Contract crashed with finance clause

Discussion in 'The Buying & Selling Process' started by Dishala, 1st May, 2022.

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  1. Dishala

    Dishala Well-Known Member

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    Curious has anyone here actually had their contract crashed due to finance clause?
    What was the process and how did you go about approaching your lender? Did you note a potential change in your finance position??
     
    Dishala, 1st May, 2022
    #1
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    usually the other way round, the lender refused finance

    ta
    rolf
     
    Rolf Latham, 1st May, 2022
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  3. Dishala

    Dishala Well-Known Member

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    I think the question was more, how would someone crash a contract using the finance clause?
     
    Dishala, 1st May, 2022
    #3
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    If your circumstances have truly changed, for example loss of job without a new one to replace, or a similar material change, a lender will usually refuse finance.

    ta
    rolf
     
    Rolf Latham, 1st May, 2022
    #4
  5. Shazz@

    Shazz@ Well-Known Member

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    Haven’t done it personally, but normally your solicitor will check if everything is okay. If for some reason you don’t want to go ahead, you can use the finance clause. Read between the lines.
     
    Shazz@, 1st May, 2022
    #5
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