Five top tips if you’re tied up in a property chain.

“There’s a property chain.”

Whether you’re buying your first home or moving up the ladder, it’s a phrase that can instantly instil fear and frustration. Not only can being in a property chain extend the process of moving home, it can often include additional cost, admin and sleepless nights.

We sat down with our Chief Commercial Officer Ryan Etchells to get his thoughts and insights on the situation many buyers have found themselves in, where he told us why “being in a property chain needn’t set off the panic button as there are lots of ways to help streamline the process.”

Here are Ryan’s top five tips if you’re tied up in a chain.

1. Set out timelines early on

“Ahead of getting your property listed for sale, it’s well worth agreeing an ideal timeframe with all parties, including the estate agents. This will be the best way to help keep the process moving and have something for all to work towards.

To help minimise any delays, it’s also key that you’re fully aware of any defects or structural flaws in your property, as it may push back timings following any surveys the buyer requests. Any shocks uncovered while a chain is in process can endanger the link as they may prompt mortgage applications to be extended or even lead to buyers pulling out of the purchase altogether.”

2. Consider a bridging loan

“If you’ve had a buyer pull out and fear you may lose your dream home due to issues with timings, you could try a bridging loan.

These secured loans typically last up to 12 months* and allow you to borrow the money you need to buy your new home quickly, while you wait for the sale of your current home to come in, providing additional breathing space to secure a sale at an agreeable price.”

*As the loan only lasts 12 months, it’s important that you know how you’ll be able to pay it back. If you can’t repay the loan within the agreed term, you may have to pay additional late fees and your property could also be at risk.

3. Get your paperwork in order

“Time spent in property chains can be lengthy and often involve several properties at any one time. This makes it imperative to be quick off the mark with paperwork and any requests which come through so that the chain can be kept moving.

Be sure to stay in regular communication with estate agents and solicitors and respond promptly to things such as surveys. Making sure your mortgage application is progressing smoothly through approaching a lender that can support your circumstances could also help you avoid any unnecessary delays.”

4. Look to complete your sale and rent

“If the purchase of your new property has fallen through or is simply taking too long and you risk losing the buyers for your existing home, you may wish to think about completing the sale on your current home and moving into rented accommodation for a short period.

There are a number of benefits to this. First, you’ll have the cash available to move quickly when you do find the home of your dreams. Plus, you’ll be an attractive prospect when you put in an offer, as you’re ready to move when the vendor is."

5. Seek professional advice

"Naturally, circumstances on housing chains vary on a case-by-case basis, and due to the number of parties involved, can change quickly. If you find yourself in an awkward situation, feel that the process is taking too long or simply - and sensibly - want to seek a professional opinion, the best avenue before taking any action is to speak to a professional.

This could be in the form of a property solicitor, or a specialist lender such as Together who can lay out which options are open to you from a financial perspective."

Currently stuck in a property chain? Have a chat with one of our experts to see if a bridging loan could get your process back on the right track.