FTB in chain dalaying exchange due to lack of mortgage offer

thescouselander

We're currently at the top of a chain that is ready to exchange except for the FTB who is still waiting for their mortgage offer after applying way back in July.  We've been told since the beginning of September that the offer will arrive next week but it never does.  We now have zero confidence the FTB can raise the required funds.  Does anyone have any ideas on ways we can push this along a bit because if nothing happens soon we will need ot pull out?  We're just banging our heads against the wall with the estate agent who just gives us the "COVID delays" excuse.

bekabyx

Depending on who they're applying with, it might just be a waiting game. Many lenders have really long turnaround times at the moment because of increased demand. Do you know if your buyer is waiting for the offer on their original application or whether they've been rejected and had to re-apply?
As an example of the delays that people are currently experiencing, when Nationwide request documents, there's an 11 day turnaround for them being reviewed. If your buyer has had to submit documents a couple of times I can easily see their offer being massively delayed. 

thescouselander

bekabyx said:

Depending on who they're applying with, it might just be a waiting game. Many lenders have really long turnaround times at the moment because of increased demand. Do you know if your buyer is waiting for the offer on their original application or whether they've been rejected and had to re-apply?
As an example of the delays that people are currently experiencing, when Nationwide request documents, there's an 11 day turnaround for them being reviewed. If your buyer has had to submit documents a couple of times I can easily see their offer being massively delayed. 

As far as I know its still their original application going through (with Clydesdale).  The valuation was done back in August though so even with the current situation and a slow bank the delay still seems excessive.

princeofpounds

Doesn't sound right to me. I'd be suggesting remarketing to be honest, if zero progress three-four months down the line. Perhaps others will disagree with my timescale, let's see. If they get approved then great, you go back to where you were before. But you can't wait forever. 

FinallyStoppedLurking

How long is the chain? We had a similar kind of issue (searches rater than mortgage) except we were at the bottom. It's very frustrating when any contact you have is through multiple estate agents and you are never sure if the messages you are giving are find their way through.

 In the end, I managed to find out who the estate agent was at the top of the chain and spoke to them directly. It was only at this point that I got some answers. 

thescouselander

FinallyStoppedLurking said:

How long is the chain? We had a similar kind of issue (searches rater than mortgage) except we were at the bottom. It's very frustrating when any contact you have is through multiple estate agents and you are never sure if the messages you are giving are find their way through.

 In the end, I managed to find out who the estate agent was at the top of the chain and spoke to them directly. It was only at this point that I got some answers. 

Its a short chain - just us, our buyer and the FTB.  It's all going through the same estate agent.

Thrugelmir

Remarket the property. Surprised the chain has reached the point of exchange. Given that the bottom hasn't even received a mortgage offer. 

FinallyStoppedLurking

thescouselander said:

FinallyStoppedLurking said:

How long is the chain? We had a similar kind of issue (searches rater than mortgage) except we were at the bottom. It's very frustrating when any contact you have is through multiple estate agents and you are never sure if the messages you are giving are find their way through.

 In the end, I managed to find out who the estate agent was at the top of the chain and spoke to them directly. It was only at this point that I got some answers. 

Its a short chain - just us, our buyer and the FTB.  It's all going through the same estate agent.

Do you know if they are using a broker or going directly to the bank?
My parents are selling a house and that had been delayed as their buyer couldn't get a mortgage. They gave a deadline of last Friday for the mortgage to be complete or they would remarket. This forced the Estate Agents to push hard and eventually they (the Estate Agent) spoke directly to the broker who said the mortgage was applied for at the start of October but is still being processed. They have been told it will be processed by next Monday. They've decided to extend the deadline and wait until Monday.

If I was you I would set a deadline with the estate agent and say if you have not had a proper update you would like them to remarket the property. 

thescouselander

FinallyStoppedLurking said:

thescouselander said:

FinallyStoppedLurking said:

How long is the chain? We had a similar kind of issue (searches rater than mortgage) except we were at the bottom. It's very frustrating when any contact you have is through multiple estate agents and you are never sure if the messages you are giving are find their way through.

 In the end, I managed to find out who the estate agent was at the top of the chain and spoke to them directly. It was only at this point that I got some answers. 

Its a short chain - just us, our buyer and the FTB.  It's all going through the same estate agent.

Do you know if they are using a broker or going directly to the bank?
My parents are selling a house and that had been delayed as their buyer couldn't get a mortgage. They gave a deadline of last Friday for the mortgage to be complete or they would remarket. This forced the Estate Agents to push hard and eventually they (the Estate Agent) spoke directly to the broker who said the mortgage was applied for at the start of October but is still being processed. They have been told it will be processed by next Monday. They've decided to extend the deadline and wait until Monday.

If I was you I would set a deadline with the estate agent and say if you have not had a proper update you would like them to remarket the property. 

Yes, thanks, I think this might be the way to go.   I'm told the FTB went through a broker but everyone is being a bit slopey shouldered to be honest but maybe a deadline will provide some focus.

FinallyStoppedLurking

Yes that's what happened to my parents. Once the deadline was set they suddenly started getting some answers. 

Hannimal

Be fair on the buyer. I had a really long (not that long) a wait for my offer despite looking at an 80% LTV and having a steady income and a good job. The wait is not at all a sign that the FTB cannot afford it and you are unlikely to find anyone other than a cash buyer who would be able to get a mortgage offer much quicker.