Girlfriends parents losing house. Need Help!

dopester

greenman2 wrote: »

The brochure states that the property is close to a golf course which will open in 2009...that suggests to me that the property has been on the market since at least 2008. Do you know how many notes of interest they had, and if they set a closing date, and if there were offers?

I've just seen the graph from the cache at home.co.uk. Sellers holding out for peaky prices for years now.

Went on the market at "offers in excess of £280,000" in November 2008. Reduced to £250,000 in August 2009, reduced to £220,000 on 5th August 2010, where it's remained at until very recently. Haven't found it listed at the supposed £180K yet.

I don't even know mr.hero's real motives here. Much of it sounds like for personal financial gain from the figures and "legal agreement" he set out.

If selling price is £240,000 or above we would be looking for our initial £20,000 investment plus £50,000 of the selling price

If selling price is £220,000 we would be looking to get back our £20,000 investment plus £36,000 of the selling price.

If sold for £200,000 we would be looking to get back our £20,000 investment plus £30,000 of the selling price.

If sold for £185,000 we would be looking to get back our £20,000 investment plus £20,000 of the selling price.

The other option and again subject to a few points is that we will purchase the property for £110,000 now before repossession and will pay him a £15,000 bonus once we finish and sell the property.

puddy

so they must have other debts if they were unable to put the vet fees on a credit card or whatever and used the money that they had for the arrears?

whats going to happen to the poor dog now? will it be easy to find rental accommodation to take pets?

i have to say i cant understand stories like these, they had problems it would seem since 08, thats 3 years ago, but they hung in there in denial and now start flapping about with 2 weeks to go, with it seems quite unfeasible schemes

has the wife been working if the dad couldnt?

GDB2222

ian_jamieson wrote: »

The offer above isn't from me, it's from a financial company, hence the reason it's so high.

They've had extensions by the court etc. I found out today, the only reason they defaulted was because their dog got ill, and it cost them a few k for a blood transfusion. He was only 3 days late, and they started repossession.

All he needs to do it get the little work done in the granny flat, get the completion certificate and sell it for the price he wants.

A reality check:

1. I thought the offer from the finance company was not particularly high. High-handed, maybe, but not unreasonable in the circumstances. If the property sells for £180k or so, they make 100% return on their money, but it's an unusual situation, and they are taking a significant risk.

2. Don't get me started on the dog! Grrr.

3. Even when the granny flat is completed, will they really be able to get all that much for the place? They'll still be under pressure to sell pretty quickly, and how many people really want a house with a granny flat and are prepared to pay a premium price for it?

If the final sale price is in fact £180k, girlfriends' parents will need to pay the selling costs, including legal fees out of their share. So, that's say £5,000 fees, and £40,000 to the finance company, which leaves them with £135,000. Pay off debts, and they end up with £25k or so.

billybraggtastic

Just a wee point on the offer - once the £5k mortgage arrears are taken care of, who continues to pay the mortgage and is your FIL currently in work to allow him to do so? I would expect that the terms drawn up by the investor will be pretty brutal if your inlaws default again.

Doozergirl

Has he taken out a proper warranty on the house? It will need a 10 year warranty as well as the completion certificate in order to make it mortgageable.

Trollfever

He was only 3 days late, and they started repossession.

A prediction:

This will end in tears.

http://www.cml.org.uk/cml/media/press/2988

ian_jamieson

dopester wrote: »

I've just seen the graph from the cache at home.co.uk. Sellers holding out for peaky prices for years now.

Went on the market at "offers in excess of £280,000" in November 2008. Reduced to £250,000 in August 2009, reduced to £220,000 on 5th August 2010, where it's remained at until very recently. Haven't found it listed at the supposed £180K yet.

I don't even know mr.hero's real motives here. Much of it sounds like for personal financial gain from the figures and "legal agreement" he set out.

If you look at my message above, that quote is from a financial company. Not for my gain. It was trying to help, and I won't be making a penny.

ian_jamieson

As it stands right now, they've rejected the offer from the finance company. Too much.

They've decided just to go to auction if it comes to it. His solicitor says that with the interest (They have viewers all the time) it should fetch over £180.

Not sure of the reality of this, but we'll see.

I forgot to mention as well, the house comes with loads of land and a courtyard which is worth loads in itself.

ian_jamieson

greenman2 wrote: »

I agree with removing the name of the property to protect identities.

I looked at the pdf brochure for the property - semi detached, offers over £280k.
For anybody not familiar with the Scottish system, 'offers over' ( as opposed to fixed price) is where the sellers are looking for at least 10% more than that and set the offers over price accordingly.It's in effect a blind auction, and at the height of the property boom, many properties sold for 25-30% above their offers over price. Any potential buyers would have known that and may not have even wanted to incur the costs of noting interest through a solicitor,survey etc, when the price the sellers were looking to accept was over £300k

The brochure states that the property is close to a golf course which will open in 2009...that suggests to me that the property has been on the market since at least 2008. Do you know how many notes of interest they had, and if they set a closing date, and if there were offers?

Yeah, it's been on the market since 2008. Lots of interest, but nobody can get a mortgage on an uncomplete property. Not since the banks tightened their belt anyway.

They have another viewer tomorrow. Everyone who sees it, loves it. Strange...

ian_jamieson

puddy wrote: »

so they must have other debts if they were unable to put the vet fees on a credit card or whatever and used the money that they had for the arrears?

whats going to happen to the poor dog now? will it be easy to find rental accommodation to take pets?

i have to say i cant understand stories like these, they had problems it would seem since 08, thats 3 years ago, but they hung in there in denial and now start flapping about with 2 weeks to go, with it seems quite unfeasible schemes

has the wife been working if the dad couldnt?

No, they don't have credit cards. I don't have one either, don't like to spend money that's not mine.

Dog is alive and well, but they're still lots every month in medication. He's an old dog, and as much as I love them, when it's time to go, it's time to go.

I think 3 years ago, they weren't doing too bad. Not many people are paying builders to do lots of work right now, as most are keeping hold of their cash. I think they've buried their head in the sand a little thinking it would pick up. The wife worked with the dad. To be fair, if it was me I would be looking for a job.