Need to revise offer on house - does this affect mortgage offer?

despairing

On Friday we received our mortgage offer on a house we'd put am offer in on - the price was 400k and we had a 200k deposit so needed 200k mortgage.

We've just received the surveyor's report however which states that we need to do a lot of work on the house which wasn't obvious (replace asbestos roof tiles, drainage etc) so we're reducing our offer by 40k so the house price is now 360k.

Does anybody know if this means we have to change anything with the mortgage offer or will that just proceed as agreed (we'll use money from the deposit to pay for the repairs)?

Also, if our reduced offer isn't accepted and we put in an offer on another property requiring the same mortgage, do we have to go through the whole process again or will the original mortgage offer stand and just be transferred (depending on property attempt no.2 valuation).

Hope somebody can make sense of what I'm asking and manage to provide an answer (we're running out of time rapidly since completion was meant to be end of the month and we're moving with 2 kids from Holland so are totally stuffed if this goes pear shaped!)

Thanks.

Ian_Griffiths_Halifax

despairing wrote: »

On Friday we received our mortgage offer on a house we'd put am offer in on - the price was 400k and we had a 200k deposit so needed 200k mortgage.

We've just received the surveyor's report however which states that we need to do a lot of work on the house which wasn't obvious (replace asbestos roof tiles, drainage etc) so we're reducing our offer by 40k so the house price is now 360k.

Have you agreed this with the seller?

despairing wrote:

Does anybody know if this means we have to change anything with the mortgage offer or will that just proceed as agreed (we'll use money from the deposit to pay for the repairs)?

If the purchase price has dropped, then the Loan to Value Ratio has dropped, though I can't see that effecting the deal as they would still be only lending £200k on a £360k purchase/valuation price.

despairing wrote:

Also, if our reduced offer isn't accepted and we put in an offer on another property requiring the same mortgage, do we have to go through the whole process again or will the original mortgage offer stand and just be transferred (depending on property attempt no.2 valuation).

Some lenders will still honour the deal, but you would certainly need another valuation doing as the valuation is done against the property they are lending against and you would no longer be borrowing against the original property.

despairing wrote:

Hope somebody can make sense of what I'm asking and manage to provide an answer (we're running out of time rapidly since completion was meant to be end of the month and we're moving with 2 kids from Holland so are totally stuffed if this goes pear shaped!)

I could understand what you were asking after a couple of bottles of wine, so you did alright!

Thanks.