The property I am interested in is not available until April 2022. What problems could i face?

bflare

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2022. I am posting again for some more advice with regards to any potential problems I could face if I was to put an offer in on the property with regards to the mortgage & also my current work situation.

I am a first-time buyer with a 10% deposit currently renting so obviously no chain. I have had a mortgage in principle accepted via a broker using TSB. This is valid until December 2021. The EA phoned me today asking if I am still interested & I explained that I cannot commit to anything as of yet as my company is currently making 15% of the workforce redundant therefore I am not sure if my job is safe. They totally understood & said they would contact me next week. They did say that they had had two acceptable offers however, both have still not sold their house so I would be preferable with having no chain. In view of this my questions are:

1) I am 99% sure my job is safe in this round of redundancies. However, I have no idea what the situation may be in the coming months. Is it wise to put off buying at the moment or put it on hold for a while & ask my landlord for a rolling tenancy?
2) If I decide to go ahead & an offer is accepted when do I apply for a mortgage considering the property is not available until next April? 
3) When would I pay the deposit? 
4) The owners are moving into a new build & I am assuming the April date could actually be delayed. Is this common? 
5) Are there any other problems that I could face? 

Thanks. 





  

pinkteapot

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. 

5) Are there any other problems that I could face? 

Thanks. 
  

The prohibitive cost of a Delorean?

sacvwgolf

I'm sure you have disclose to the mortage lender anything you know off that may impact your ability to repay the mortage.

NameUnavailable

I expect the vendors want you to commit to buying now with an exchange and delayed completion. This is very risky for you as you would have to pay the deposit on exchange and then hope and pray that you still have a job/mortage offer in place when they want to complete.

By all means put your offer forward and if accepted say that it's on the table until the vendors are closer to being able to complete on their new home. Don't instruct solicitors or spend any money on surveys. If they don't like that (they probably won't) then just hold fire until you are more certain of your own position.

AdrianC

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. I am posting again for some more advice with regards to any potential problems I could face if I was to put an offer in on the property with regards to the mortgage & also my current work situation.

I am a first-time buyer with a 10% deposit currently renting so obviously no chain. I have had a mortgage in principle accepted via a broker using TSB. This is valid until December 2021. The EA phoned me today asking if I am still interested & I explained that I cannot commit to anything as of yet as my company is currently making 15% of the workforce redundant therefore I am not sure if my job is safe. They totally understood & said they would contact me next week. They did say that they had had two acceptable offers however, both have still not sold their house so I would be preferable with having no chain. In view of this my questions are:

1) I am 99% sure my job is safe in this round of redundancies. However, I have no idea what the situation may be in the coming months. Is it wise to put off buying at the moment or put it on hold for a while & ask my landlord for a rolling tenancy?
2) If I decide to go ahead & an offer is accepted when do I apply for a mortgage considering the property is not available until next April? 
3) When would I pay the deposit? 
4) The owners are moving into a new build & I am assuming the April date could actually be delayed. Is this common? 
5) Are there any other problems that I could face? 

Previous thread - https://forums.moneysavingexpert.com/discussion/6290127/house-not-available-until-april-2022
(which does at least resolve the time travel)

1. Nobody is ever 100% certain of their future employment. Your employer may go bust tomorrow. You may suffer injuries or illness that mean you cannot continue working. Your boss may be replaced by somebody you simply cannot work with.

2. You already have an AiP. Leave the full app until nearer exchange of contracts.

3. At exchange of contracts, whenever that's going to be.

4. Yes. Especially at the moment, with all the B-word-caused transport and building material shortages.

5. Lots of things...! Right up until exchange of contracts, they could simply pull out. Even after exchange, if the build slips, they could reach - and take - the long-stop get-out. Etc, etc, etc.

bflare

sacvwgolf said:

I'm sure you have disclose to the mortage lender anything you know off that may impact your ability to repay the mortage.

