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  • FIRST POST
    • ChuiMartinez
    • By ChuiMartinez 6th Apr 11, 8:50 PM
    • 378Posts
    • 43Thanks
    ChuiMartinez
    Buying and then selling a house within 6 months
    • #1
    • 6th Apr 11, 8:50 PM
    Buying and then selling a house within 6 months 6th Apr 11 at 8:50 PM
    Are there any rules against doing this? Somebody has said this to me but I can't find anything about it.

    I don't mean from a mortgage providers perspective but legally.

    Thanks

Page 1
    • googler
    • By googler 6th Apr 11, 9:13 PM
    • 14,112 Posts
    • 9,104 Thanks
    googler
    • #2
    • 6th Apr 11, 9:13 PM
    • #2
    • 6th Apr 11, 9:13 PM
    To a certain extent, it won't matter whether it's legal or not. If the lenders won't lend to a buyer for your house that you've owned for less than six months, you'll struggle to sell it.

    As far as I know, there's no legal impediment to selling within 6 mths.
  • mynameisdave
    • #3
    • 6th Apr 11, 9:14 PM
    • #3
    • 6th Apr 11, 9:14 PM
    I dont think so, it may attarct suspicion if you were to do it with a massive deposit - money laundering and so on - but I dont think it is illegal
    • ChuiMartinez
    • By ChuiMartinez 6th Apr 11, 9:32 PM
    • 378 Posts
    • 43 Thanks
    ChuiMartinez
    • #4
    • 6th Apr 11, 9:32 PM
    • #4
    • 6th Apr 11, 9:32 PM
    yeah i can see where the ML question may come into it but there are a few friends who want to turn around a repossession for a quick buck. i didn't think there was a legal impediment and it sounded strange. all aboard then. thanks

  • myhouse
    • #5
    • 6th Apr 11, 10:17 PM
    • #5
    • 6th Apr 11, 10:17 PM
    Nothing illegal about it. Might be worth checking up on capital gains tax though as you may need to live in a property that is your primary residence for a certain period.
  • B19jon
    • #6
    • 6th Apr 11, 11:22 PM
    • #6
    • 6th Apr 11, 11:22 PM
    There is nothing illegal per se, however mortgage companies will be very reluctant to lend.

    I know someone who got as far as having survey done etc, for the mortgage company to say they are withdrawing their offer completely due to the property has been sold 5 months and 20 days ago! (and were unwilling then to wait, it was a complete new application needed after the 6 months...)

    Food for thought as they will have a limited market open to them.
    • Richard Webster
    • By Richard Webster 7th Apr 11, 8:10 AM
    • 7,298 Posts
    • 6,953 Thanks
    Richard Webster
    • #7
    • 7th Apr 11, 8:10 AM
    • #7
    • 7th Apr 11, 8:10 AM
    The fact that mortgage lenders are reluctant to lend on properties bought less than 6 months ago may not be generally known amongst potential buyers or even estate agents.

    You could put it on the market and get a buyer and then a few weeks down the track the buyer discovers he can't get a mortgage....
    RICHARD WEBSTER

    As a retired conveyancing solicitor I believe the information given in the post to be useful assuming any properties concerned are in England/Wales but I accept no liability for it.
    • ladymarmalade1970
    • By ladymarmalade1970 7th Apr 11, 9:16 AM
    • 328 Posts
    • 515 Thanks
    ladymarmalade1970
    • #8
    • 7th Apr 11, 9:16 AM
    • #8
    • 7th Apr 11, 9:16 AM
    We brought a house in October and moved the following June and didn't have any problems at all. We moved because they were going to put double yellow lines down our road and we didn't have personal parking.
  • sonastin
    • #9
    • 7th Apr 11, 12:49 PM
    • #9
    • 7th Apr 11, 12:49 PM
    there are a few friends who want to turn around a repossession for a quick buck.
    Originally posted by ChuiMartinez
    I've just signed a contract to buy a repossession. There is a condition in the contract - and to be registered with the land registry - that I need the (current) vendor's permission if I sell within 4 months to prevent exactly this.

    How does the plan stack up if it isn't such a quick turnaround? Is the cashflow gonna be a problem? If it is, don't do it. If you can afford to hang on to the property for 6 months or maybe more, go ahead...
  • JQ.
    yeah i can see where the ML question may come into it but there are a few friends who want to turn around a repossession for a quick buck. i didn't think there was a legal impediment and it sounded strange. all aboard then. thanks
    Originally posted by ChuiMartinez
    Not really all aboad - what everyone's saying is they will not be able to sell it in the first 6 months. There will be nobody to buy the property when they come to sell it, as mortgage companies will not lend money to anyone. So the only market will be 100% cash buyers, and they are usually savvy enough to buy off the banks directly, not pay a middleman a nice chunky handling fee. Plus there's a lot less of them about.

