Bad advice , promised to complete and didn't!

dilleybmw

Hi I am new to the site and desperately need some advise, I am trying to buy a commercial property , my financial advised assured me the money would be there on time. They asked for more and more information, and always promised the offer would be out the next day. Completion came and went and we now have now been served with 10 days notice. Can I recoperate any of the costs from them??? Please help

poppysarah

What have you signed?
What does your solicitor say?

mustang1

If you have signed and exchanged a contract agreeing to complete on a specific date then you are obliged to completed on that date. Easy to say but in hindsight you should never exchange contracts until you have confirmation from your lender that they will give you the money.

It's unlikely you'll be able to recover any costs from the bank but that depends on what you've signed with them - most banks completely hedge their bets and say that any offer can be withdrawn right up until completion.

Keep pushing your bank to get all of their requirements dealt with and money out to avoid you losing your deposit if it's not all sorted within the 10 day period. Keep your seller up to date as well as they may extend the 10 day period if there is a real likelihood that the money will come through a few days later.

Good luck

kingstreet

I find it difficult to believe any solicitor has agreed to a completion date and exchanged contracts without a mortgage offer in place.

Have you entered into some form of agreement with the vendor outside your solicitor's knowledge or advice?

Commercial transactions are very detailed and can be very long-winded and jumping the gun and acting like it's a house purchase is not advisable.

ruggedtoast

Have you paid a deposit?

dilleybmw

Hi yes we have paid a deposite, the acceptance of the offer was that we exchanged within 2 weeks!!! It is a nightmare:(

dilleybmw

What about from the adviser who told me the offer would be out within a week!! can I recoupe any costs from him???

G_M

So you agreed to Exchange in 2 weeks despite not knowing if you would have the funds?

Sorry - you have been very foolhardy and are now paying the price.

tizerbelle

dilleybmw wrote: »

What about from the adviser who told me the offer would be out within a week!! can I recoupe any costs from him???

What do you mean by offer? The mortgage offer or the funds? If just offer did you not consider that it would take more time to get the money - most lenders require that you give about a weeks notice of the date you want the money buy and you should always ensure you have the funds in place before exchange.

When you say financial advisor - do you mean mortgage broker? Employee at a mortgage company? Where was your solicitor in all this?

princeofpounds

I'm sorry but there are multiple things that are unclear about this situation. You seem to confuse exchange and completion, for one thing, and you don't provide much detail about where you were supposed to be financing this from and exactly what the status of your various advisors is.

Seanymph

I am currently selling my business - so am on the other side of this.

Firstly, two weeks is never going to happen for anyone - you wouldn't even manage a house in that time! And your lender cannot be sure until after searches, survey's, business plans, planning permissions etc are all through. They can offer in principle - my guy had that in March - but we are still awaiting firm confirmation on a couple of pieces of paper I'm still finding out. And I've had about four people through my building and books!

So, you have been given bad advice.

Breathe in, and try and let us all know exactly what has happened and I know you'll receive good advice.

Is it a building? Or just a business?

How did you agree to two weeks? Formally, or informally? Do you have a solicitor handling the purchase for you? Is it a company buying the business? Or you as a person? Has the bank made an offer of funding? Have you exchanged contracts? Are you buying from a person? Or is it a large company or franchise?