If the Seller has owned the house for less than 6 months...

densol_2

zzzLazyDaisy wrote: »

People who inherit property and seek to sell on within 6 months often meet the same problem.

Only if the beneficiary transfers it into their name. It is far more usual to sell as the executor / administrator of the estate prior to any transfer

zzzLazyDaisy

densol wrote: »

Only if the beneficiary transfers it into their name. It is far more usual to sell as the executor / administrator of the estate prior to any transfer

Which is why I said 'people who inherit property' rather than 'people who inherit the proceeds of sale'.

Thrugelmir

Jamesyc wrote: »

but apparently some lenders will not lend against a house that has been owned by the seller for less than 6 months?

A developer trading the property is a totally different scenario to which the lenders are protecting themselves under their rules.

Jamesyc

Thrugelmir wrote: »

A developer trading the property is a totally different scenario to which the lenders are protecting themselves under their rules.

So part exchanges are usually exempt from the rules? Shouldn't be a problem really.

mkowen22

how did this work out? exactly the same is happening to me right now and struggling to find a lender

silvercar

Do developers/ builders actually take ownership? Surely they can't pay stamp duty on the purchase or it wouldn't make financial sense.

davidmcn

silvercar wrote: »

Do developers/ builders actually take ownership? Surely they can't pay stamp duty on the purchase or it wouldn't make financial sense.

There's a stamp duty exemption for this sort of transaction (or there used to be anyway).

Betty_Boop6970

We were in the same scenario and have recently lost a house, having found out at the last minute (from the agent acting for part exchange company) that the house that we were buying was in fact being transferred to the part exchange company first and then we would have to purchase from them. Needless to say our mortgage company wouldn't entertain the fact that the house was being sold on in less than six months and wouldn't offer us the mortgage. Our mortgage broker found a way around it within a couple of days, however by then the house had been put back on the market and another offer accepted!! Part exchange companies and their agents are ruthless and don't care as long as they get their money!! Had we been made aware at the start of the transaction, we would have approached it in a completely different way!! Let's hope the current purchasers don't come across the same issues that we did - house still within six months rule.....