Nram can they stop my sell ?

somberfate

Ok long post so please bear with ...

My house has been up for sale for 7 years , i have agreed to a sale of 45.000 on the understanding with Nram that they would do a shortfall mortgage .

mortgage secured owed 47.736.07
unsecured loan 1.800

they told me as long as i continued to pay the unsecured loan amount they would accept a shortfall on the mortgage .

Today ive been informed i will be liable for all , and that the estate agents and solictor can not exceed limited costs or they could stop the sell ?

Does anyone know if this is correct? i have had 1 other offer 2 years ago and now am at the point that the house need to sell. I debated handing it back but have maintained (god knows how) the mortgage...

any advice ?

kingstreet

Your solicitor will need to ask NRAM for permission to sell the property for less than the outstanding mortgage amount.

This is because the solicitor has to offer unencumbered title to the property to the buyer's solicitor and that includes redeeming any secured credit and having any charge over the property removed.

NRAM can choose to refuse to permit this if no agreement has been made for the repayment of any shortfall, either before or after completion.

somberfate

kingstreet wrote: »

Your solicitor will need to ask NRAM for permission to sell the property for less than the outstanding mortgage amount.

This is because the solicitor has to offer unencumbered title to the property to the buyer's solicitor and that includes redeeming any secured credit and having any charge over the property removed.

NRAM can choose to refuse to permit this if no agreement has been made for the repayment of any shortfall, either before or after completion.

Thanks ive agreed the shortfall repayment , there quibbling over the estate agents fees being taken out of the 45.000, and the solicitors fees also. They are sayin that they cant take more than 1.5% of the sale price + vat and the solicitor cap is £1000

kingstreet

If you are asking if they can do this, the answer is yes.

The alternative, as you have already indicated, is they prevent you selling the property.

somberfate

kingstreet wrote: »

If you are asking if they can do this, the answer is yes.

The alternative, as you have already indicated, is they prevent you selling the property.

wow , ok so they can stop it even over the estate agent fees , jesus that has put me at a stop.

thanks for your advice il have to see where i can turn next

kingstreet

As I said, you require their agreement to you selling where the mortgage won't be repaid in full from the sale proceeds. They can place whatever stipulations they choose on providing that agreement.

Sorry.

Frankly, I'm surprised. I would have expected you to have had to pay the legal and agent fees yourself, not for this to come out of the sale proceeds in such circumstances.

You live and learn, eh...?

somberfate

kingstreet wrote: »

As I said, you require their agreement to you selling where the mortgage won't be repaid in full from the sale proceeds. They can place whatever stipulations they choose on providing that agreement.

Sorry.

Frankly, I'm surprised. I would have expected you to have had to pay the legal and agent fees yourself, not for this to come out of the sale proceeds in such circumstances.

You live and learn, eh...?

Ive contacted the solictior who is acting on the sale, hes told me to take the shortfall paperwork to him when i recieve it and he will sort it out, as far as i know and as far as my estate agents told me the fees come out of the price i got from the house.

From a point in nearly going bankrupt ive tried to sell the house for as much as i can, and im willing to still make payments , to quibble it over the estate agents fees when in 7 years they have totally unhelpful is frankly amazing

stator

Could you negotiate with the estate agents and solicitors for you to repay any extra amounts over time?

somberfate

stator wrote: »

Could you negotiate with the estate agents and solicitors for you to repay any extra amounts over time?

The solicitors told me there fees wont be no where near £1000 so im safe there, it seems to be the estate agent fees, they are only charging the minimum fee but nram wont allow them more than £675 which is shocking, the solitiors have said they are going to send them a letter from the estate agents stating their fees etc

Will have to see what happens will be devestating to loose a sale based on this

somberfate

Solicitors fees and estate agents have to be paid when the sell is processed. The estate agents now want to see my last mortgage statement as they want to see if it is all going to work out.

Looks like nram will get there way and the sell may fall through