PLEASE READ BEFORE POSTING

Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.

Sellers Got a Unilateral Notice on Property!

24

Comments

  • Interesting ..... if First Credit had given a secured loan, then they would have registered a charge.

    If it were an unsecured loan, then they might still have registered a charge, but only if they had followed the correct process (get a CCJ, with payment forthwith, debtore defaults, go back to Court .... etc etc).

    In short - debts secured against a property are usually registered as a charge, rather than an interest. Still - First Credit are renowned for making a complete hash of things. In particular, they tend to attach debts to the wrong people, so this might be nothing at all to do with your sellers.

    There's a thread about FC somewhere ... I'll dig it out.
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • Here you go thread about First Credit

    If were not true and/or didn't involve real people, it would be hilarious .... as they blunder around ignoring people's rights.

    You might need to be a little patient as your sellers may genuinely have no debt at all with FC. You could perhaps mention that you've heard of other people have debts attached to them, by FC, which were not theirs ..... and see what they say ....? :confused:

    I have to admit, I would want to be looking them in the eye if I had that conversation ... cos if they squirmed ...... I wouldn't bet on getting that property :eek:

    Sorry, sorry ... not trying to scare you ... but you need to find out what the situation is and then decide what to do.
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • Here you go thread about First Credit

    If were not true and/or didn't involve real people, it would be hilarious .... as they blunder around ignoring people's rights.

    :eek:Thats shocking tactics, and yes that is the company, as I managed to pick up the details of the land registry online and they gave that address.

    Thanks for the info. I might have a word with the vendor face to face to see is they squirm;)

    Reading that I wonder if its a statatue barred debt.
  • Millionaire
    Millionaire Posts: 3,748
    Combo Breaker First Post
    Forumite
    UPDATE:

    Well I am absolutely livid!:mad:

    Spoke to the solicitor again and he was not happy at all after speaking to the sellers solicitor to get more info.

    The Seller has 2 charges on the property on top of the Mortgage charge.

    These 3 in total are for MORE than the value of the property thus resulting in the seller being in negative equity!:mad:

    What I am really annoyed about and the solicitor pointed out is they must of knew about this from the start but have been lying about it and leading us on.

    Thus the seller has been lying about all sorts of things including selling up to buy a property abroad, and telling me that they do not have a mortgage on this property to name a few.

    It seems the only option the seller has is to either get the companies with the charges on the property to agree to the price i will be paying and take a lesser amount than what they owe or if they don't agree the seller will have to go bankrupt!

    Since its cost me almost £2000 in Searches,Survey,Mortgage and Solicitor fees, does any one know of a way I can salvage the purchase??
  • kunekune
    kunekune Posts: 1,909 Forumite
    Did the seller's solicitor know? Did they act in such a way as to encourage your solicitor to continue with the transaction?
    Mortgage started on 22.5.09 : £129,600
    Overpayments to date: £3000
    June grocery challenge: 400/600
  • silvercar
    silvercar Posts: 46,865
    Academoney Grad Name Dropper Photogenic First Anniversary
    Ambassador
    It seems the only option the seller has is to either get the companies with the charges on the property to agree to the price i will be paying and take a lesser amount than what they owe or if they don't agree the seller will have to go bankrupt!

    Whether the companies agree depends on the extent of the difference and if the seller can show they have no money elsewhere.

    The seller may be able to persuade the companies to transfer some of the debt to an unsecured loan to allow the sale to take place. Or they could arrange an unsecured loan elsewhere to supplement the sale price.

    Bankruptcy doesn't come into it. Either the negotiations work and the sale proceeds or the sale is blocked because the lenders won't all agree to take a lower amount.
    I'm a Forum Ambassador on The Coronavirus Boards as well as the housing, mortgages and student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
  • Millionaire
    Millionaire Posts: 3,748
    Combo Breaker First Post
    Forumite
    kunekune wrote: »
    Did the seller's solicitor know? Did they act in such a way as to encourage your solicitor to continue with the transaction?

