When are mortgage funds typically available to complete the purchase?

• A. Before exchange
• B. On exchange
• C. On completion
• D. After completion

Answer: (C)

Mortgage funds are typically available to complete on the completion date. In standard residential conveyancing, the lender advances the mortgage money to the buyer’s solicitor so that, on completion, the purchase price is paid to the seller and the title passes. The drawdown of funds is arranged to coincide with completion, not earlier. They aren’t released at exchange because the contract is still being prepared to complete, and releasing funds after completion would occur only after the transfer has taken place, which isn’t how the completion process works.