Need some property advice. First time seller - mucked it up

[ladymuck]

Regarding the mortgage - I'm working with a broker from one of the well-known contractor mortgage brokers, who's done a couple mortgages for me now. My broker informed me that I cannot make a formal mortgage application until I've obviously had an offer accepted on the property I wish to buy. And sellers most likely wont take my offer seriously, until I have a buyer for my own house. Shackled by the chain.

But you can surely get an agreement in principle?

Maybe that's a new requirement, as it's been a while since I was on the property ladder. I certainly made sure I had something in place before trying to get an offer accepted on what I wanted to buy.

[sira]

But you can surely get an agreement in principle?

Maybe that's a new requirement, as it's been a while since I was on the property ladder. I certainly made sure I had something in place before trying to get an offer accepted on what I wanted to buy.

AIP's are mostly for first-time buyers, to prove to sellers that their "serious" and have the funds. As I'm already on the ladder, with my property actively up for sale, an AIP wont be needed really. Mortgage rules have changed frequently during the pandemic.

[minestrone]

Regarding the mortgage - I'm working with a broker from one of the well-known contractor mortgage brokers, who's done a couple mortgages for me now. My broker informed me that I cannot make a formal mortgage application until I've obviously had an offer accepted on the property I wish to buy. And sellers most likely wont take my offer seriously, until I have a buyer for my own house. Shackled by the chain.

I don't have experience in self employed prop finance, it's not my area so I cannot fully say this is bulltulip. But it's bulltulip. Certain parts of the UK with sane property laws require you to have a mortgage offer prior to offer so this would be market exclusion.

I'm guessing the advisor can't be arsed going through the full process when he is thinking the same as everyone else as to why you are selling a considerable asset this time of year.

Has there been mention of your current mortgage being ported to a new property? That should be an initial consideration if you have a mortgage?

[Whorty]

[QUOTE=sira;n4197633]

I explained in my OP why I have a Feb 28th deadline. That's just the deadline to make a formal mortgage application.

Not had a mortgage for over a decade, and late Mrs W did all the paperwork so I could be wrong, but don't mortgages have 'end dates'? 6 months from application? And the terms of the mortgage need to be the same during that mortgage application period? So even if you have an offer on the 28th Feb based on today's contract, wouldn't you need to stay in a contract at the point of exchange to keep the mortgage offer valid?

Like I say, I could be wrong but you probably need to check.

Also you can get a mortgage offer in principle before you have a property to buy. This would safe time too once you have found a place.

[minestrone]

[QUOTE=Whorty;n4197683]

Not had a mortgage for over a decade, and late Mrs W did all the paperwork so I could be wrong, but don't mortgages have 'end dates'? 6 months from application? And the terms of the mortgage need to be the same during that mortgage application period? So even if you have an offer on the 28th Feb based on today's contract, wouldn't you need to stay in a contract at the point of exchange to keep the mortgage offer valid?

Like I say, I could be wrong but you probably need to check.

Also you can get a mortgage offer in principle before you have a property to buy. This would safe time too once you have found a place.

Redemption date is 6 months after contract. An offer on the part of the lender is binding for 7, 10 or 14 days ( i cant remember ).

I have a cemap, the mortgage advisor qualification, but don't advise. The property sale and the finance issues need to be split. Again i'm not confident the suggestion of the offer date is reliable.