Changing mortgage lender just before exchange of contracts

[TartTartin]

Our buyers decided, having their offer accepted in October, to change their lender for better interesting rate. We found out about this when we got a phone call this morning from the estate agent, wanting to book an appointment for valuation purposes.

We thought we were ready to exchange contracts in a few weeks and complete by the middle of February.

I fully understand that you would like to have a better interesting rate mortgage.
Have you had any experiences as a seller, your buyer changing their lender after months of conveyancing? Have you, as a buyer, changed your lender just before exchange of contracts - then how did your seller react to that?

A surveyor is coming tomorrow morning 8:30, and the house is full of boxes, furniture taken apart, it is in such a mess.....though maybe it does not affect value of the house.

The house being a mess does not affect the valuation. Mortgage offers generally come through surprisingly quickly, so I’d relax. And of course if your buyer can now get a better rate they’ll take advantage of it.

It's interest rate btw not interesting rate. I guess there is not much you can do about it as it's their decision to make.

The valuation will not be affected by boxes.

You don’t need it to look amazing, they’re looking at it with different eyes to the buyer.

I was advised by a broker I could switch mortgage providers up to a week before exchange so a few weeks before seems fine.

If you were planning to exchange next week it might be an issue. However if you’re not completing until mid Feb then that should be plenty of time for the new mortgage offer to come through and not cause any delays.

The surveyor came and went after 15 minutes of taking measurements and several photographs with his tablet. No questions about the property. He mentioned that he would send his report to the lender today. We keep fingers crossed that the buyers' lender will be happy and no issues for a mortgage offer.

As mortgage brokers we see people wanting to do this relatively often, especially in the last few years when interest rates have been all over the place. I wouldn't worry OP, they may have their offer through in a day or two

Our buyers did this right before we were due to exchange- we were panicky but the valuation was quick and they had their offer the next day.

We had this last time we moved. All offers agreed in January, seven in chain and we all agreed very early a completion date in April and told our solicitors this was our intention. Early April comes, we knew from agents/contacts up and down the chain that we were ready to go, transferred deposit funds to solicitor, then the person at the bottom of the chain changed their mind over financing. By the time completion could be agreed, someone's mortgage offer was about to expire and the only day completion could take place, was a day DH really couldn't take off work.

It worked out though. We had everything together as much as possible and SIL kindly offered to come and clean and did it willingly, while I did final packing, made last minute phone calls, sorted keys, took meter readings etc. It worked out.

Thank you for your input. That has made me feel a lot better!

Thank you for the reassuring posts, sweetpickle2 and Iliketulips ·
I'm glad to hear that it worked out in the end, but the stress caused....!