Vendors pull out AFTER exchange of contract

stutheobald

Well we had exchanged contracts about ten days prior to the the completion date. Everything had been arranged on our end in terms of moving, notice given on our current rented accommodation and all the utilities, broadband, etc arranged to be turned on in the new house.

The seller had arranged to rent a new place, as they were/are emigrating in Feb and had contacted all the companies they were dealing with the let them know they were moving so everything was going smoothly.

Thursday morning last week I get a phone call from the telephone install company informing me that they are cancelling the installation as the current owners have told them that the sale has fallen through! Obviously I thought it was an error on their behalf so contacted our solicitors to see what the deal was. They spent several hours finding out what the deal was and eventually got back to use saying that there will be an issue in completing as planned.

It transpires that the owners hadn't even informed their solicitor of their change of heart and it was only when their solicitors contacted them did they find out. Speaking to their estate agents they even collected the keys to their new accommodation on the Wednesday, a day before pulling out of the sale.

Lots of running around and having to cancel everything then ensued on our behalf and instead of moving we have put all our worldy possessions into storage and are currently living in a friends spare room.

No reason was given for their change of heart and everyone involved in the process is shocked, there was also no chain involved.

So, we have issued that with a notice to complete that gives them ten days to sell us the house. After that our litigation solicitor is ready to go after them for damages, which will be quite substantial as it also includes things like the full costs of the new rental agreement we will have to enter into and all current costs.

I fully plan to screw them to the wall and if they cant afford to pay the amount due then they can sell their house to fund it. This has been pretty soul destroying for us both as it was our first house after recently getting married (I know violin time ) and we were really looking forward to starting a family and now we have been put back by three months at least and have to start all over again.

Gwhiz

Best of luck! Hope you get the outcome you want!

pimento

I hope they see the error of their ways. Please come back and let us know what happens.

Good luck!

John_Pierpoint

You have almost certainly signed a contract that entitles you to claim consequential losses.
The first thing to establish is why the sellers are refusing to move.
Now is the time for the lawyer you employed to earn the fee he is charging for his clerk's work.
Are you sure that your contract allowed you to complete quickly? What was the rush? How long had the house been on the market? I ask this because one of my children lives in a house where the former owner has "done a runner" and emigrating is the ultimate way of "doing a runner". Where are they going?

When did the vendors take out their mortgage and who was their lender, what did they pay for the property (You did check it only costs 4 quid?) - perhaps someone has just noticed they are in negative equity - in which case you will get nothing because they have nothing to give you.

Pete111

I fear their 'change of heart' is one they will come to regret..

Best of luck and keep us informed!

Oh and zoopla allows you to check house prices for free - no need to spend £4!

P

stutheobald

John_Pierpoint wrote: »

You have almost certainly signed a contract that entitles you to claim consequential losses.
The first thing to establish is why the sellers are refusing to move.

currently we dont know why. They haven't informed our solicitors of any reason despite it being requested

John_Pierpoint wrote: »

Now is the time for the lawyer you employed to earn the fee he is charging for his clerk's work.
Are you sure that your contract allowed you to complete quickly? What was the rush? How long had the house been on the market? I ask this because one of my children lives in a house where the former owner has "done a runner" and emigrating is the ultimate way of "doing a runner". Where are they going?

We exchanged contracts with a completion date ten days later, I, nor my solicitors, considered that quick to be honest. The house had been on the market for almost a year before we saw it and put in the offer. They were going to Oz in February next year

John_Pierpoint wrote: »

When did the vendors take out their mortgage and who was their lender, what did they pay for the property (You did check it only costs 4 quid?) - perhaps someone has just noticed they are in negative equity - in which case you will get nothing because they have nothing to give you.

we did all the checks and the house was in positive equity

pimento

Perhaps their Aussie visas haven't come through.

John_Pierpoint

Pete111 wrote: »

Oh and zoopla allows you to check house prices for free - no need to spend £4!

P

Yes but Zoopla does not tell you that a mortgage was taken out in (say) 2004 and then the house was "mewed" in 2007 with a second mortgage from a sub prime lender.

Pete111

John_Pierpoint wrote: »

Yes but Zoopla does not tell you that a mortgage was taken out in (say) 2004 and then the house was "mewed" in 2007 with a second mortgage from a sub prime lender.

Good point John.

P

stutheobald

pimento wrote: »

Perhaps their Aussie visas haven't come through.

Maybe but they picked up the keys to their new rented house the day before cancelling the sale and then told the letting agent that we had pulled out of the sale so they wanted out of their contract.