Yes, I think you do. However, when I applied for the mortgage in principle I had no idea of the situation at work & as I say until I know my job is safe I will not be applying for a mortgage or looking for a property. What worries me is in the future. But I guess everyone who is working is in the same situation with regards to potential redundancies given how Covid has affected businesses globally. 

bflare

pinkteapot said:

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. 

5) Are there any other problems that I could face? 

Thanks. 
  

The prohibitive cost of a Delorean?

Edited thanks. 

Jenni_D

bflare said:

pinkteapot said:

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. 

5) Are there any other problems that I could face? 

Thanks. 
  

The prohibitive cost of a Delorean?

Edited thanks. 

The thread title may be, but not the OP.  

bflare

Jenni_D said:

bflare said:

pinkteapot said:

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. 

5) Are there any other problems that I could face? 

Thanks. 
  

The prohibitive cost of a Delorean?

Edited thanks. 

The thread title may be, but not the OP.  

It's not my day today! Can we start again I blame pressure at work! Anyway edited AGAIN

bflare

AdrianC said:

bflare said:

I have previously posted regarding my current rented tenancy & how this would be affected if my offer for a property was accepted that isn't available to move into until April 2020. I am posting again for some more advice with regards to any potential problems I could face if I was to put an offer in on the property with regards to the mortgage & also my current work situation.

I am a first-time buyer with a 10% deposit currently renting so obviously no chain. I have had a mortgage in principle accepted via a broker using TSB. This is valid until December 2021. The EA phoned me today asking if I am still interested & I explained that I cannot commit to anything as of yet as my company is currently making 15% of the workforce redundant therefore I am not sure if my job is safe. They totally understood & said they would contact me next week. They did say that they had had two acceptable offers however, both have still not sold their house so I would be preferable with having no chain. In view of this my questions are:

1) I am 99% sure my job is safe in this round of redundancies. However, I have no idea what the situation may be in the coming months. Is it wise to put off buying at the moment or put it on hold for a while & ask my landlord for a rolling tenancy?
2) If I decide to go ahead & an offer is accepted when do I apply for a mortgage considering the property is not available until next April? 
3) When would I pay the deposit? 
4) The owners are moving into a new build & I am assuming the April date could actually be delayed. Is this common? 
5) Are there any other problems that I could face? 

Previous thread - https://forums.moneysavingexpert.com/discussion/6290127/house-not-available-until-april-2022
(which does at least resolve the time travel)

1. Nobody is ever 100% certain of their future employment. Your employer may go bust tomorrow. You may suffer injuries or illness that mean you cannot continue working. Your boss may be replaced by somebody you simply cannot work with.

2. You already have an AiP. Leave the full app until nearer exchange of contracts.

3. At exchange of contracts, whenever that's going to be.

4. Yes. Especially at the moment, with all the B-word-caused transport and building material shortages.

5. Lots of things...! Right up until exchange of contracts, they could simply pull out. Even after exchange, if the build slips, they could reach - and take - the long-stop get-out. Etc, etc, etc.

Thanks for your reply. Below are my replies queries: 


1. Very true. Luckily I have escaped this round of redundancies. 
2. OK
3. OK
4. Understood
5. Would you say it is too risky given all the possible eventualities? 

bflare

NameUnavailable said:

I expect the vendors want you to commit to buying now with an exchange and delayed completion. This is very risky for you as you would have to pay the deposit on exchange and then hope and pray that you still have a job/mortage offer in place when they want to complete.

By all means put your offer forward and if accepted say that it's on the table until the vendors are closer to being able to complete on their new home. Don't instruct solicitors or spend any money on surveys. If they don't like that (they probably won't) then just hold fire until you are more certain of your own position.

It was confirmed yesterday that my job is not at risk. Therefore, I was considering putting an offer in on Monday but saying I cannot commit to anything further until closer to the date & seeing what they say. I need some more information, to be honest to weigh up the risk.