Nil Deposit vs Simultaneous Exch and completion. WWYD?

[Happypiglet]

We are nearing the end of our sale and purchase.
Our buyers have no means to pay a deposit and are first in the chain. They cannot release funds from their mortgage to do so.
Their sols have therefore requested a nil deposit or a simultaneous exchange and completion.
Obviously neither are ideal.
We are leaning towards simultaneous exchange and completion because they seem to be in a fairly tight financial situation and if they pulled out after exchange we would be left with possibly paying 10% to our vendors (money we have) whilst getting nothing back from our buyers. Although the likelihood of them pulling out seems low the possible downside is very high.
However simultaneous exchange and completion also seems risky.
Has anyone successfully done a simultaneous exchange and completion? My sols are all doom and gloom about it but I see the financial risk as much lower although the practical risks are higher.
Argh having a nightmare trying to decide.

Are your buyers getting a 100% mortgage? I didn't think that was possible nowadays. Seems highly unusual for the beginning of the chain not to have a deposit so I'm not surprised your sols are all doom and gloom. Simultaneous exchange and completion can also be fraught trying to get everything agreed/signed/monies transferred all in time before bank clearing closes in mid afternoon so keys can be released. How many people in the chain? The more people in the chain, the more difficult it will be to do a simultaneous transaction. Have your sols asked you to take a view on this? If so, it will be your choice and your risk what you decide.

Id say simultaneous is best for you, if they delay they wont be paying interest, you will. All their deposit is probably just tied up in equity.

Not to mention if you exchange (unless conditionally) the vendors can serve you notice and potentially keep your deposit.

It seems your buyers are putting you in a risky position, either way, at no risk to themselves. Can they not offer anything else?

I have seen simultaneous exchange and completion when there is no chain, so if it does not work out, it is not a problem to delay a day or so.

Thanks for replies. Buyers are bottom of chain we are middle our vendors are top and not buying anywhere straight away so short chain. We are the ones really taking all the risk either way as all our stuff will be loaded onto a van and if we don't complete on time we will be leftsstaying in a hotel and owing more on removals. But we would be liable for all 10% deposit to our vendors if our buyers pull out after eexchange as they would have no cash to pay us anything even if we went after them for it.

They're porting over an existing mortgage by the sound of it so their deposit is tied up in that? I've known people to do simultaneous exchange and completion with no issues- are tho concerned about the people you're buying from? What is their view, can they do simultaneous also?

We had simultaneous exchange and completion on our first house (100% mortgage! Thems were the days )
It was fine tbh. Only problem was our solicitor moaning and groaning about it. When they'd known from the start that this was the mortgage we had. I had v little patience with them (and they were crap in many many ways) as I felt they should either have a higher price for simultaneous exchange and completion, or put up with it.
I don't know if that's helpful though? It does sound strange that this is only coming up now, though. Either something has changed or someone has taken their eye off the ball, surely?