Barratt Blow - Part Exchange Problems

skemp2

Recently we decided to buy a barratt home and part exchange our home in at the same time, we had about £106,000 on our mortgage and Barratts offered us £102,800. We had to think about it but we decided that we could get the mortgage down to that before completion and it went on.

We chose the house we wanted and paid the £500 reservation fee and chose the solicitor all the legal stuff went on. We had a guy around to do the house survey and valuation sent from barratt and then we received an official offer through the post signed by the part ex manager and even the group financial director, all was going really well.

Then 3 days later we got a phone call saying that they had to do another survey as the first people did the wrong sort of survey and the paperwork was filled in wrong but not to panic as all was ok. Another two people came round.

Then the bombshell, we received a phone call saying they had to drop the offer to £98,000 as the surveys had came back lower than they thought??:eek:

We now have to find another £4800 or the whole thing will fall through. We have already spent quite a lot of money on legal fees and the reservation fee and mortgage fees and stuff. We even chose our carpets and tiles!! Even the color of our front door!!!

It seems so unfair to us, what do you guys/girls think? I really am depressed about this. :mad:

eschaton

Move on and get over it.

Houses everywhere, just get another.

beecher2

Not sure what advice you're looking for - either find the extra money or walk away

CloudCuckooLand

Tell them you have re-considered the value of THEIR property, and offer them an amount that leaves the deal the same as you had originally.

dunstonh

it sounds like the first valuation was done on a normal sale basis but the second valuation was done on a quick sale basis. Quick sale pricing is what builders normally request on part exchanges.

Go back to them and tell them the valuation wasnt enough and you will have to withdraw unless they lower the price of the one you are buying.

Buying houses is like paying poker.

every_penny_counts_2

If you've had a signed official offer i would have thought there are is offer and acceptance there and a contract has been agreed which it may be inequitable for them to renege on-have you spoken to your solicitor?
I like Cloud Cuckoo Lands advice too though!! Good Luck.