Mortgage Approved - signing Contracts

[gortbeg]

Myself and my partner have bought a house and have put a booking deposit on the house. The contracts are with our solicitor for the last two weeks - we had a problem with mortgage in that my partner was waiting on his annullment agreement (separated from his wife 2 yrs ago) and this was holding things up. We have now been approved but one of the conditions of the new mortgage is that I have to sell my apartment first. My apartment is going on the market on Monday for 280k. Its in Oranmore in Galway. Do you think all of this might steer the vendor away from us? We are signing the contracts this week and paying 30k of a deposit which we have. Has anyone any expeirience of sellin apartments - is it a lenghty process? Will we not get our mortgage money from the bank until my apartment sells with exchange of money etc. Getting really worried that we are going to loose the house - it really is our dream house. Someone mentioned to me about getting equity on the apartment until it is sold - does anyone know anything about this. All advice greatly appreciated.

 

[mf1]

You need to think your position through very clearly.

You will not (as things currently stand) be able to draw down your mortgage funds until your apartment is sold. On your closing date ( i.e. when you get possession) you also need your sale funds. What is the closing date on your purchase and is there any lee way on it? Can you ask for a flexible closing date or will this put your vendor off? If they need to move quickly then you may not be their best option.

Perhaps you should talk to your lender again and see what their view is - it does sound as if they expect you to have completed the sale of the apartment before they will let you draw down your new mortgage.

mf