Could I sue for being mis-sold

moneybunny123

Mallotum_X wrote: »

No way the developer would agree to something like that. They currently will have some sort of secured interest in the property, and then will be asked to be unsecured.

Speak to the lettings people and see if they will just buy the place normally.

Then 120k is on the table vs what you could get by trying to get a sale elsewhere. Have you had an estate agent round for a valuation?

Yes, I've had 3 or 4 estate agents round. Valuations have been roughly all the same - the late £130's (i.e. put it on at £139,950 and see what happens).

As for the secured interest by the developers, you're dead right. I can't remember the exact terminology my solicitor (when i tried to remortgage) gave me - it was something like "secured interest". Meaning that whenever I try and do anything with the house, it will automatically be picked up on searches. I'd just assumed that the same would happen if the Lettings Agent buys it. The same for my remaining 10% in 5 years. Surely if I move, how on earth would the Lettings Agency/SOlicitor know where to find me to give me my money?

ViolaLass

I'd have thought that by keeping the tenants in, you're limiting your prospective buyers.

moneybunny123

ViolaLass wrote: »

I'd have thought that by keeping the tenants in, you're limiting your prospective buyers.

Yes, absolutely I am. And, if the developers don't go for the part now part later split, or the LA don't increase their offer, I WILL have to evict them. Just makes me a little sad, that's all. I'm messing with people's lives. Don't like it.

moneybunny123

It scares me too, to think that I invested £64k of my own money - cash in my hand (effectively) five years ago, and if I sell on the open market for, let's say, £135k, by the time I've paid the developers, my mortgage, and estate agents/solicitors, I'll be lucky to get £46k back. A £20k loss (if I'm lucky) in five years.

ILW

mandbaby wrote: »

It scares me too, to think that I invested £64k of my own money - cash in my hand (effectively) five years ago, and if I sell on the open market for, let's say, £135k, by the time I've paid the developers, my mortgage, and estate agents/solicitors, I'll be lucky to get £46k back. A £20k loss (if I'm lucky) in five years.

Sadly it sounds like you fell into the trap of thinking that property was a one way bet. If it's any consolation you're not the only one.

evoke

OP: You can't afford the mortgage on the property and you've decided to start a family and you want to have your cake and eat it too. Hmm, I shall say no more as I often get criticised for stating the obvious.

Flyboy152

mandbaby wrote: »

Hmmm, yes, you are both making sense (unfortunately for me). In reply to you WestonDave, the developers having to wait up to five years for their 25% - well how is that any different than if I decided NOT to sell now, but waited another 5 years? Who's to say that house prices will be any higher than they are now at the point when I come to sell? My circumstances are my circumstances, and I want to sell now. If the figures aren't right for me, I wont. But surely as it's MY home, it's MY decision?

However, as you say, maybe an alternative would be they get 65% of their 25% now, and 35% of 25% in five years. Maybe this would be a scenario worth considering.

It just narks me that they have me over a barrell every which way. I can't sell on the open market unless it's for a price acceptable to them (and let's face it, an asking price is rarely the price a house sells for), and it's out of MY 75% that all the fees get deducted from. Mr Fatcat developer wins every which way.

Why should the developers wait for their money and you haven't, doesn't sound very equitable to me. What if the house was worth ten per cent less. They would have lost even more.

moneybunny123

evoke wrote: »

OP: You can't afford the mortgage on the property and you've decided to start a family and you want to have your cake and eat it too. Hmm, I shall say no more as I often get criticised for stating the obvious.

You make it sound like you believe that raising a family, what we're put on earth to do, surely, is a crime?

I can currently afford the mortgage, tenant or no tenant, but whilst on maternity leave, yes, I will find it a struggle to find the money for it. There's no crime in admitting that, is there?

But to be honest, while I've got my children (this one will be my second) and my husband, the money I make/lose on this property is secondary. The health and happiness under my own roof is what really matters. Again, no crime in that either, is there?

moneybunny123

Flyboy152 wrote: »

Why should the developers wait for their money and you haven't, doesn't sound very equitable to me. What if the house was worth ten per cent less. They would have lost even more.

They're having to wait for it now, aren't they? While I decide not to sell, the whole time they're waiting for their share.

moneybunny123

Flyboy152 wrote: »

Why should the developers wait for their money and you haven't, doesn't sound very equitable to me. What if the house was worth ten per cent less. They would have lost even more.

What if the house was worth ten percent less? 10% less than what? Surely if they fix in NOW and agree to take their 25% of £139k but not for another five years, but the house in five years was only worth, say, £100k, they're winning aren't they?!

I don't understand your point.