The Housebuying Process
4.
The next step is to go for it
and make an official application for a 'mortgage offer' on the
property.This can be done through your financial advisor or directly
with the institution.This is when the lender will ask for its upfront
fees - as it now has to cover its administration costs and building
surveying.The result of any building survey,or homebuyers report as
properly termed - wont hold any information relevant to the actual
homebuyer as its sole intention is to report how credible of a security
the property is to a lender.It may be worth commissioning an
independant surveyor with a duty of care to you as any they will often
dwelve much deeper than a lenders valuator, and if there are any deeper
concerns you may be able to argue a reduced selling price.
5.
After the surveyor has approved the property as a valid security that
is worth the value of the mortgage and pointed out any problems that
could potentially devalue the asset as well as any suggestions the
lender will then decide how this will affect the mortgage
contract.Assuming everything is all well & good with no
issues,and you have taken out buildings insurance in your name for the
duration of the negotiations the lender will then contact your
solicitor who will then in turn acting on your behalf confirm the
acceptance of the offer with the sellers solicitor or conveyancing
agent.This is also the point you would hand over your deposit to the
solicitor for downpayment on the property.As
well,you wont ever see the mortgage loan in your bank account as it
goes directly to the solicitor acting for you who then passes the funds
over the sellers solicitor once the administration and contracts appear
in good order.The contracts are then exchanged.
