Time limit on Letter of Offer

Discussion in 'Tracker Redress' started by Brendan Burgess, 10 Mar 2019.

  1. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    36,813
    I am reading a loan offer in connection with a tracker issue. I had an idea that a Letter of Offer usually had a time limit of 6 months on it. (But I might be confusing that with an AIP).

    But in this AIB case, it says "Please sign to indicate your acceptance within 30 days - otherwise the offer will lapse"

    There doesn't seem to be any limit on the time to draw down the mortgage.

    So, if it takes a few months or even a year to complete the deal, the Letter of Offer still stands?

    Brendan
     
  2. October2019

    October2019 Registered User

    Posts:
    15
    Hi Brendan, as far as I know the letter of offer only lasts 6 months, I got a mortgage last year thru AIB and it went past 6 months before all the details were sorted and I had to request an extension

    Thanks
     
  3. RedOnion

    RedOnion Frequent Poster

    Posts:
    2,589
    Yes, the current ones have an expiry from date of offer : I think AIB is 3 months for 2nd hand house, and 6 months for a new build.
    However, it might not always have been the case if you're looking at offers from pre 2009.

    The dates are called out in a few places on mine (AIB) from 2012 - the 2nd paragraph on the letter of offer "This offer is valid until XX/XX/XXXX and the mortgage must be fully drawn by this date".

    The same sentence is repeated in the General Conditions: "Draw down of mortgage loan"
     
  4. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    36,813
    Thanks Red

    I see it now in the General Conditions.

    upload_2019-3-10_22-32-41.png

    Brendan