Buying a Repo.

Anshu_2

Hi, I am buying a Repo. but the bank( which repossesed) is selling with a limited ownership and my solicitor is saying, it is normal as they were not living in the property.

Is it normal ? Please Advice ?

Anshu_2

Hi Guys,

Any Advice ?

princessamy86

Sorry, I don't really know what you mean by limited ownership. If your solicitor says it's fine then it probably is.

Anshu_2

ok..... was little concerned so i thought to ask.

poppysarah

Ask the solicitor what it means.
It might mean they can offer no neighbour nuisance warranty, no info on any services or guarantee like you might get buying off people.

princessamy86

If you mean that a limited company is selling it, this is quite normal for a repossession as the lender normally gets an asset management company to sell the property for them.

Anshu_2

Hi,

Thanks for your reply, I asked solicitor and they say as the bank which has repossessed the house is not living there thats why they cant give the full ownership.They say it is normal in repossessed house and once we are owners and we want to sale we will transfer the full ownership.

I am also taking 80 % mortgage from the bank.

Richard_Webster

I expect they are selling with "limited title guarantee", rather than "Full title guarantee". Executors and trustees who do not know about a property typically sell with limited title guarantee and a lot of mortgagees sell with no title guarantee.

The title guarantee actually relates to quite obscure situations and in most cases when buying a house the principle "let the buyer beware" applies. The circumstances where the difference between "limited" and "full" would actually make any real difference to anyone will be very limited indeed so it isn't really worth worrying about.

Anshu_2

thanks a lot Richard.