Urgent ! Auction Property sold through misrepresentation.

princeofpounds

Tangentially to this thread, it's interesting that in France (and I presume many other countries) stating the number of rooms is pretty standard, rather than bedrooms. Plus they include an area figure too.

Funny how these conventions become so embedded.

theartfullodger

Surely

Urgent ! Auction Property bid for & purchased without due care & attention

Cheers!

G_M

Posters have been helpful. They have pointed out the facts
* 3 rooms were advertised and the property hs 3 rooms
* auction houses always have caveats telling buyers to satisfy themselves before bidding

This asists the OP by making clear there is no misrepresentation and he has a binding contract.

Yes, OP has been critisized for

* (apparantly) not viewing before bidding and
* not having the funds sorted out before bidding

but that is useful advice for other people thinking of auctions (although too late for the OP).

As for advice: pay the 10% as penalty for not Completing. You will be in breach of contract by not Completing so the 10% is forfeit. If you stop the cheque you will dig a bigger hole, legal action will follow, as well as mounting legal costs.

As for the legal pack being unacceptable to the bank, this should have come to light before the auction when either

* OP checked the pack
* OP's solicitor checked the pack and/or
* OP applied for mortgage and lender's solicitor checked the pack

Since it seems OP failed to apply for mortgage till after bidding (and commiting to buy), there is little he can do other than learn th lesson:

Never bid till

* you've checked the property is what you want
* you've checked the property's condition (survey etc)
* you've checked the legals
* you've got the cash, and/or mortgage confimed

Sorry - but there is no "get out of jail free" card that can be played here.

45002

Auction_buy wrote:

The Property sold to me was as advertised ‘Reception/Kitchen, Three Rooms, Bathroom/WC’ however it has transpired it is only one room/Bedroom property i.e. 1 Reception, 1 Bed, Kitchen, Bathroom/WC and the sale was completed through possible misrepresentation.


Additionally I have been asked to pay 2% pf property value towards legal pack and seller solictor free but the Legal pack / searches document which were out of dates (more than 3 months) and were not acceptable to bank.


I don’t know what to do as I already paid the 10% deposit and actionier fee via cheque ...What options I have got? ….How can I get my self out of deal? If I stop the cheque what is going to happen? It is a big auction house and I have to complete buying by 13 March ( 2 weeks left).

Hello Auction_buy.

Can I ask what checks did you do yourself before buying this property !

molerat

Have you never watched "Homes Under The Hammer" ...... Rule No1, Never buy without viewing and reading the legal pack !

princeofpounds

As for advice: pay the 10% as penalty for not Completing.

Or, if the price you paid is not crazy for what you got, complete (if you can) and move forward.

sorryitsme

How much did you buy it for and how much is it worth?

If you will make a small loss or break even if you go ahead, is less than the 10% deposit you could forfeit, then personally I would go ahead and wait for prices to go up.

molerat

I am assuming OP needs the mortgage to complete so raise the funds elsewhere, complete, sort out problems and get mortgage.

bxboards

Is it this property here?

http://www.rightmove.co.uk/property-for-sale/property-48236497.html

'
key features

• For sale by auction
• Flat
• Number of Bedrooms: 0
• Number of Bathrooms: 1
• Number of Reception Rooms:'

If so , as it's London it's probably still a good price.


I have bought property at auction, and there are some really bargains to be had, but you do need to view them.


You have a legally binding contract, so you either pay up or forfeit your 10% deposit.

AdrianC

bxboards wrote: »

If so , as it's London it's probably still a good price.

Thamesmead. In need of "some modernisation". No interior pics. <shudder>