Charging Order? The myth

eggbox

dawnyp64 wrote: »

well..iv had an email from my solicitor saying hes told NR that he wants the removal of the restriction upon receipt of 50% of the equity.He hasnt got back since to tell me the outcome..typically..

Dawny

What does your Solicitor mean by "upon receipt of the Equity"? I thought your buyer wanted the Restriction removed pre sale?

dawnyp64

here you go Eggbox...
''I have contacted NRAM informing them of a proposal that they provide the necessary forms for removal of the restriction upon receipt of 50% of the equity after the mortgage, marketing fees and legal fees have been discharged.''
What do you think??...
Maybe NR will agree to remove the restriction before the sale in the knowledge they will be paid the 50%??

Sparklyfairy

What is your solicitor on about? You do realise that it's either YOU or your SOLICITOR who completes the form RX4 to get the Restriction removed... NR only (technically) have to be told of the sale..(which could be AFTER completition..as per this thread)

dawnyp64

lol!! Sparklyfairy..its laughable...i read that too,i understand it now(well kinda)...ive mentioned the RX4 in an email.. and hes not referred to it at all,but then iv HAD no choice but to go with the 50/50 split cos of the time issue and to get the sale thru..but you see why im frustrated with it all and losing interest,almost..

eggbox

Dawny

Sparkly is right, but as I understand it your buyer is requesting the removal of the Restriction BEFORE a sale proceeds or he won't get the mortgage agreed to make the purchase?

Your Solciitor, therefore, needs NR to agree to the removal of the Restriction prior to the sale going ahead on the understanding they will receive 50% of the equity after the sale is made (which your Solicitor can legally vouch for).

There is no need to get NR's agreement to remove the Restriction AFTER a sale as it falls off automatically as being over reached.

So as I see it, what your Solicitor is requesting isn't going to satisfy your buyer so you need to straighten that out first.

Sparklyfairy

Oh Dawny! I really hope this whole thing pans out for you..!

Is this now a new trend for mortgage companies to require a restriction to be satisfied (or agreed to be satisfied) before they'll release the money & complete the sale?! Surely they must understand what the Form K restriction entails or is this a slick ploy to get those to pay the restriction? Is this thread the cause? Hmmm..

dawnyp64

hi everyone..
heres part of todays email off my solicitor (the other part is just reference to the 3 points raised):
[FONT=Calibri,sans-serif]Finally, I have now received confirmation from NR that they will remove the restriction subject to the payment of 50% of the equity. Subject to your say so, I will inform the buyer’s solicitors and we can move to exchange contracts[/FONT]
And my reply:
'Thats fine,then,as long as theres no other issues that will crop up.
And Northern Rock are willing to remove the restriction prior to the sale?seeing as this is one of the reasons for the hold up and the buyers solicitor refusing to proceed until the removal of it?'

So,Eggbox..whats your thoughts? that email was sent to me at 10...and ive had no update..same as yesterday.
Sparklyfairy..the solicitors and NR have dealt with this wrongly,but the only way to get the sale through.I dont know what to think to be honest..surely it cant be right?

eggbox

Dawny

I'm off on Holiday for a few days tomorrow so I hope everything gets sorted in the meantime!

From what your Solicitor has emailed you i don't see there being a problem as you can relay the information to your buyer who can confirm the information to his mortgage lender.

All I will finally say is; DON'T LEAVE ANYTHING TO CHANCE! Make sure EVERYBODY included in the sale is aware of what NR has agreed to do and don't ASSUME they know the information unless you have told them!

Good luck and I will check in when I get back to hopefully see the sale has gone through!

shazz5555

I have been reading up on here and am even more confused. There are charging orders on my house from my ex husband. The debts were his from unpaid credit cards, the mortgage is still in joint names. I was not notified directly by his creditors that Charging orders were going to be applied. I only knew because I opened his letters? Several were to be held in local courts in different parts of the country. However I was able to attend one hearing which was being brought by MBNA. I spoke to the man from MBNA and directly to the judge, explained that they were his debts and that I was continuing to pay the joint mortgage. They were not interested and charging order went ahead. There are approx K18 of charging orders on the house. How do I get round this. Mortgage still in joint names. I intend to apply for ancillary relief and defend my self to try and get house in my name. As things are, I cannot re-mortgage,change mortgage supplier or sell as house is still in joint names.Advice please.

Sparklyfairy

Dawny, I think it all looks good - fingers crossed nothing else crops up. Again, you can only really expect NR to receive 50% as per all the communication with them from the start of this sale, so unfortunately lesson learned? Since you have a good rapport with your buyer, I'd definitely let him know this has now been agreed with NR & he won't be tempted to pull out & he can also see the light at the end of the tunnel. Keep us posted, ok?

Egg, have a fab hols