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Mortgage lenders to offer mortgage extension for home movers hit by coronavirus pandemic

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Ahead of the announcement, Nick Morrey, Product Technical Manager at mortgage broker John Charcol, spoke to Express.co.uk about different options home movers may have.

“If someone has exchanged contracts awaiting completion then they can look to defer completion with the agreement of all parties involved (as there may be a chain). That would allow the lockdown to finish and for people (especially in this case removal companies) to be in a position to physically move personal belongings,” he said.

“Or, again, with the approval of all parties involved, the monetary completion could take place but the physical exiting of properties not take place until a later date.

“The second option is not preferred by solicitors or lenders as it means that the wrong people are living in the wrong properties and that might invalidate buildings insurance policies. So the first option is the most likely.

“In either event, all parties should immediately check for any completion deadline on their mortgage offers. Most lenders give at least three months to complete, some up to six. Some current Halifax products have completion deadlines that have now been extended to September 30 – the full six months.

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