    If your mates have the cash to buy them and wait 6 months that's fine, but obviously anything could happen to the market in that time, so that presents it's own risks.
    • ChuiMartinez
    • By ChuiMartinez 7th Apr 11, 7:35 PM
    • 378 Posts
    • 43 Thanks
    ChuiMartinez
    Cheers JQ I've seen the post today about mortgage lenders not wanting to lend if a property exchanged hands less than 6 months ago. Seems very strange.

    Also been told mortgage lenders are reluctant to lend on properties less than £50k. Again this seems strange.

    The cash being tied up is obviously an issue. A risk which needs to be considered carefully. Thanks all.

  • hostie1085
    Hi all,

    I am new to this forum and just wanted to ask for some advice...

    my slef and my fiance have just purchased our first house and moved in a month ago, upto yet it has been a living nightmare due to horrendously noisy neighbours making our life a misery!
    We've attempted to try and solve the problem by speaking to them about it, and now we have resoreted to banging on the walls - none of which makes any difference.
    Quite simply we cant see ourselves staying here any longer, as shift workers we really value our peace and quiet and our privacy is being invaded by their noise every single day.

    what i want to know is, are there penalites if we were to put the house on the market after being here for 6 months? do we have to disclose the length of time we have lived here or could we bend the truth a little? also if we do have to disclose that we've only lived here for a short period, do we have to tell them the reason why we are selling so soon or could we tell a little white lie ie "relocating due to job change" or something like that?

    We are genuinly miserable in this house and it just doesnt feel like home for either of us... the whole First Home experience has been ruined and we just want out ASAP!!
    • seven-day-weekend
    • By seven-day-weekend 8th Apr 12, 8:15 PM
    • 27,281 Posts
    • 49,906 Thanks
    seven-day-weekend
    I'm having a thick day today - what's the problem with a) selling a house before six months and b) selling one at under 50k? Why won't banks lend on them?
    To love someone is to learn the song in their heart and to sing it to them when they have forgotten it
    'I believe in Christianity as I believe that the sun has risen. Not only because I see it, but because I see everything by it': C.S. Lewis
    St. Augustine ó 'In essentials, unity; in non-essentials, liberty; in all things, charity.'
    • xylophone
    • By xylophone 9th Apr 12, 12:03 AM
    • 18,403 Posts
    • 10,321 Thanks
    xylophone
    Hi all,

    I am new to this forum and just wanted to ask for some advice...

    my slef and my fiance have just purchased our first house and moved in a month ago, upto yet it has been a living nightmare due to horrendously noisy neighbours making our life a misery!
    We've attempted to try and solve the problem by speaking to them about it, and now we have resoreted to banging on the walls - none of which makes any difference.
    Quite simply we cant see ourselves staying here any longer, as shift workers we really value our peace and quiet and our privacy is being invaded by their noise every single day.

    what i want to know is, are there penalites if we were to put the house on the market after being here for 6 months? do we have to disclose the length of time we have lived here or could we bend the truth a little? also if we do have to disclose that we've only lived here for a short period, do we have to tell them the reason why we are selling so soon or could we tell a little white lie ie "relocating due to job change" or something like that?

    We are genuinly miserable in this house and it just doesnt feel like home for either of us... the whole First Home experience has been ruined and we just want out ASAP!!
    Originally posted by hostie1085
    http://www.practicalconveyancing.co.uk/content/view/8716/0/
  • bmar71n
    nothing illegal with it, it is common as people buy at auction and turning around the properties very quickly at a profit
    • Millie Millsters
    • By Millie Millsters 9th Apr 12, 9:19 AM
    • 169 Posts
    • 164 Thanks
    Millie Millsters
    Hi all,

    I am new to this forum and just wanted to ask for some advice...

    do we have to disclose the length of time we have lived here or could we bend the truth a little?
    Originally posted by hostie1085
    You'll get found out if you lie, that info is freely available on the web to anyone.
    • googler
    • By googler 9th Apr 12, 11:36 AM
    • 14,112 Posts
    • 9,104 Thanks
    googler
    what i want to know is, are there penalites if we were to put the house on the market after being here for 6 months? do we have to disclose the length of time we have lived here or could we bend the truth a little?
    Originally posted by hostie1085
    How would you 'bend the truth'?

    Your title deeds will show when you bought. The title deeds will be seen by your solicitor and the buyer's solicitor, who will no doubt share your length of ownership with the buyer's lender......

    The only penalty for trying to sell within 6 months is the lack of someone to buy, as they'll find it difficult to find a lender willing to lend to them.....
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