Mortgages and Re-mortgages
If you are re-mortgaging your property, our team will guide you carefully through every step. Our specialist solicitors will act for you and your lender and will summarise and fully explain to you the implications of entering into any new loan agreement.
Mortgage Offer
- Once the mortgage offer is received, the mortgage report is prepared and sent to you along with the mortgage deed for execution. We report to you on the amount being borrowed, the term, fixed interest rates and the date that these revert to the standard variable rate, the date that the offer expires etc.
- We also advise you of any special conditions that are attached to the mortgage offer. For example some lenders may require some of your finanial commitments such as store cards, credit cards or loans to be settled on or before completion and evidence of the same must be provided.
- We also advise you of the mortgage offer expiry date as some offers may expire before the anticipated legal completion date of the plot. In this instance we would advise you accordingly as a long stop date may be required in the Contract to confirm completion will take place no later than the date the offer expires. In cases where the Developer is unable to agree a long stop date due to build factors and weather conditions. Then we may require confirmation from the lender that the offer can be extended should there be a delay to the build programme.
- The valuation report is requested if this has not already been received.
- A report is then prepared for the lender sending the Disclosure of Incentives Form (CML), information regarding adoption of the roads and sewers etc. We are obliged to report matters such as misspelling of the property address/client name, any occupiers residing at the property following completion, any gifted deposits that you are receiving, any difference in the purchase price, and any adverse search results etc.
- If there are any Donors, further documentation will be requested to comply with Money Laundering Regulations. We require copies of the Donor’s ID and also a bank statement showing the gifted deposit leaving the donors account and entering the client’s account.
- In some instances where funds are being derived from a business account then we will require written approval from all directors of the company to confirm they will have no interest in the property together with their identification.
- Occupiers must normally sign an occupier consent form and we recommend that they take independent legal advice.
- If the matter is Help to Buy, we send Form 1 to Orbit which is accompanied by a certified copy of the mortgage offer and a copy of the valuation and the CML. The authority to exchange will then be issued.
- Once we have lender approval to proceed we can proceed to exchange of contracts.
