Mortgage valuation visits

amtrakuk1975

We luckily sold our house about 5 months ago in a record 24 hours.

House 1 The post code is listed by the council as a Reema house, however the Level 2 home buyers report reported the house a built using traditional methods and meterials.  The mortgage company was happy to lend.  There were about 6 weeks of getting a blanket replies from their solicitor 'There is a problem, we are working hard to resolve this and will advise when it has been resolved' to all emails from us and the solictor, even the estate agent actually advised us to start looking for an alternative.

House 2 ticked all he boxes and the price sounded right, stupidly took the word of the estate agent to say the sellers are buying a probate house, the probate was applied for a couple of months earlier, we were told how the estate agent she had dealt with a lot of probate houses and they only take 12-18 weeks even saying Yes to "Will we be in by February?".  We pulled out in January when we were told there was a problem and the mortgage company paid a visit and said it was over valued by 15k.

Back to House 1, was told the problem had been resolved and they were ready for exchange.  So it was a case of changing the address and amount on the mortgage application and the solictor sending out paperwork for us to sign - 2-3 weeks max.  Yesterday speaking to the mortgage broker we were told they want to come out and do a valuation.

All of this under a deadline of 11th March when our short term tennancy agreement comes to an end.  We really want to avoid going into another rental for another 6 months.

Is it normal for a mortgage company to suddenly decide to come and do a valuation when they were happy to lend on it a couple of months ago?

Once the valuer has been, how long does it typially take for a decision to be made?

Thanks - frustraitingly.

TheJP

You don't have to sign up for another 6 months rental, you would automatically roll onto a periodic agreement. You would just serve notice as per your contract. Unless you have already given notice to leave on 11th March.

amtrakuk1975

Sadly were renting back off our buyers.  They want to take ownership on the 11th March

propertyrental

amtrakuk1975 said:

Sadly were renting back off our buyers.  They want to take ownership on the 11th March

Highly dubious and possibly illegal. 'Sale and Rent Back' is regulated.

But even if you go ahead, why 6 months? Just ask your buyers if you can rent on a monthly Contractual  Periodic (rolling) Tenancy.

An Assured Shorthold Tenancy (AST) can exist in 3 forms:

1) Fixed Term Tenancy. This has a start date, and either a 'Term' (eg 6 months, 12 months), or a specified end date. The Term can be any length from a few days to 7 years, although

i) a landlord cannot obtain possession via the courts in the first 6 months, meaning LLs rarely agree to offer Terms of less than 6 months, and

ii) a tenancy with a Term over 3 years must be Executed as a Deed.

2) Statutory Periodic Tenancy. This is created by statute (law) automatically when the fixed term ends, if the tenant does not leave, and if no other agreement exists (eg 1 above or 3ii below). 'Periodic' means it continues on a 'rolling' basis (usually monthly, but sometimes weekly or quarterly).

3) Contractual Periodic Tenancy. This can be created either:

i) from the start (ie the initial contract specifies a 'rolling' tenancy - there is no fixed term), or

ii) at the end of the fixed term, if that is what the original contract specified would happen when the fixed term ended.

https://forums.moneysavingexpert.com/discussion/5180214/tenancies-in-eng-wales-guides-for-landlords-and-tenants/p1

amtrakuk1975

It seems all above board as it was a short term tennancy agreement though a letting agency for a maximum of 6 months or 14 days notice from each party.  This was agreed to allow us time to find somewhere to move to.

Anyway, Does anyone know how long it takes to make a decision after a mortgage valuation visit?

TheJP

Anyway, Does anyone know how long it takes to make a decision after a mortgage valuation visit?

Your lender should have the valuation back by 1-2 days its not a long process. We just had our house valued for re-mortgage (amazingly it has risen by £103K within 2 years!), we just kept ringing the lender for an update, valuation to offer was about a 2 business weeks.

amtrakuk1975

Thanks for all your replies, in line with your comments, the mortgage company came back next day, however when we got right to the end of the transaction the solictor was unable to complete as there has been a claim on the property!  So now putting everything in storage and having to find somewhere cheap to rent for a few months