House buyers be aware, says expert
Buyers wishing to pursue their deals made before lockdown need to check the detail to make sure they can still go ahead out of the shutdown, warns regional law firm experts Napthens.
Simon Ainsworth, head of Private Client at Napthens, says buyers need to check if their mortgage offer has not run out of time as most are only valid for three or six months.
He said: “The return of the market out of lockdown has happened very quickly and buyers and sellers particularly will be keen to now pick up their deals made at the point of shutdown but they should be careful.
“Some mortgage offers may not be valid for various reasons as many have a time limit of three or six months, and some people’s circumstances may have changed.
“We are revisiting the offers for all of our clients as a matter of urgency before proceeding any further to make sure they can proceed with clarity and confidence.”
To help stimulate the market, mortgage lenders also need to look at mortgage rates and how they can make them more attractive to borrowers, he added.
“The housing market is a major contributor to the economy so we hope lenders will be encouraged to look at their rates and how they are structuring their lending to make it attractive enough to borrowers,” added Simon.
Under government directions, estate agents can now open, viewings can be carried out and removal firms and conveyancers can restart operations. Housing Secretary Robert Jenrick said the changes must be carried out under social distancing and safety rules. It is estimated there are 450,000 buyers and renters with plans on hold.
Napthens has been offering advice to navigate the coronavirus pandemic and beyond with a specially assembled team, offering advice on employment and HR, health and safety, business support and wills and estate planning. For more information on the support available during the coronavirus pandemic, visit the Napthens website.