Applying for a mortgage late in the conveyancing process....

[Beaniebeemer]

Is that possible. Basically due to my partners salary structure we can't approach our currently lender for more funds until the end of April. Our house is on the market and has been for the past week but it is too much money. We are thinking about dropping the price down to a level where it will probably sell. We are chasing one house only. It's currently still available. If we were to sell and agree a sale on the house we want is it possible to start the conveyancing process but hold off applying for the additional mortgage funds for another 2 months? We would be porting our current mortgage.

I Don't know whether this is even possible, but in most sales the mortgage offer is one of the first things they get going on to avoid lost money for everyone if you don't manage to get it. The solicitors and the rest of the chain obviously need to know that everyone in the chain can make the purchases.

It might not make you the most desirable of buyers to be honest, I don't know if we would have accepted an offer from a buyer with those sorts of delays anticipated. Sorry, that's just my honest thoughts on it.

I agree with Pp, when I was selling I would not have accepted an offer on my house from someone who didn't already have a mortgage in principle. When I put an offer in on this house, I had to prove all that sort of stuff before the agent would tell the seller our offer!

As someone who's buyer found they couldn't get their mortgage at the last minute (different because they had lied about having it) I would seriously suggest you don't do this.

We lost a fortune in legal fees, the house that we wanted and the person who we were buying from lost out on the house they wanted as well. Not that this would necessarily be the case for you but it's a very stressful process as it is, this will only make it harder on you.

I absolutely know that I will be able to get the mortgage though and could get an AIP to support this.

OP, you need to take a step back here - you are coming across as being a bit panicky!

Has all this come about because you have seen a house you like? Your own property has only been on the market for a week yet you are talking about reducing the price to sell it faster when you can't proceed yourself yet. That's not an attractive proposition for anyone wanting to buy your property.

How are you going to get an AIP if you can't approach the lender yet - surely they will base any AIP on the current salary?

I would see how yours goes, wait the 8 weeks and go to your lender. If you got a buyer for yours, you might find they wish to wait until they know you can make your onward move as well, so it's not just the vendor of the house you want who might be put off. You can register your interest in the property you want so they know you are interested. A reputable EA probably wouldn't accept a firm offer from you if you explained these circumstances- ours insisted on AIP before offers and the first thing they did was got firm mortgage offers from everyone in the chain.

No one knows they will definitely get their mortgage offer even with an AIP. Ours changed so that we had to put in an extra 10k compared to the AIP we had. Lending criteria change, circumstances change etc.