When we bought we gave a deposit, on a house we loved, and made sure it was clearly written that it had in the clause section, "subject to loan approval", that way you are covered. If you dont get the loan, you dont have to buy the house. I am sure the conveyencor (sp) didn't see the contract until after we had the loan approved. Could you ring a local conveyencor/solicitor, and ask for advice ?

PS - You can cancel with your broker, we did !! And went to the bank direct. Ring your local Commonwealth bank and ask for the Lending Officer, he may be able to get the ball rolling quicker for you, and he will be able to help with your other questions as well...