Help! Just about to loose 26k on deposit on new flat - advise please

simyboye

Yes I do own my house. And YES I will get mortgage advice first.
4 people have walked away from edgware and the developers are not chasing anyone.

mynameisdave

Sorry, can we back up here.

You spoke with an investment group who said these properties were worth X amount
The same people recommended the solicitor you use
The solicitor asked for, or did not stop you paying £16,000 CASH as deposit on a property, without a contract in place
The developers will not return your deposit in cash (because presumably they feel you are contracted to buying a flat).

a) I would say the solicitors have been at best stupid, at worst negligent - speak to a different one. Not connected to the development or investment group.

If you exchanged contract on the Liverpool property and they have failed to complete, so transfered you to the Bradford development I would say that is a pretty good incentive to get them to give you your cash back. Not a credit note. CASH.


Where do you live at the moment? Rented or is it your own place?

peterbaker

I just finished reading this thread and having stepped through the door into some innocent new thread, I feel like I put my foot on a loose roller skate and have just been for a ride with it on an Alton Towers rollercoaster!

All I can say is good luck James - I just hope that my kids have the stamina you clearly have to get up, dust themselves off and stay in the game once they are locked in.

But then again, as a firefighter, you clearly are better equipped than most

silvercar

Do you have any equity in your own place? All gets a bit difficult now to walk away from the deals and keep your home without the developers chasing you.

mynameisdave

silvercar wrote: »

Do you have any equity in your own place? All gets a bit difficult now to walk away from the deals and keep your home without the developers chasing you.

Not enough, if post 33 and 34 are anything to go buy.

simyboye wrote: »

I have a mortgage on the house I'm renting out. My mortgage is 330pcm and rented at 800pcm. Was with Mortgage express that have since gone over to bradford and bingley.
This is a residential one.

simyboye wrote: »

I work in the Fire Service so I can relocate. If you know what I mean? So bradford or edgware.
Current motgage? 245k or 330pcm
Valuation? 270k
Monthly rental income? 800

My mortgage provider was taken over by bradford and bingley, so I would have to remortgage...

simyboye

I've rented my house out. Living with a friend.
Dont have any equity in my house.

You spoke with an investment group who said these properties were worth X amount - YES
The same people recommended the solicitor you use - YES & IFA for edgware
The solicitor asked for, or did not stop you paying £16,000 CASH as deposit on a property, without a contract in place. NO MORTGAGE OFFER IN PRINCIPLE
The developers will not return your deposit in cash (because presumably they feel you are contracted to buying a flat). I SIGNED A DOCUMENT OF RESCINDMENT

a) I would say the solicitors have been at best stupid, at worst negligent - speak to a different one. Not connected to the development or investment group.

If you exchanged contract on the Liverpool property and they have failed to complete, so transfered you to the Bradford development I would say that is a pretty good incentive to get them to give you your cash back. Not a credit note. CASH.

grey_lady

So have you actually handed over the 16k for Bradford already?

simyboye

My 16k was for Liverpool. Then urban splash pulled out and my 16k is just floating around somewhere with urban splash. I'm waiting for the solicitors to find out where its gone. I said I wanted to go into bradford with the investors, but as of yet I havent signed any document to say I'm going with bradford. I dont want to now.

Urban splash has issued a credit of 16k for some reason? Whatever thats supposed to mean?

silvercar

I would instruct a new solicitor to retrieve your 16k and investigate getting you out of the Edgware deal.

happywarmgun

James. Just read through the whole thread with sadness and sympathy. You seem to be well aware that you have been duped and just want to manage the best exit outcome now. There are a couple of occasions in my life where I have lost significant amounts of money through bad investments that I myself made as a grown-up with my eyes wide open. In both cases the only smart thing I did in either story was to accept that there comes a point when it is cheaper to 'cut your losses' early and take a big hit - at least allowing you to dust yourself off and start again - older and wiser. It can take quite a mental toll trying to scheme or wish away financial problems - as counter-intuitive as it sounds it can be mentally quite liberating to just stop and take the hit.

It's now 12 years since I last got hit big through 'advice of others' - the experience made me far stronger, made me cut no corners since but instead made me research everything myself rather than ever trust the word of others. That once bitten attitude has actually been an incredible blessing to me in the long run, and if I am honest losing that money was actually the making of me - here I am a dozen years later now Mortgage free through my own graft.

My sympathy for your predicament and best of luck going forwards.