Some 6.500 homebuyers, who have already exchanged on properties, could lose thousands of pounds as lenders use loopholes to try and pull out of mortgage offers before completion, according to Convex Conveyancing.
The company says some lenders have been raising last minute questions in an attempt to stop a transaction from going through, partly due to panic caused by the credit crunch. Research by Convex shows 10% of property deals last month experienced problems with the lender between exchange and completion. Convex says it has never experienced this problem in the past. Convex estimates more than 6,500 people across the UK could face the disappointment and financial costs associated with a transaction failing after exchange. The firm is currently advising clients using certain lenders not to ex...
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