Exchange Problems - Help Me Quick

mkfruitcake

Hi All

Hope you can help?
Today we have started the exchange process and something as come up which i dont understand.
the chain is small, we are buying a house, the house they are buying is a probate house.
Today i had a email from the soliitor which said:
I am afraid we have been unable to exchange today. The Sellers solicitors were trying to get confirmation that the top of the chain were happy with a nil deposit exchange. Unfortunately the Solicitors at the top of the chain could not get hold of their client for confirmation.



We will try and exchange on this tomorrow.



Now we have a 100% Mortgage and everything our end is signed and confirmed etc so why has this come to light, what does it mean, how can i get around it if at all? why would they say no this isnt alright what can i do? all info would be great

silvercar

If you can offer any sort of deposit it could get the chain moving. Even £500 might be enough to satisfy everyone.

The client at the top of the chain would be those inheriting, so I don't see why they need the deposit; they wouldn't have access to the money prior to completion in any case.

Dan_Collins_2

This is the usual mistake a solicitor makes with a 100% mortgage. Normally you would lodge a deposit with the solicitor, but as you have no deposit he should check with all solicitors in the chain to ensure they are happy or not to exchange with no deposit. This would then give time to set up a smaller deposit as silvercar has mentioned or to set up exchange and completion on the same day.

Wait for the sol's to come back to you, they may be ok. Most chains are fine.

mkfruitcake

Ok we are due to complete on thursday this week, i guess the sol didnt check with all that a nil deposit exchnage would be ok.
I am still a bit worried about what happens now, is it a waiting game? I dont have enough money to lay down any deposit hence the 100% mortgage in the first place, it seems so poor to happen so close to completion.

will it all fall though now?

mkfruitcake

anyone got any more advice, so worried - i think its all gonna fall over now :-(

KiKi

Hiya

Calm down and take a deep breath and get a cup of tea!

There's nothing you can do until you hear back from your solicitor tomorrow. They clearly said that the solicitors at the top of the chain couldn't contact their client for confirmation today, so they'll try and get hold of them tomorrow. They just need their client to say it's not a problem. Until that, there's nothing you can do.

There's no reason it should all fall through; it's no less likely now than it was three hours ago.

They need to check and can't do it until tomorrow, so try not to panic. There's no more advice really to give in a situation like this, until you get more information back.

Let us know how it goes tomorrow, after you speak to your solicitor.

KiKi

silvercar

Think of it from their point of view. You have no deposit so either they accept that or they have to remarket the property and find a new buyer. Which one gets them their inheritance quicker?

SouthCoast

If I was selling in the current climate there is no way that I would agree to an exchange without a 10% deposit being paid.

chappers

Why not you are still both contractraly obliged and can claim for loss if the other party pulls out you just don't get to keep their deposit, you can still claim against them for a down turn in the market but you will be obliged to mitigate their losses as far as possible .