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Reservation fee loss
lou_bond
Posts: 1 Newbie
Hi, just wondering if anyone can help...
We reserved a new build property just under 2 weeks ago for a £500 fee. We have since decided that this isn't the property for us, and withdrew from the reservation. We were expecting to have £100 witheld by the builders for 'admin expenses', however we have been informed by the sales lady that the whole £500 will be taken.
It was explained to us that she had already faxed the documents to our solicitor 3 days after we signed the reservation agreement. It states on the reservation agreement that " if the buyer cancels the Reservation or withdraws from the proposed purchase after the issue of legal documents to the Buyer's conveyancer then the reservation fee will be refunded less the sum of £500".
When signing the reservation agreement we had said that we would probably use the solicitor recommended by the company, although we hadn't actually instructed this solicitor at the time she had sent the documents over. We weren't expecting any legal documents to be sent so quickly, especially when we hadn't even instructed this solicitor to act on our behalf!
Obviously we don't want to lose our £500 and wondered if we had any sort of argument to claim it back?
Any advice would be gratefully received as we're first time buyers and this hasn't been a very good start to our house-buying journey!
Thanks, Lou
We reserved a new build property just under 2 weeks ago for a £500 fee. We have since decided that this isn't the property for us, and withdrew from the reservation. We were expecting to have £100 witheld by the builders for 'admin expenses', however we have been informed by the sales lady that the whole £500 will be taken.
It was explained to us that she had already faxed the documents to our solicitor 3 days after we signed the reservation agreement. It states on the reservation agreement that " if the buyer cancels the Reservation or withdraws from the proposed purchase after the issue of legal documents to the Buyer's conveyancer then the reservation fee will be refunded less the sum of £500".
When signing the reservation agreement we had said that we would probably use the solicitor recommended by the company, although we hadn't actually instructed this solicitor at the time she had sent the documents over. We weren't expecting any legal documents to be sent so quickly, especially when we hadn't even instructed this solicitor to act on our behalf!
Obviously we don't want to lose our £500 and wondered if we had any sort of argument to claim it back?
Any advice would be gratefully received as we're first time buyers and this hasn't been a very good start to our house-buying journey!
Thanks, Lou
0
Comments
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I don't really know the answer, but why not tell them you've spoken to your solicitor and they've not received any papers. Ask them who they sent them to and when they respond tell them they are not your solicitors - you have never spoken to those solicitors and they have no instructions from you. You instructed you own independent solicitors 4 days ago and they have no record of the papers, therefore you want you money back as per the contract. No need to tell them who your solicitors are as you're no longer proceeding with the purchase. If they press you, refuse to tell them as you don't want them sending them any legal documents thereby incurring costs.
PS - NEVER NEVER NEVER use the solicitors recommended by the developer, there is a complete conflict of interest. You need independent legal advice - use a solicitor recommended by friends, relatives, people in the pup, colleagues or failing that ask on here.
Good luck0
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