Can we reclaim fees paid if vendor pulls out on exchange?

band

Hi,

We received an email from our solicitor on Monday afternoon asking us to come down to the office to sign the contracts to exchange on the house were buying. We then received a call from the Estate Agents saying that the vendors have changed their minds and they now want to rent it out and were adamant they will not change their mind.

The next day we received a call saying if we were willing to pay £5k more then they will happily fly back from Portugal where they now live and sign the paperwork. The price was agreed in November, however since they survey we had found out about £8k of work was required to get the house to a standard thats livable as the electrics were 50 years old and dangerous and the garage roof needed fully replacing as it had rotted with water damage, plus some other work. We had not even got to the point of discussing these issues before they pulled out anyway so were definately not going to pay an additional £5k for the house.

They have since gone back to the Estate Agents and said they just want to rent it out and annoyingly its on our Estate Agents website adverstised for rent.

We were so disappointed as we had come so close but also we had paid out over £1000 in fees so far which we have now lost. It has taken us a long time to save up our money and you can imagine how we feel now that £1000 has been lost on these people time wasting.

Is there anyway we can reclaim back our costs because the reason for the sale falling through is that they simply changed their minds? There should be a law against this happening!

Thanks

G_M

band wrote: »

Hi,



Is there anyway we can reclaim back our costs because the reason for the sale falling through is that they simply changed their minds? There should be a law against this happening!

Thanks

The key is in the terminology: 'Exchange of Contracts'.

As yet, you have no contract so neither side is commited.

TheCyclingProgrammer

It seems like posts like these come up on here every few days. I sympathise but unfortunately there's nothing you can do.

Okydoky25

Unless you have actually exchanged then no sorry.

I would call their bluff and ask the estate agent to book in appointments for other properties asap and to tell the sellers they have 7 days to exchange if they still wished.

Glover1862

You've done well if you are only £1000 down, I've recently exchanged and up to then I was in for £800 solicitors fees, £400 survay, £500 mortgage fees, so about £1700 in total which is fairly average for a entry £150/£160k house. I assume you must have had some no exchange no fee deal.

band

There was no mortgage fee, solictitors were £650 incurred so far and £450 for a survey.

Our solicitor has kindly offered to send a letter to their solicitor for no charge which is very nice but I can't see us getting it back.

There should be a law against this!

band

Does any kind of protection insurance exist where you can get your money back if this happens. We can't afford to go through this now, let alone on another sale.

I_have_spoken

since they survey we had found out about £8k of work was required to get the house to a standard thats livable

You could have walked away at that point, so yes it's a sickener to be down £1000 but both parties can exploit 'no cost' disengagement up to point of exchange.

Glover1862

band wrote: »

There was no mortgage fee, solictitors were £650 incurred so far and £450 for a survey.

Our solicitor has kindly offered to send a letter to their solicitor for no charge which is very nice but I can't see us getting it back.

There should be a law against this!

That's very cheap for the solicitors, my search fees were about £300 alone, if you're not too far from exchange they would of gave to been done, check if they've been done and included in the £650.

I had a broker, hence my fees.

MysteryMe

There is no redress for you unfortunately but the vendors have not covered themselves in glory. Hopefully you'll have better luck next time.

pinkshoes

Are you selling a property? If so, complete your sale, then RENT theirs, the refuse to pay rent until they sell it to you at the price agreed.

I am joking of course, but if they wont pay your fees, write them a letter wishing them bad karma, and remind them that what comes around, goes around...