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Paid deposit for off-plan and cannot complete...HELP!
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theartfullodger wrote: »Best wishes to anyone who ends up in court because a builder is chasing them for money. Not nice, not fair.
Artful
It's an awkward position to be in, and I have sympathy for people in that position, but why is it not fair? Okay, it may be unfair if the building is completed significantly late, but otherwise it seems perfectly fair to me.No reliance should be placed on the above! Absolutely none, do you hear?0 -
Is this the sort of thing MSE Martin might take up? The specific issue of the buyer being tied to the contract despite unlimited delays by the builder feels to me like the same sort of "corporate unfairness towards consumers" as the bank charges thing.Do you know anyone who's bereaved? Point them to https://www.AtaLoss.org which does for bereavement support what MSE does for financial services, providing links to support organisations relevant to the circumstances of the loss & the local area. (Link permitted by forum team)
Tyre performance in the wet deteriorates rapidly below about 3mm tread - change yours when they get dangerous, not just when they are nearly illegal (1.6mm).
Oh, and wear your seatbelt. My kids are only alive because they were wearing theirs when somebody else was driving in wet weather with worn tyres.
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Its unfair from our point of view, due to the fact that when we put the deposit down on the un-built property the builders were selling at £186000
Unknown to us, we didn't realise you could get a value done on something that didn't exist. If we had at the bouyant point of the market it was only worth £155,000.
So after its completion date which was 6 months late but still within the contract we had the property valued and it was worth max £155000.
So we needed to find the £31000 on top of the deposit for the mortgage.
I didn't have a problem if it was worth £186000 at the height of the market I could accept that. The Scotia rep told me they could get a valuation done that was a lot higher than £155000.
The law has obviously allowed Scottish builders to act without conscience.
The Scottish executive need amend this if they want to see any confidence in the market IMHO.
This post hopefully will let prospective house buyers see the pitfalls0 -
Thank you Artfullodger
We will have to pay or lose our home. So its off to try and remortgage this week.0 -
theartfullodger wrote: »GDB2222 asks " Quote:
Originally Posted by theartfullodger
Best wishes to anyone who ends up in court because a builder is chasing them for money. Not nice, not fair.
Artful
It's an awkward position to be in, and I have sympathy for people in that position, but why is it not fair? Okay, it may be unfair if the building is completed significantly late, but otherwise it seems perfectly fair to me. "
Well, suffice to say "fairness" and the law are not synonymous... Who do you think will have the best, highest paid, most informed etc. etc.. between the lawyers for Mssrs Scotia Homes and the OP.
That's why I think it ain't fair to end up in court in such circumstances. Would ye nae agree??
Cheers & Best wishes to all..
Artful
So, any contract where one party knows more than the other is 'unfair'? When you buy a Mars Bar in Sainsbury, that's unfair by your definition?
58Ghia agreed to pay 20% too much for his property (based on his figures). I can think of lots of adjectives to describe that, but unfair isn't one of those, unless of course the sellers had a monopoly, or 58ghia was coerced in some way ...
People need to take responsibility for their own actions and stop blaming others.No reliance should be placed on the above! Absolutely none, do you hear?0 -
So, any contract where one party knows more than the other is 'unfair'? When you buy a Mars Bar in Sainsbury, that's unfair by your definition?
58Ghia agreed to pay 20% too much for his property (based on his figures). I can think of lots of adjectives to describe that, but unfair isn't one of those, unless of course the sellers had a monopoly, or 58ghia was coerced in some way ...
People need to take responsibility for their own actions and stop blaming others.
Very true, thats why we are taking responsibility. This post is a usefull tool for others when buying a new build not to assume the house value advertised is its true value.
In retrospect I don't understand how people can organise finance if the house is not worth what the vendor is selling it at.0 -
fight the !!!!!!!s.......in fact wage war on them......good luck...It is nice to see the value of your house going up'' Why ?
Unless you are planning to sell up and not live anywhere, I can;t see the advantage.
If you are planning to upsize the new house will cost more.
If you are planning to downsize your new house will cost more than it should
If you are trying to buy your first house its almost impossible.0 -
In retrospect I don't understand how people can organise finance if the house is not worth what the vendor is selling it at.
That raises an interesting issue about valuation. The way that valuers work is that they look at comparable properties. If they know that buyers of new properties tend to pay 20% more than comparable second-hand properties, they can build that into their valuations. It is not altogether unreasonable, as that is the value of new property.
Unfortunately, it is not a very useful valuation, either for you or your lender. Your lender really needs to know what collateral they have, and that means the second-hand value of your property. Part of the recent madness in the property market is that lenders were so keen to lend that they forgot all about these obvious points, or rather chose to ignore them.
Anyway, the answer to your question about how people could organise finance is that many lenders were prepared to lend based on the new valuation, rather than on what the property would be worth after it had been lived in for a short time. The alternative for them would have been not to lend on new builds at all. Unfortunately, the city measured the success of the banks by their market share, so sensible lending went out of the window. Besides that, nobody got a bonus for not lending.
Incidentally, that is how the city centre flats got financed in places like Leeds. Investors were queueing up to pay silly prices based on silly valuations, and the silly valuations were based on the silly prices investors were prepared to pay.No reliance should be placed on the above! Absolutely none, do you hear?0 -
The Scotia rep told me they could get a valuation done that was a lot higher than £155000.
It was this kind of nonsense that got us into this mess. Like Morris Properties, who had a couple of friendly surveyors in their pockets, who were only too happy to value their crappy BTL flats at double or triple the market value.poppy100 -
It was this kind of nonsense that got us into this mess. Like Morris Properties, who had a couple of friendly surveyors in their pockets, who were only too happy to value their crappy BTL flats at double or triple the market value.
Interesting read, thanks Poppy, but it doesn't explain how people were able to get 100% mortgages on new-builds that were sold at a premium to secondhand properties. I really don't think that the likes of Barratt or Persimmon were 'tipping' the valuers.No reliance should be placed on the above! Absolutely none, do you hear?0
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