KeyHomes East - Mychoice Homebuy scheme

lj090876

At the moment I don;t care what they have I am not going through this again with this company

Giraffeseeker

LouB06 wrote: »

This is interesting, as I was under the impression that the property had to be in vacant possession.

We have had an offer accepted on a new build apartment, and all we looked at when viewing was new builds as we understood from the pack that got sent from the homebuy scheme that it had to be vacant.

It must be frustrating being the seller in a chain when you are waiting for someone on this scheme. It would make sense to make sure they are all vacant possession as these are all the problems that will arise from people on these schemes purchasing properties with onward chains!

Vacant posession means that the sellers move out on completion day, ie it is vacant when you take posession (not rented out to a 3rd party). It does not need to be vacant when you view/offer/exchange.

chloeamy5

I am a Mortgage Advisor in Norfolk and I have persuaded my clients not to go through with the scheme. The service from Orbit etc in the last six months has been unacceptable and we were always wondering when 'the funding' was going to run out.

This is a classic example of too many initiatives with little initiative! Why broadcast the scheme when you cannot deliver?

I have been dealing with people on both sides of the fence, both vendors and purchasers who are completely hopping mad. The disruption to an already frought mortgage and housing market is absolutely disasterous.

in_the_sand

Sandra2 wrote: »

I am a vendor who sold in April to buyers using this scheme through Thames Valley Housing so found this thread very interesting as well - it appears all these schemes across the country are in the same mess. It is so unfair on everyone - we also will not be accepting offers from people using this scheme anymore. I hope that if enough of us write to Watchdog and our MP's perhaps our concerns might be voiced. This has caused no end of stress to our buyers, ourselves, the people we are hoping to buy from - what a waste of everyone's time and money. Good luck to everyone trying to move.....

Anyone considered emailing/phoning GMTV re this? They often run stories such as this. Maybe direct them towards the thread?

satu76

There are couple of different schemes. Under my choice home buy scheme you can buy any house on the open market (but only in theory, doesn't work in practice!). Home buy direct scheme is only for new builds as it is designed to stimulate the new builds and give the builders some incentive too. With this though it is the home buy agent and the builder that give you the equity loan in 50/50 shares so you have 2 charges (+your mortage) on your property. Also the loan charge works out slightly differently. I think the main thing for us was that we didn't want a new build and also the property prices can be a lot higher.... never mind, it is not like my choice home buy is an option anyway!

I also looked into the home buy direct scheme as but must say i am very nervous to even entertain this as the process is similar to KHE. Orbit were meant to call me back but haven't and i am thinking whether to bite the bullet and call them again. I understood that you will not be putting a reservation fee down till they have agreed with the fundind? Has anyone experienced this scheme?

I am desperately trying to find a way of doing this but really don't know what else is there.....??? At the moment lottery seems very appealing......

At the same time i agree, with chloeamy5,we didn't loose out any money - luckily- but what this has done for the property market is not good. The advisers that have build their business on this must be in pieces and the vendors that thought they could sell their houses.... No vendors, IFAs or mortgage lenders will touch the scheme now anyway so it really doesn't matter that there is nor never was money for the scheme!!

chloeamy5

Sorry guys for being negative on this but we have written to all our clients today who are connected with these schemes stating that we do not believe that funding will be in place now or possibly in the future.

As an Independent Mortgage Advisor we have not 'flogged' the scheme(s) as much as some Estate Agents and their advisors. Unfortunately though we are having to 'pick up the pieces' of potential first time buyers or desperate buyers wanting to get back on the ladder who are in 'complete bits'.

Perhaps the earlier thread re contacting GMTV or Mr Lewis himself should make an issue of the situation?

We have reservations on the schemes generally though. How can a single mother with a child of three, earning £12,000 pa be comfortable with a Mortgage of £90,000 and a Govt funded deposit of £45,000?

100% mortgages were a disaster in the 80s, early 90's and in the mid 00's.

I visited one of my 'Key Worker' clients last Tuesday and she bought her house on a homebuy scheme for £135,000 two years ago. It is now worth £115,000 and she wants to move.

Lets just say that the conversation didn't go into too much depth after that.

43kel

I was wondering if anyone else has just received a bill from their solicitors after being told there is no funding. What do people feel about this as I think it is wrong that key homes are forcing people to end up paying out when apparently the chances of getting funding were only 50 in 2000!! The reason we were applying was because we don't have money for a deposit and after everything we are now going to be £100 down.

satu76

Why should the solicitors charge as they did not do anything?? Our solicitors did not charge us and even if they had I wouldn't have paid as they do not have to charge for (as they didn't do anythin!!) untill the funding has been agreed.

rhi0602

43kel wrote: »

I was wondering if anyone else has just received a bill from their solicitors after being told there is no funding. What do people feel about this as I think it is wrong that key homes are forcing people to end up paying out when apparently the chances of getting funding were only 50 in 2000!! The reason we were applying was because we don't have money for a deposit and after everything we are now going to be £100 down.

Our solicitors were push push push when it came to signing forms etc, I point blank told them that I would only sign when we had written confirmation of funding, seeing as we were in this same situation last year, so needless to say we didnt pay them anything. I would fight it... contact KHE.. not that they will probably answer the phone though!!!

43kel

Thanks, I think we might say something as I also didn't sign anything as said we wanted to wait, we only spoke to them over the phone. I wonder where we stand on it?