help to Buy to go through. Uploaded that on thursday. Now been told they can't read my payslips and I need to upload them again. WHY DID THEY NOT CHECK EVERYTHING first and then request what they needed etc all in one go? My anxiety cannot cope with what is looking like an even longer wait to probably be told no, because that's just my luck. I'm in the middle of a breakdown here and I've got to go to work in an hour.

Mr87

Keep calm and carry on and all that jazz . Do what you can within your control and try not to worry about the rest of the process (easier said than done I know). Surely the fact that they are asking for you to resubmit docs because they can't read them properly is an encouraging sign, if they were going to reject you outright they just would. 

amnblog

If you have exchanged, you will complete.

If not, no sale is guaranteed in England and Wales as always.