    I assume they were not aware as well until the land registry search came back, i wouldn't know when they would have received this.
    Bankruptcy doesn't come into it. Either the negotiations work and the sale proceeds or the sale is blocked because the lenders won't all agree to take a lower amount.
    I think bankruptcy does come into into silver. I'll explain,

    I was so furious I rang up demanding answers as they have been trying to step around giving me honest answers.

    The seller advised that they have tried negotiating with the 2 companies but they wont have any of it and that she has tried debt management before and it went wrong and an IVA was rejected due to her not being able to afford repayments due to income and outgoings. all discussed with a solicitor.

    I think they are also defaulting on the mortgage and decided they will move in with the mother in laws and live there.

    Thus either the companies accept the amount or they are going for the bankruptcy route. and it seems that they have planned this way from the start.

    They must of thought dangling a carrot in front of the debt companies with a offer would clear all their debt and some written off without the need of going bankrupt. Obviously it looks upto now the companies are not taking the bait and me and my money seem to be the bait.

    I just can't believe the amount of bull***t I was feed during this from the seller.
  • If they do go bankrupt .... you've already done some of the groundwork, to purchase the property from the OR. Or the lender, if they repossess.

    Unfortunately, this would have to happen soon - as searches, surveys etc have a limited "shelf life". Unless you were very sure and confident about not getting/paying for updated ones.

    You've been stung and I'm sorry about that. I don't think your sellers intended for you to suffer. I would guess that they hoped the sale would go through so you'd be happy (get the house you want) and they'd be "happy" (get their debts paid off).

    Like so many in the deep smelly, doggy-doo of unmanageable debt, they have not understood the ramifications of secured loans. They can't have done .... otherwise they wouldn't have accepted your offer, which was not enough to pay off all the secured debt.

    Can you avoid this in the future? Possibly ... at the very least, pay £3 to get the title from the Land Registry. Take the price you offer, less all the charges and you can see if your offer will clear all the secured debt. I'm sorry - it sounds as though I'm telling you that you should have done this .... I hadn't thought about it myself, until I started to type this and I would have been where you are, had it been me.

    $h!tty .... I am sorry. I do feel a little for the seller too .. .they must be very, very desperate to have covered their tracks in the way that they did. They are now truly up $h!t creek ... but then you've suffered too.

    I'm depressed now :(
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • kunekune wrote: »
    Did the seller's solicitor know? Did they act in such a way as to encourage your solicitor to continue with the transaction?

    A friend of mine is a solicitor (NOT conveyancing - Corporate Law). She tells me that the first thing they teach in law school is that "Your clients never tell you everything"

    I can't help thinking that there might be some (a lot?) of truth in that - so I would guess that the seller's solicitor didn't know.
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • kunekune
    kunekune Posts: 1,909 Forumite
    But ... once they started acting on the conveyancing, they ought to have checked the title. I'm just wondering how much before OP's solicitor the seller's solicitor knew there was a problem. Yes, their client may (probably will not) have told them everything. Indeed, I would put money on this being someone they haven't dealt with before. BUT, perhaps one could argue that it was negligent to have not found out earlier than OP's solicitor/or dishonest not to have said something. Not being told all is why solicitors do their own checks. And if you are acting for someone selling their house, it is kind of basic to check it is THEIR house. This kind of situation is a bit like discovering it isn't their house. It is a bit different from hiding a stain under a rug.

    The other thing students are told in law school is that it's fine knowing that person A is liable. But if person A has no money, you look to see if you can nail person B, or C, etc.
    Mortgage started on 22.5.09 : £129,600
    Overpayments to date: £3000
    June grocery challenge: 400/600
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 342.5K Banking & Borrowing
  • 249.9K Reduce Debt & Boost Income
  • 449.4K Spending & Discounts
  • 234.6K Work, Benefits & Business
  • 607.1K Mortgages, Homes & Bills
  • 172.8K Life & Family
  • 247.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards