Please Help.Ready to exchange but Vendor found Charge on Property

mag85ic

Hi Every body

I will really appreciate if some body could shed some light on this issue.

I am a first time buyer.My offer was accepted on 2 July .Vendor said that he paid off the mortgage 10 years before and the house is mortgage free now.
I received my mortgage offer on 15/08/2014.I am ready to exchange and complete but Vendor is saying that his solicitors have found that previous mortgage charge is still showing in land registry.

The vendor have contacted the Barclay(previous mortgage provider) who admitted their mistake and informed land registry electronically (email) to remove the charge.

Last Thursday 28/08/2014 He said that it will be removed in 24-72 hours.

I contact him again yesterday(04/09/2014 now The vendor is saying that he is waiting for a confirmation letter in next couple of days from the land registry and then he will be able to exchange it.

Is he is telling me the right story ??Do I need to push him or not ....

I am quiet worried and stressed.

I have give notice to my landlord which is going to expire on 05/10/2014.(Currently Renting).

I don't want to be homeless with my kids if its going to be late more.....

Could any body please guide me that exactly how long does it take to remove a paid mortgage charge in land registry ??

Do I need to give any deadline to Vendor to exchange and complete ?

Any help will be highly appreciated.

Thanks

Thrugelmir

What did your solicitor find when searching land registry?

mag85ic

Thanks for your reply.

Our solicitor did not say any thing about it.My solicitor was even saying that we are ready for exchange/completion.

Is this is some thing my solicitor should have been picked ?

What can be done now to avoid more delay.

kiddakidda

mag85ic wrote: »

Thanks for your reply.

Our solicitor did not say any thing about it.My solicitor was even saying that we are ready for exchange/completion.

Is this is some thing my solicitor should have been picked ?

What can be done now to avoid more delay.

Maybe, either way it sounds as if it will be sorted in reasonably short time.

So sit tight, you should be OK.

G_M

Your solicitor will have seen the Charge, and assumed the seller has a mortgage. This is normal.

The contract of sale will state that the property will be sold without Charge, and your solicitor will have assumed that the mortgage would be paid off using the sale money and the Charge removed. Again - this is very common and normal.

However, since this is, in fact, an old mortgage which was paid off years ago, the Charge should have been removed at that time.

steps are being taken to remove it now - there is no reason to suspect this will not happen in a few days.

The problem is that you have jumped the gun. You should never give notice on your rented home until you have Exchangd Contracts on your purchase. There are 101 reasons why Exchange might be delayed (eg as now), or even cancelled completely at the last minute.

So, sorry, but if you end up homeless for a few days you have only yourself to blame......

Speak to your landlord and see if he is willing to be flexible over your tenancy end date.

giraffe69

If you are a few days late exchanging you can shorten the time to completion so you can still move by the time your tenancy ends.

mag85ic

I would like to thank you for every body for giving me very valuable advice.


I did not give notice to my landlord lntensionally. My contract was expired on 5 august . Landlord wanted to sign the new 12 month contract. He was upset when I told him that I do not want to bound myself in a new contract as I am buying my own house .

He than served me s21 notice which is expiring on 5 October.

I hope every thing will be sorted soon����. I will update the thread as and when there is any progress .

Many thanks

Thrugelmir

You've still a month until your tenancy expires. So there's plenty of time to resolve matters.

Kynthia

Don't worry, you have time and it seems like things are progressing. Plus you don't have to move out when the s21 expires. You stay and pay rent until you give notice or the landlord gets a court possession order. Not ideal but better than being homeless. Ask for more advice if it looks like that might happen.

cabbage

You don't have to leave on the date the s21 expires. You won't be homeless. This happened to my daughter's tenants. They ended up staying an extra 8 days. The landlord has to go to court to evict you if you don't leave on the date on the s21. It takes awhile.

mag85ic

I have another question to ask please.

I have paid 1175 as deposit at the start of my tenancy.

I have checked with all the deposit protection schemes by the government.It look like that the landlord/Agency has not protected my deposit yet.

In this condition do I need to pay the last month( Current month ) rent or can I ask the landlord to adjust my deposit as last month rent as it was not protected.

Please guide me to the right way..