Issues regarding Shared equity property

bobalobmitchell

I am after some advice/reassurance.

I purchased my current home in 2008 and every year seems to become more stressful owning this flat!

This was purchased under a shared equity scheme between myself and a housing association. I can't remember the specifics but later this was then transferred to the Scottish Ministers. (I live in Scotland) Being 21 at the time and wanting to get my first foot on the ladder I sort of just jumped at the first chance. This was my only house viewing. Although I had used the services of a mortgage advisor throughout.

I currently own 59% of the property, the mortgage is for 55,000 with the property being valued at purchase with a price of around 92500. The government like to keep a "golden share" basically I can purchase upto 80% of the value of the property.

We would pay the housing factor every month and they would look after the common parts. Hallways, clean them every month, pay the hallway and car park lighting electricity and more importantly pay for the buildings insurance. There are 2 blocks of flats, both separated by a shared residential carpark. They were also appointed to carry out any repairs.

As time went on the Scottish government changed the legislation in the way that these housing factors operate. We did have a few issues in the beginning with repairs not being carried out but these were soon fixed after complaining. With the new legislation brought quite a number of problems. For example these flats were new builds, our exterior windows have not been painted in 5 years. They produced a quote and would take the funds from the balance every tenant had built up using the monthly payments they collected. If there was any shortfall, they would increase the monthly payments.

They then had to submit a vote whether we wanted this work carried out? Of course, people being people they complained about the cost and voted no. To cut a long story short, the housing factors became fed up + with new legislation they were required to ask if we wished for them to continue their factoring service.

Apparently not enough votes were gathered so they have pulled out just last month or so. They did give us the balance of the monthly payments back, including the float initially payed at the purchase so they have done nothing wrong there. They have however told us to seek legal advice in regards to the bills for electricity. They haven't told us anything about the buildings insurance? So for all I know, the building may not be covered!

I am in the process of getting stuff together and to contact my solicitor in the coming weeks. Can anything be done about their negligence? 0 Details have been left. Basically, here's your money and goodbye.

Another issue is the neighbours. No one speaks to each other and I have constant issues with noise here. I hardly think they will be interested in keeping the hallways clean and settling the bills when they arrive. Someone has already managed to break the banister? I am the only person capable of cleaning the hall although upstairs has hoovered once. I am also aware of other tenants renting their properties out, none of my business but this is sure to break their mortgage agreement and make it harder to deal with noise issues!

All of these issues have made me want to sell and get out of here. Never to deal with another flat and shared equity purchases for that matter. What is the likely hood of someone wanting to buy a property when all these issues exist! :mad:

nickyg2000

That sucks. Just get an estate agent to deal with selling it. They will lie through their teeth to get the commission. Leave it to them and chill ;-)