Mortgage approved but product now pulled

ftb95

Hi all,

I had a mortgage application accepted from yorkshire building society 2 days ago and paid the product fee. The product is a 90% LTV Mortgage which they restarted late May and removed again from their offering today. 

Is it possible that YBS can pull my offer before I complete? Currently waiting for my searches to be completed (next week according to solicitor) before we exchange contracts/complete. They’re still offering 85% LTV products which I could go for but I could be in the same situation again if they pulled that product...

Thanks in advance. 

MovingForwards

If you have a mortgage offer, that's valid until it expires or there is a change causing the application to be reassessed.

ftb95

MovingForwards said:

If you have a mortgage offer, that's valid until it expires or there is a change causing you the application to be reassessed.

Thank you. By change do you mean my circumstances and not my lenders? So providing the purchase goes through as intended and there’s no change in my employment/credit etc. my offer will remain valid regardless of whether they currently offer the product? 

MovingForwards

ftb95 said:

MovingForwards said:

If you have a mortgage offer, that's valid until it expires or there is a change causing you the application to be reassessed.

Thank you. By change do you mean my circumstances and not my lenders? So providing the purchase goes through as intended and there’s no change in my employment/credit etc. my offer will remain valid regardless of whether they currently offer the product? 

Yes, your circumstances change.

If everything stays the same, your purchase gets to exchange / completion, your solicitor requests the funds and the terms are the product you were approved for, even though it's not offered to new customers any more.

ftb95

MovingForwards said:

ftb95 said:

MovingForwards said:

If you have a mortgage offer, that's valid until it expires or there is a change causing you the application to be reassessed.

Thank you. By change do you mean my circumstances and not my lenders? So providing the purchase goes through as intended and there’s no change in my employment/credit etc. my offer will remain valid regardless of whether they currently offer the product? 

Yes, your circumstances change.

If everything stays the same, your purchase gets to exchange / completion, your solicitor requests the funds and the terms are the product you were approved for, even though it's not offered to new customers any more.

Excellent - thank you 

Thrugelmir

Product has been pulled as they've received sufficient applications for the funding they wish to commit to this product. Mortgage funds are finite. 

dwsjarcmcd

When I worked for YBS (a few years ago now!), the rule was that the product was secured on payment of the product fee, which was fully or partially non-refundable.  Obviously there is still the underwriting process to complete but assuming that progresses normally, you should be fine.

ftb95

dwsjarcmcd said:

When I worked for YBS (a few years ago now!), the rule was that the product was secured on payment of the product fee, which was fully or partially non-refundable.  Obviously there is still the underwriting process to complete but assuming that progresses normally, you should be fine.

Thank you. My application has been through underwriting (it was the underwriter who took the payment from me, I applied direct), valuation etc. finished and a formal offer is in the post on its way to myself and my solicitor. There's a 3 month time limit so providing the rest of the process goes smooth looks like I'll be fine