"Lenders recognise that many people looking to move into their new home are facing significant stress and uncertainty due to the impacts of coronavirus," said UK Finance boss Stephen Jones."Current social distancing measures mean many house moves will need to be delayed."
Banks were also urged to help customers"manage their finances as a matter of urgency" as homebuyers may go through financial hardship during the three-month extension because of the spread of the virus. "It is possible that some borrowers' financial circumstances may change during the three months. If this happens, or the terms of the purchase change, we will work closely with the borrower to achieve a sensible outcome," said Robin Fieth, Chief Executive of the Building Societies Association .
While deterring new buyers, the pandemic is making completing transactions increasingly difficult as it is almost impossible for banks to carry out surveys and get other paperwork done during a nationwide lockdown ordered by Prime Minister Boris Johnson on Monday.