Chain questions

rainbow_fountains

[deleted].

Mahsroh

I appreciate it's not a question as such.... but irrespective of the "exceptional circumstances" comment on the website - my first port of call would be to speak to the bank. You might be surprised. I know you still have the stamp duty deadline but that's 20 days after your mortgage offer expires, so extending that will at least give you some extra time. 

jamiem1234

I guess every bank is different in terms of their extension, we moved in March just after lockdown 1.0 abs and ours was extended no issues. Also have a fried moving to a new build as an FTB and they’ve extended his twice due to the developer putting back the completion date of the house, so your situation is quite similar to that. 

Tiglet2

rainbow_fountains said:

I’m a FTB buying my forever home, in my mid 30s after savings for nearly 14 years, living in !!!!!! house shares and now a cramped studio apartment.

After looking for 2 years I finally found a fantastic house very near family, with space to raise a family of my own, and suitable for WFH which I’ve found very uncomfortable in my current flat.

Offer was accepted back in August, now approaching 7 months on we still haven’t exchanged. We’re in a chain of 4 with the last person moving into rented. 

I know that the process is slower than usual at the moment what with Covid and lockdowns, and no doubt Christmas and the mini-boom from the stamp duty holiday haven’t helped. But this has now gone on so long that my mortgage offer is expiring. I’m looking into extensions but the bank’s website says only in ‘exceptional circumstances’ and I’m not sure a long chain would count. Not to mention it looks like I won’t make the stamp duty holiday at this rate either.

Honestly, I’m just starting to despair. With everything else that’s happening right now, not seeing my family for so long, and my living arrangements etc I could really do with a win, you know? And yes, it could be worse, I know, but I just feel hopeless.

EA managing the chain isn’t much use, he’s just complaining people in the middle and the top are causing the problem. Apparently Middle is insisting on a gap of no more than 2 weeks between exchange/completion, meanwhile Top is demanding 4 weeks so they can sort out rental accommodation (apparently the place they were going to has fallen through?)

As far as I’m concerned I don’t care how long the gap is, so long as we complete by 11th March because that’s when my mortgage offer expires.

I’ve told EA this and they’ve informed everyone’s solicitors, but nearly 2 weeks later and EA isn’t making any progress, saying that the others just don’t “get it”. 

Either EA isn’t doing something right (wouldn’t surprise me, for a while they were getting bounce back emails from my solicitor because they got their email wrong, and instead of calling them he just ignored it!) OR the other vendors are morons, but I just can’t see how anyone would risk losing their sale, their purchase, and ££££s stamp duty savings over such arbitrary crap. 

Sorry, not really a question, I just needed to get it off my chest.

If you have an ongoing purchase in the late stages, mortgage lenders are usually agreeable to an extension.  What they don't like is extension after extension after extension etc.  In that scenario, you would have to apply for a new mortgage on terms applicable to whatever products they have at the time.  Your solicitor can apply for the extension on your behalf, but you still have 4 weeks to go before any need for action.

Is the last person going into rented?  Maybe they have changed their mind and are linking a further purchase onto the chain.  The EA can chase to find out about this.  You will see on these forums that people often agree to go into rental, then when they realise it would entail two moves and storage costs, together with minimal rental terms and possibly involving children and pets and they decide they cannot afford to rent after all, plus they may have found the ideal property to buy in the meantime.

Whatever the gap between exchange and completion is requested, it is a negotiation and will have to be agreed by everyone in the chain, including the solicitors, so don't get too hung up on a 2 or 4 week gap.  No-one can exchange while there are still outstanding issues and if it comes to it, they may offer a simultaneous exchange and completion, not ideal but may get everyone moved by March.

If there is a potential problem (title issues/leasehold discrepancies/restrictive covenants/right of way/easements etc) which is delaying your progress, then your solicitor would be the one to seek advice from, however they will only know what is going on with your purchase rather than any higher up the chain.

As you are a first time buyer, does the stamp duty holiday affect you?  First time buyers do not pay any stamp duty up to £300k.  In any case, some of the other people in your chain are likely to want to complete by the end of March so that they can save on stamp duty costs, so it's in their interests to have everything ready by then.

As the first link in the chain, it is likely that you have been waiting the longest.  The person at the top may have only started their conveyancing a month or so ago.  As you are not also tying in a sale with the purchase, you have the most flexibility, so try to remain patient as much as you can.

Good luck - once you move in to your new home, all this will be long forgotten!

princeofpounds

It's not over until the generously-proportioned lady yodels.

This isn't unusual in a long chain. Everyone has their own desires and constraints, and you often don't get a compromise until it becomes obvious that someone HAS to compromise. If a solution arises, you may be surprised by the form it takes - someone might decide to break the chain to save their transaction. They will all be suffering a similar stress to you, to a greater or lesser degree.

The thing to do is make sure that the entire chain knows as far in advance of possible of hard deadlines, and is reminded of them as you get closer. Make sure you address the issue of an extension with your bank in good time - ignore what the website says, all that matters is the decision in your case. If they say no (And I suspect they will say yes), then push that message up the chain - 'I have already used up extensions - my mortgage is ending, either we move ahead by that date, or it's off'. Until you (or someone else with a similar situation) send that message, no-one is really forced to make the hard decisions.

