Change mortgage product after exchange

vixst

Quick question - is it possible to change mortgage product (same lender) after exchange but before completion?

I applied via a broker so have asked them and waiting to hear back. But grateful to hear forum thoughts, even if just to manage my expectations!

nekr0mantik

depends on if you already signed off the mortgage
if you have had the offer but not yet signed then you may be able to depending on bank.
not 100% sure though. 

Thrugelmir

If there's time. Risking a delay to the agreed completion date wouldn't be advisable. 

t2havock

Please update when you know. literally just had the same or similar question. 

Does anyone know how often one can switch rates after an offer has been issued before exchange. We are waiting on probate (valuations all in, accountant filing as of 19/8), so earliest estimate 6 -12 weeks. TSB has a lower rate (1.94) than one we were offered (2.14). I can see that this new equivalent product is now on the 3rd page of products, must less competitive than Halifax/Virgin and Barclays. Want to lock in the current rate incase probate comes back, but don't want it to have an adverse credit effect switching too may times, if TSB decides to hit the front page if that is a thing?

vixst

Heard back from broker. He said he doesn't know how busy Santander are at the moment, so could take between 1-2 weeks to confirm a switch to a different product as it would need to go to the underwriter.

I'm so frustrated as I could have saved money by switching to a new product, but I just can't see the rest of the chain agreeing to push back completion just to allow me to apply for a different product. Really kicking myself on this one 

JadEle

Hi Vixst,
I think I am in the same position as you, I have mortgage offer with Santander, already exchanged but have seen the rates decrease. Our mortgage broker spoke to Santander today and says it is no problem to change to the new mortgage product, there is no fee for this, and the timeline is up to 3 days for approval and another day to issue the offer. We are going for it, I hope this helps you make decision too.

vixst

@JadEleI spoke to a very helpful individual at Santander. She confirmed that any change of product would have to be submitted by my broker, and that it would be sent to an underwriter, and of course she could not predict what the underwriter would think - whether further documents would be requested etc (seems a little crazy to me considering the rate would be lower...) She did say the admin team are working on cases submitted yesterday, and the underwriters are working on cases submitted on Wednesday, so it does seem service levels are quite fast at the moment.

But personally, I just can't take the gamble that the process might take longer and that we could miss completion - no way do I want to be liable for the costs of the rest of the chain if we can't complete next Thursday. I will chalk this one up to experience, suck up the extra £2.5k this will cost over 5 years and if I ever have to buy a property/get a mortgage again, I will choose a better broker and watch mortgage rates/different products like a hawk!