Mortgage application messed up by bank/broker.

froogle7

I'm having a real issue with trying to get my first flat purchase over the line. I'm new to the process so it's been quite the learning experience. My mortgage application has been at the "awaiting valuation" stage since early December and I have continually pushed my advisor to figure out what is going on. Each time I've been told "a couple more days and there will be an update", or after Christmas, "Nationwide are taking 8 working days to review documents but have everything they need". 

It's a Scottish property and as far as I was aware, banks just use the home report for valuation purposes to offer a mortgage. They don't usually physically go to a property to inspect it themselves. Eventually I asked my advisor if this is the case, and I found out that there had been a mistake on Nationwide's side. They had set my application to have a "Standard Valuation" rather than just checking the home report. It apparently kept going between the mortgage and valuation teams and was flagging an error, but nobody ever did anything to fix it. 

The seller is now threatening to pull the deal as it's taken so long. Their solicitor had emailed to tell me that if the mortgage isn't in place by the end of the week, they'll have to recommend to their client to re-list the property. 

Nationwide emailed yesterday to say they've now booked in a standard valuation at the property on the 29th. I'm unsure if this means that the seller is now okay with this or not.

If the sale doesn't go through, do I have any recourse with the bank? I'm going to have to pay for my legal fees, which doesn't feel particularly great since they've caused the deal to potentially fall apart.

dunstonh

It's a Scottish property and as far as I was aware, banks just use the home report for valuation purposes to offer a mortgage. They don't usually physically go to a property to inspect it themselves.

It depends on the property.  Some will get a desk based valuation.  Some won't.    Often it depends on how much the borrowing is and the overall risk or the style of property.

Nationwide emailed yesterday to say they've now booked in a standard valuation at the property on the 29th. I'm unsure if this means that the seller is now okay with this or not.

That raises the question that if it was a mistake, why are they doing it?

If the sale doesn't go through, do I have any recourse with the bank? 

Not normally, no.   

December into January with Christmas in the way is not a long period when it comes to housebuying.  Nationwide may offer a goodwill gesture but it will be nothing like your costs.

froogle7

That raises the question that if it was a mistake, why are they doing it?

They've said it's quicker to book in a standard valuation now than to get in contact with the surveyor who completed the original home report to get it redone.

December into January with Christmas in the way is not a long period when it comes to housebuying.  Nationwide may offer a goodwill gesture but it will be nothing like your costs.

Offer was accepted on November 9th, is that not a usual amount of time for things to complete?