As for the stamp duty holiday - it's really up to you whether you want to treat that as a hard deadline or not.

rainbow_fountains

Thanks for all the comments.

Called EA today and they confirmed everyone is ready except the guy at the top, who was always planning on moving into rented, but apparently can’t find somewhere in all of Dorset that will take him and his cat. I’m not convinced, obviously I don’t know whereabouts he’s looking or what his requirements are but a quick look on Rightmove brought up a lot of rental properties. Plus there are compromises we all have to make, my cats have been at my Mum’s house now for 5 years!

Some more info: the chain completed in early November. Original completion date talked about by the chain was 4th Feb, this was pushed back to 10th because of trouble hiring removal men, now we’re back in limbo thanks to the Top and his cat.

The chain are aware of my deadline. I spoke with my mortgage advisor who said an extension is possible, but I can’t apply until a certain number of days are left on my offer, so next week for me.

I am a FTB but I’m buying in SE so I’m over the £300k limit. My stamp duty would be under £2k, but I imagine the rest of the chain is saving thousands so I can’t understand their relaxed attitude personally.

In the title report checklist from the vendor she actually did tick the box saying the completion (between just us) was NOT dependent on her completing on another property on the same day, in other words a break in the chain. I raised this with EA (who was already aware), he reminded vendor of it but she was adamant that wasn’t an option - OK I completely understand where she’s coming from, but why tick that box in the first place then? 

I’ll speak to the bank on Monday, but for the time being the EA and the chain still has my hard deadline in their heads. Fingers crossed something happens.

annetheman

FTB here buying in no chain whatsover, early 30s too, found the perfect grow-into home nearer family, though currently living comfortably in a below-market 1 bed.
I just wanted to maybe make you feel better - sale was agreed on my purchase on the 4th March 2020. It is now approaching a full 12 months and I exchanged yesterday.

I honestly think everyone believes their own particular house purchase to be specifically arduous and terrible but so many just have a really tough time coping with the anxiety of it all, which makes a challenging process seem insurmountably difficult. 

Your purchase is not bewitched with bad luck or anything. Someone on here told me that buying your first place will be many days, weeks, maybe months (hell, and seasons, in my case) of nothing/not much, then a flurry of progress at 16:55 on a random Friday.

And so it will continue. But you will get there in the end. You may miss out on SD window, you may not. Control what you can and don't worry about what you can't. In that sense you are spot on to follow the advice of others and talk to the bank because you are not the first nor the last to need an extension in your exact circumstances. They've heard it all before and can help, if they choose to.

Good luck! You'll get there!

rainbow_fountains

annetheman said:

FTB here buying in no chain whatsover, early 30s too, found the perfect grow-into home nearer family, though currently living comfortably in a below-market 1 bed.
I just wanted to maybe make you feel better - sale was agreed on my purchase on the 4th March 2020. It is now approaching a full 12 months and I exchanged yesterday.

I honestly think everyone believes their own particular house purchase to be specifically arduous and terrible but so many just have a really tough time coping with the anxiety of it all, which makes a challenging process seem insurmountably difficult. 

Your purchase is not bewitched with bad luck or anything. Someone on here told me that buying your first place will be many days, weeks, maybe months (hell, and seasons, in my case) of nothing/not much, then a flurry of progress at 16:55 on a random Friday.

And so it will continue. But you will get there in the end. You may miss out on SD window, you may not. Control what you can and don't worry about what you can't. In that sense you are spot on to follow the advice of others and talk to the bank because you are not the first nor the last to need an extension in your exact circumstances. They've heard it all before and can help, if they choose to.

Good luck! You'll get there!

Wow that is a long time! What delayed yours for so long?

You raise a very good point about not worrying about things I can’t control. I think of this was a normal year I wouldn’t be that bothered, it’s just the low place that I’m in right now (along with most people, I imagine) that’s making this process feel worse.

Thank you for your kind words and support, I hope all goes well with your purchase.

teachfast

Good luck with this. The issue is that not one of the so-called 'professionals' in this chain give two hoots about you. The solicitors, in particular, couldn't care less about you as a human and will simply do nothing until you complain, complete subject-access and FOI requests and shout louder than the next poor sap who instructs them who shouts less. It's a shambles of a system inhabited by various legal rock-dwellers who simply don't care but still take your fee. 

I really do hope it works out for you.

rainbow_fountains

teachfast said:

Good luck with this. The issue is that not one of the so-called 'professionals' in this chain give two hoots about you. The solicitors, in particular, couldn't care less about you as a human and will simply do nothing until you complain, complete subject-access and FOI requests and shout louder than the next poor sap who instructs them who shouts less. It's a shambles of a system inhabited by various legal rock-dwellers who simply don't care but still take your fee. 

I really do hope it works out for you.

I agree our property purchasing system is a complete mess, the models oversees make much more sense. However, the EA, the solicitors, and the lenders don’t get paid until the purchase completes, so I’d say they do have some incentive to get it done. Now whether or not they’re working in your best interests is up for debate of course.

Thrugelmir

You set the deadline. Tell the EA a date and say if not by then I'm out. Cite the mortgage expiry as a reason. Focus the attention of the person at the top. Play hardball in a polite but firm manner.