To think the mortgage lender is deliberately sabotaging this transaction?

[AngeloMysterioso]

Another house buying one…

Couple A - buying a brand new house. Buying outright, no mortgage. Offer was made and accepted mid-July. 2nd attempt at buying a house, first transaction collapsed late June.
Couple B - buying Couple A’s house - 1930’s terrace. Were Couple A’s original buyers from 1st transaction. Their mortgage offer expires at the end of this month. Were the first owners of the house they’re selling.
Couple C - buying Couple B’s house, which was a brand new build 4 years ago.

It had got to the point where everyone was good to go, all paperwork requirements satisfied, ready to exchange etc, then at the 11th hour Couple C’s lenders decided they need proof that the road Couple B’s house on is really a road. They’ve asked this at a point where it’s highly unlikely to be able to get anything back to them before Couple B’s mortgage offer expires and the whole thing falls apart.

AIBU to think this is a deliberate move so that the transaction collapses and they can force Couple C to re-apply for a mortgage at the new higher rate? Couple B will lose their mortgage offer and have to do the same, and won’t be able to afford Couple A’s house anymore, so Couple A will likely lose the house they are buying too.

Just me then I guess!

Which lender is it?

I’m not certain.

No I doubt any lender is as organised as that, just sounds like last minute incompetence rather than any great plot.

Never attribute to malice what can be explained as incompetence.
It's a bit of a stupid request though, can't the lender just look it up on Google maps? It's a 30s terrace so presumably not on a little farm lane etc.

No lender is obliged to lend on the basis of missing information

If they want it, they need to ask for it and although its come late in the day, thats no skin off the lenders nose, they just need to make sure they have all the right boxes ticked and processes followed

If the deal falls through, they wont be particularly concerned, its a business, another customer is waiting in the wings.

I don't think it's deliberate but I voted YANBU as I do hate all banks and it's not fair at all that they've done this at the eleventh hour

It should be possible for couple B to extend their mortgage offer (if only by a month, could be 15 days).

I also would have thought that if there are any issues with the road the searches would have shown it. But given the incompetence of my solicitors I am not sure.

our mortgage expires at the end of the month too and we’re taking a bit more money for renovations. It has been such a slow process to just even get a phone appointment with someone about it. It was then 2 weeks after that before the paperwork arrived. It definitely seems in our case they’ve gone as slow as possible

Surely the solicitor searches showed this, or a specific issue? Could you pay a RICS surveyor the rush out on Monday to resolce the issue and submit the report via email same day, then immediately get on the phone harassing the mortgage provider to approve it, or is it a searches issue with the local authority, in which case couple B can find information from their original purchase pack? Not sure why it needs to take a long time either way.

It’s the 4 year old house they’re asking about, but nonetheless it’s been there 4 years and is part of an established development.

You completely misunderstand the process. The solicitor is supposed to do searches for the lender and if they send in some information at last minute just before contracts are signed the lender will read it and decide if they need more information to ensure their collateral is perfected. They can do this at anytime up til funds are released and this has always been the case even when we were in a different interest rate environment.
They have no obligation to couples A or B whatsoever, and for couple C only within the terms and conditions of their offer which will definitely say the collateral and access must be perfected.

I assume as its a new development they want proof the road has been adopted by the council, not that it exists.

@AngeloMysterioso
sometimes the younger developments are the most problematic because the roads need adopted by the authorities and often it isn’t finalised properly for the first purchasers with just an indemnity cover in place. This wouldn’t be satisfactory for a lender of a subsequent purchaser because the lender would rightfully expect it to be sorted in the last 4 years. Obviously it hasn’t so the developer or solicitors haven’t bothered their arses getting everything finalised. Otherwise they would be able to produce the relevant documents easily.

the lender is quite right here because if couple C buy this they could end up landlocked and therefore have an unsellable house.

Having just had our lender sabotage our offer by hiding a different expiry date 15 pages in as a special condition and a month earlier than the expiry date on the front page yes!
Happy to offer us a much higher rate though 😡