sale agreed - signing contracts

[doberden]

Hi,

I'm due to sign a contract for purchasing a house on tuesday but so far I have only received an approval in principle. Some of the conditions outlined (e.g. provide existing mortgage statement) can be satisfied straight away but others can only be satisfied when the everything goes through (e.g. existing mortgage cleared). I assume they can provide loan offer if I meet the conditions that can only be met prior to draw down?

Do the sellers solicitor require that I have loan offer in place prior to signing the contracts? (probably won't sign until I have the official loan offer but just wondering).

I will probably ask an extension to the tuesday deadline but the seller is a big jumpy because one person already pulled out so any sign of us not signing will get him extremely worried. If you can think of good reasons for a delay that won't panic him let me know!!!

Thanks,

 

[CmTaz]

Conditions that can only be met when the transaction is complete ie paying off existing Mortgage are sorted by your solicitor. He/She must clear off the first mortgage with either or the funds given for your second mortgage and the sales proceeds before paying the seller for your new house. Similarily any conditions like paying off personal loan balances etc are done the same.

Your loan offer / solictors pack will be sent out when you have satisfied the terms that you can do before the transaction.

Simplest thing that won't get your seller too jumpy is to say that you have been asked for a delay by the buyer of your own property. That said it is fair to point out that you reallly should have had a full loan offer in place before entering into the buying process.