Can a mortgage be withdrawn after completion?

[Deleted User]

I am looking to take out a mortgage and my AIP is based on my current circumstances and these will not change them before completion. I have read that a lender can withdraw your mortgage prior to completion if your circumstances change. However, after completion day, can I commit to another monthly finance (sofa finance, car finance etc), or can my mortgage be withdrawn after completion? I understand your first mortgage payment won’t clear for a couple weeks after you’re in the property, so I wondered if you should wait until then to take on additional finances? Or if it’s ok to do it as soon as you have the keys, and completion is done? 

Thanks!

blue_max_3

Once the lender has advanced the loan, they can't withdraw it. That's as long as you meet your obligations under the loan, of course. Even if you lose your job, they can't withdraw it. You are safe, but don't be too hasty to take on additional debt. I know it's tempting!

[Deleted User]

Hi blue max,

I wasn’t making any drastic commitments to take on my debts, I just was unsure what the situation was at all. I wasn’t sure in the waiting period from getting the keys, to the first payment clearing, if that was also a risky period where they could withdraw. That’s reassuring!

[Deleted User]

blue_max_3 said:

Once the lender has advanced the loan, they can't withdraw it. That's as long as you meet your obligations under the loan, of course. Even if you lose your job, they can't withdraw it. You are safe, but don't be too hasty to take on additional debt. I know it's tempting!

Hi blue max,

I wasn’t making any drastic commitments to take on my debts, I just was unsure what the situation was at all. I wasn’t sure in the waiting period from getting the keys, to the first payment clearing, if that was also a risky period where they could withdraw. That’s reassuring!

iampetesmith

Once the lender has released the funds to pay for the house, you get the keys and the house is yours. After that, all they're interested in as that you make the repayments every month otherwise they can just repossess the house. But they can't withdraw a mortgage offer after completion day as it's all done and dusted, so as long as you don't have anything on finance before then you'll be fine.

We ordered our sofa on finance the day we had the keys and were able to measure up properly in an empty house.

blue_max_3

housebuyer2020 said:

Hi blue max,

I wasn’t making any drastic commitments to take on my debts, I just was unsure what the situation was at all. I wasn’t sure in the waiting period from getting the keys, to the first payment clearing, if that was also a risky period where they could withdraw. That’s reassuring!

I'm glad to hear! I'd still let the dust settle if I were you, so you can digest this purchase and see the effects on your finances. You need to see how the bills are going to work out too. Not suggesting you're reckless, I don't know you from Adam, but things are far from certain in this awful time.

[Deleted User]

iampetesmith said:

Once the lender has released the funds to pay for the house, you get the keys and the house is yours. After that, all they're interested in as that you make the repayments every month otherwise they can just repossess the house. But they can't withdraw a mortgage offer after completion day as it's all done and dusted, so as long as you don't have anything on finance before then you'll be fine.

We ordered our sofa on finance the day we had the keys and were able to measure up properly in an empty house.

That’s great to hear, thank you. It’s all such a daunting process! 

[Deleted User]

blue_max_3 said:

housebuyer2020 said:

Hi blue max,

I wasn’t making any drastic commitments to take on my debts, I just was unsure what the situation was at all. I wasn’t sure in the waiting period from getting the keys, to the first payment clearing, if that was also a risky period where they could withdraw. That’s reassuring!

I'm glad to hear! I'd still let the dust settle if I were you, so you can digest this purchase and see the effects on your finances. You need to see how the bills are going to work out too. Not suggesting you're reckless, I don't know you from Adam, but things are far from certain in this awful time.

That’s great advice, thanks for taking the time to help out. Buying a house is certainly strange during these times!