Are mortgage providers withdrawing offers?

dunstonh

Deleted_User said:

dunstonh said:

The telegraph and news night yesterday both suggested mortgage providers are withdrawing/reneging on written offers.

Not helped by questionable information being accepted without scrutiny on the BBC.  Such as question time last night where someone claimed their mortgage offer went from 4.5% a few weeks ago to 10.4%.  Lots of gasps of shock but it was accepted as gospel and not challenged.

I read that as well and wondered what on earth it was about. No context to it or checking. I can only assume if it was true it was potentially a very adverse lender??! But even then it seems a stretch! Very irresponsible reporting.

Either it was a Labour plant in the audience telling a porkie (a bit tin hat but has happened before where comments ended up made by activists)
Or it was a sub-prime application (sub prime lenders always pull up the drawbridge during financial crisis)
Or it was an Islamic mortgage with overseas funding (affected by exchange rate)
Basically, nothing mainstream

simon_or

dunstonh said:

Deleted_User said:

dunstonh said:

The telegraph and news night yesterday both suggested mortgage providers are withdrawing/reneging on written offers.

Not helped by questionable information being accepted without scrutiny on the BBC.  Such as question time last night where someone claimed their mortgage offer went from 4.5% a few weeks ago to 10.4%.  Lots of gasps of shock but it was accepted as gospel and not challenged.

I read that as well and wondered what on earth it was about. No context to it or checking. I can only assume if it was true it was potentially a very adverse lender??! But even then it seems a stretch! Very irresponsible reporting.

Either it was a Labour plant in the audience telling a porkie (a bit tin hat but has happened before where comments ended up made by activists)
Or it was a sub-prime application (sub prime lenders always pull up the drawbridge during financial crisis)
Or it was an Islamic mortgage with overseas funding (affected by exchange rate)
Basically, nothing mainstream

Only because you've gone political...we do have a Tory PM that's been shamelessly going around telling porkies about the £2,500 energy price cap being a bill cap.

The alternative explanation of course is that she doesn't understand how her own policy works.

This is very small beer in comparison.

sammyjammy

dunstonh said:

The telegraph and news night yesterday both suggested mortgage providers are withdrawing/reneging on written offers.

Not helped by questionable information being accepted without scrutiny on the BBC.  Such as question time last night where someone claimed their mortgage offer went from 4.5% a few weeks ago to 10.4%.  Lots of gasps of shock but it was accepted as gospel and not challenged.

Nothing new there from the BBC, I like you was shocked  by not what she said but the fact nobody has questioned the validity of her claim, its reported in the Telegraph as well 

dunstonh

Only because you've gone political...we do have a Tory PM that's been shamelessly going around telling porkies about the £2,500 energy price cap being a bill cap.

Please do tell us what mortgage is currently charging 10.4% then?

The alternative explanation of course is that she doesn't understand how her own policy works.

Its not a policy.   Or was that a slip of the tongue?   Although you criticise Liz Truss for a slip of the tongue.

simon_or

dunstonh said:

Only because you've gone political...we do have a Tory PM that's been shamelessly going around telling porkies about the £2,500 energy price cap being a bill cap.

Please do tell us what mortgage is currently charging 10.4% then?

The alternative explanation of course is that she doesn't understand how her own policy works.

Its not a policy.   Or was that a slip of the tongue?   Although you criticise Liz Truss for a slip of the tongue.

Pray do tell us why you think it's a Labour plant and not a Sunak one or a Green party one or an EU one?

Lol, "slip of the tongue", is that what you call a porkie when it's a Tory PM that does it, repeatedly and consistently?

Again, you're the one who made this political.

ACG

A lady on the BBC said her mortgage offer had been pulled and replaced with one at twice the rate. 
I think she used incorrect terminology which has made it look like offers are being pulled. 

I imagine at most she had a DIP and a quote, but had not applied. By the time she came to apply, rates had jumped up. 

Lenders are just not pulling offers - I think 2 lenders have, but they are small lenders in the specialist markets. I was at a conference yesterday and was talking to the other lenders. They have said they have no intention of pulling offers. They may need to pull products at times due to the uncertainty but not full offers. 

A__L

I've just read this article and it looks like a mortgage offer can be pulled at any time (including after exchange) 

https://www.msn.com/en-gb/money/other/homebuyers-lose-deposits-after-lenders-pull-mortgages/ar-AA12SdzG?ocid=UP97DHP&li=BBoPWjQ

TheGame21

We had our mortgage product pulled when the Government made their budget announcement. 

K_S

I saw that Telegraph article as well, and I am a bit sceptical purely because I simply haven't yet heard of a case where a mainstream lender has pulled a residential mortgage offer or reneged on releasing funds simply due to changed market conditions.

The one case with any details referred to a multi-million pound off plan property purchase. With off plan there will be extensions involved and things often get delayed beyond the initial planned completion date, so it could be that they simply ran out of time and extra time and the lender then said that a new product has to be selected.