Exchange not completed, purchase fell through.

harv123

I am at wits end now. Yesterday was the deadline for the exchange of my purchase, however my solicitor was saying that one of the enquiries were not answered, I called the developer and was told that their solicitor answered all enquiries and that 72 out of 73 plots were exchanged. I was on the phone to my solicitor stating that exchange now otherwise I am going to lose the plot and it is going to get remarketed. I do not know who is at fault each side seems to blame one another however I am seriously distressed and all of me and my wifes plans have been torn to shreds along with the contract. I do not know what to do where can I go to report this or is there any way back for the developer. They have put in back on the market for 120k more than what we agreed to it, as it was a new build. Can they really tear up the contracts? Do I lose my deposit that was transferred before the exchange? Or my reservation fee.

Is there any one here that can offer advice?

harv123

Unfortunatly I used Premier Property Lawyers t/a Lanes Conveyancing. I used them 2 years ago buying another new build and it was done without a problem however I am utterly disgusted by their service and I will not leave it at this. Even though our future family plans have been messed up by these incompetent so-called solicitors. I really do I have a strong case to sue these !!!!!!s!

Annisele

Very hard to say whose fault it is - potentially it's nobody's fault. You say each side blames the other, but has either side given you specifics?

I wonder if there's an issue with your lender? If there's something in the searches that the lender doesn't like, or if the developer hasn't answered questions to the satisfaction of your particular lender, the lender won't allow the solicitor to exchange. Different lenders have different lending criteria, so the fact that 72 other people have exchanged might be irrelevant.

I don't think you'll lose your deposit - because you didn't actually exchange - but you might lose the reservation fee.

harv123

The developer was happy to proceed with initial mortgage offer as completion was not till 6 months. I have been told by developer that their solicitor has answered all the questions that were asked by our solicitor and this procedure was repeated with all the other buyers. developer also stated that their solicitor called my solicitor 10 minutes before Friday 5pm deadline asking them to exchange contracts otherwise deal is cancelled however my solicitor refused, as he told me that he will not exchange unless they answer questions that developer said was answered. i have sent the deposit to my solicitor day before the deadline and when sending i asked whether it will be exchanged Friday i was told it will be. my problem is that i was not mentioned that it cannot be unless one outstanding issue is answered.

i have seen that they have answered on the online portal but my solicitor was saying the answer is not enough. this took 8 months and this is the result.

Freecall

£120k more, wow!

Some people pay that for a whole house.

:eek:

zarf2007

harv123 wrote: »

The developer was happy to proceed with initial mortgage offer as completion was not till 6 months. I have been told by developer that their solicitor has answered all the questions that were asked by our solicitor and this procedure was repeated with all the other buyers. developer also stated that their solicitor called my solicitor 10 minutes before Friday 5pm deadline asking them to exchange contracts otherwise deal is cancelled however my solicitor refused, as he told me that he will not exchange unless they answer questions that developer said was answered. i have sent the deposit to my solicitor day before the deadline and when sending i asked whether it will be exchanged Friday i was told it will be. my problem is that i was not mentioned that it cannot be unless one outstanding issue is answered.

i have seen that they have answered on the online portal but my solicitor was saying the answer is not enough. this took 8 months and this is the result.

Get on the phone to them Monday and order them to exchange or you will report them to the legal ombudsman. Even if they remarket I think if your solicitor phones up ready to go first thing there may be a chance

LittleMrsThrifty

Assuming that the developer wants all the plots sold asap, all may not be lost. I would call, or better still visit, your solicitor first thing on Monday morning to establish what the problem is. Once you know that you can contact the developer again and say you're sorry for the delay but you're still here and keen to proceed, you can pay and more but your original offer still stands and you can exchange in X days.

Worth a try. But don't go in all guns blazing saying you will sue the solicitor. Worry about that later. You need them on your side for now.

ging84

What was the reason for you waiting 8 months to exchange? Normally developers give you a 28 day deadline, this can be fairly flexible but 8 months seems extremely long. Was this the first deadline they gave you or was it already very late to exchange even if you met the deadline?
Your solicitor cannot simply exchange because you tell him too, if he cannot say to the mortgage company everything is in order and the property meets all their lending criteria then he can't draw the funds and if he can't draw the funds he should not be letting you sign a contract of sale you can't complete.

harv123

no that is not possible. The developer remarketed this property this morning and is now sold. that is the reason why im on here trying to get advice for this further.

harv123

ging84 wrote: »

What was the reason for you waiting 8 months to exchange? Normally developers give you a 28 day deadline, this can be fairly flexible but 8 months seems extremely long. Was this the first deadline they gave you or was it already very late to exchange even if you met the deadline?
Your solicitor cannot simply exchange because you tell him too, if he cannot say to the mortgage company everything is in order and the property meets all their lending criteria then he can't draw the funds and if he can't draw the funds he should not be letting you sign a contract of sale you can't complete.

the mortgage offer was in place the query wasn't regarding the mortgage offer

Chyna81

I'm no expert but I can't see how you would lose your deposit if you have not exchanged contracts. Did your solicitor not make you aware of any issues prior to exchange. Wow I would be livid to say the least.