CHAIN FREE®

An Example

Selling

Valuation £350,000

CHAIN FREE® (a chain-avoiding insurance type arrangement available through the Home Owners Plan™) enables you to say you are a CASH BUYER (up to your Fall Back Price®).

You can quickly secure your next house against competition with 20 weeks to find the right mortgage and any additional finance required.

The Plan does not legally commit you to take our finance (Fall Back Price®) or to sell your house.
See: How it Works

Buying

£400,000

You can tell the sellers Estate Agent you are a
CASH BUYER

Your First Offer could be £376,000
(£400,000 less 6%/£24,000)

Second Offer £368,000
(£400,000 less 3%/£12,000)

Third Offer £396,850
(£400,000 less our 1% Fee/£3,150)

You can wait to sell for your Asking Price and don’t want to lose the house you want to buy:

Assume

– Selling Price (Valuation) £ 350,000
– Fall Back Price® (90% £350,000) £ 315,000
– 1% Fee (1% Fall Back Price®) £ 3,150 
– Buying Price £ 400,000
– 6% Saving on Buying Price £ 24,000

Savings

– On Buying Price £ 24,000
– Less 1% Fee £ 3,150
Total Saving £ 20,850

IMPORTANT POINT: Most home owners will use
CHAIN FREE® to secure their next house (recouping our 1% Fee) and will not need to take the Fall Back Price® because their Estate Agents will have sold their old house for more.

You can’t wait to sell for your Asking Price and decide to take the Fall Back Price® (we need 3 days notice) in which event your house will be sold through the Plan:

  • If Sale Price exceeds Valuation you receive 80% of the Profit with no deductions
  • e.g. if Sale Price exceeds Valuation by 3% (£10,500) you receive £8,400

IMPORTANT POINT: You pay off your mortgage with the Fall Back Price®, transfer your mortgage to the house you want to buy or apply for a new mortgage.