Due to reading AAM could someone clarify for me is it now standard for contracts to not have a loan clause (mortgage clause) in them anymore. I left Ireland in 1995 and today someone referred to this not being standard since 1997. Before I left I never heard of such a thing. You always had to have this clause if someone was getting a mortgage.
If this is now standard how can a buyer sign a contract to buy something as substantial as a house to be built in the future and their circumstances could change and the mortgage offer could be withdrawn by the bank due to unaffordability. When I got my first mortgage offer it had to be signed and returned to the lender but the offer only lasted 3 months (might have been 6 months) and if the money wasn't drawn down it had to be extended or it expired and if not extended/renewed there was no contract with the vendor.
Surely this is a very risky situation for buyers to be in?
If this is now standard how can a buyer sign a contract to buy something as substantial as a house to be built in the future and their circumstances could change and the mortgage offer could be withdrawn by the bank due to unaffordability. When I got my first mortgage offer it had to be signed and returned to the lender but the offer only lasted 3 months (might have been 6 months) and if the money wasn't drawn down it had to be extended or it expired and if not extended/renewed there was no contract with the vendor.
Surely this is a very risky situation for buyers to be in?