What to do if I want to change property after mortgage offer

racebennon

Hello all, 
This is my first time here and I'm hoping you all could help me here, so here goes ...
I'm a first time buyer and my offer recently got accepted on a property, not wasting any time I setup conveyancer and applied for mortgage. Recently I've received my mortgage offer ... My solicitor has also done all the searches on the property that costs me approximately £350+ ...
Now I've come across a new build property from Persimmon Homes and after long negotiations, finally they've agreed to accept my offer. The price of this would be approximately £10k more than the previous property. Now can anyone please help in explaining what steps should I take to change the property?!? 
Should I talk to my mortgage advisor first to check my affordability or let my solicitor know that I'm changing houses?!? 

I don't want to let the sellers know till I'm 100% sure that I can secure the other property, as I don't want to come down to Ground Zero again

Hope you understand my question and thanks in advance for any help and suggestion

silvercar

Firstly, your solicitor acts for you, so if you instruct them to start work on a new purchase they aren’t going to let the solicitor handling the sale of the original property know anything.

secondly, it will be a new mortgage application as the new property will need a valuation. It may be the lender can work a bit quicker, having all the information on you they need.

p00hsticks

You'll have to pay for the searches, survey. mortgage application etc on the existing property, if you haven't already, plus the solicitor for the work they have some so far - if you continue to use the solicitor for the new purchase then they might offer you a reduced rate or just add it all to the bill for when the new purchase completes.   

As silvercar says, it will need to be a completely new mortgage application as that is dependent on the particular property. 

ACG

Speak to the broker, check what is involved as the the process differs from lender to lender. 
They will tell you if it can be done. 

You should hold off on the searches until you have an offer if you can really, I had a £40k down valuation this week (admittedly it was expected... long story), but had they instructed the searches on day 1 like the agents wanted, they would have lost that money. 

Once you know it can be done, then speak to your solicitor. But as mentioned your solicitor works for you so if you ask them to not mention anything until your sure, they shouldnt. But sometimes the more people who know the more chance of something slipping out. 

Jemma01

I cancelled my initial mortgage application with HSBC because the money I needed for the second property is 60k more. But if the price was the same or less, they would have edited the application and resubmitted. This is direct with the lender not via a broker.

Hoenir

racebennon said:

I don't want to let the sellers know till I'm 100% sure that I can secure the other property, as I don't want to come down to Ground Zero again

Hope you understand my question and thanks in advance for any help and suggestion

You are going to have to cancel the first mortgage offer to pursue a new one.  Are you genuinely interested in the first property? If you are unsure. There'll be plenty more coming along in the months ahead. 

amnblog

Mortgage adviser first.

With the majority of Lenders you just change the figures and input the new property. The property is assessed and affordability checked and you get a new offer if all is OK.

With a few Lenders you are effectively starting again like a new application.

The Lender will not "keep" your current Offer if you seek a new property. More messing around if you change you mind again.

Waiting to dump your current sellers if the new property is agreed is poor form. If you are already having your head turned, the current property is not for you.