Borrowed deposit of £200

sugarbabe84

I was due to exchange on the 19th of this month, but eachange got delayed because of delay in getting authority to proceed. The delay in ATP was caused by the brokers numerous clerical errors. The broker was pushed forward by the developer. The APT was issued on the 8th of this month and deadline for exchange was set for 8th June by the Help To Buy agent.

The developer deadline for eachange on the other hand was the 19th. Theres been a delay in meeting the developer deadline and my solicitor has been working on the Help To Buy deadline, even though the developer is the one that pushed me towards that solicitor.

The solicitor sent me my contract this week which I only received on Thursday evening. I hadnt yet sent my deposit to the solicitor as Ive been waiting for pay day as I have a shortfall of £200.

Yesterday the developer rang me to threaten to withdraw from the sale because there have been a delay on their their exchange deadline. They said the only thing delaying my exchange is that I havent yet paid the deposit.

The date id agreed to pay the deposit is the 30th as Im waiting for day to top up the £200.

Their threat has led me to borrow £200 from a sibling to top up the 10000. Ive now sent the solicitor the deposit money but £200 is from a sibling. I was wondering if this may cause issues?

ScorpiondeRooftrouser

£200? !!!!!!. You might as well be worrying about the price of a stamp. You shouldn't have delayed over such a trifling sum and it won't matter a damn where it came from.

sugarbabe84

ScorpiondeRooftrouser wrote: »

£200? !!!!!!. You might as well be worrying about the price of a stamp. You shouldn't have delayed over such a trifling sum and it won't matter a damn where it came from.

I know. Its a trifling sum to me too. But I was thing to make sure Im following all the legal guidelines.

Also the solicitor havent advised me of this risk. I would have thought they would advise me to expedite things, even if it means borrowing, but instead they agreed to take the deposit when I get paid.

They are in close communication with me developer and probably know the developer better than I do. I was a bit taken aback to get rung by the developer with the threat. My naivety assumed any issues would be communicated to the solicitor and the solicitor would communicate any issues to me.

anselld

For future reference, if you want independent advice do not accept FA and Solicitor "pushed forward by developer".. or EA for that matter.

HouseBuyer77

This sounds like a don't ask, don't tell kind of situation. I doubt the solicitor will be digging into where £200 has come from so I wouldn't volunteer the information either. I can't see that it really matters in this instance but you want to avoid any suggestion that you have a borrowed deposit in case this causes further delays (I guess technically your sibling would need to declare it was a gift).

On another note you should really build up some kind of emergency fund! Especially as a home owner it's important to have easy access to a reasonable amount of cash (most people would say 3-6x Monthly income).

Robin9

HouseBuyer77 wrote: »

On another note you should really build up some kind of emergency fund! Especially as a home owner it's important to have easy access to a reasonable amount of cash (most people would say 3-6x Monthly income).

I hope you have got some funds behind you already - the first couple of months moving into a new house - even a new build - always present some unexpected costs - furniture, light bulbs, garden plants, etc .....

davidmcn

HouseBuyer77 wrote: »

This sounds like a don't ask, don't tell kind of situation. I doubt the solicitor will be digging into where £200 has come from so I wouldn't volunteer the information either.

If they're doing their job properly they should be getting evidence of the source of funds, and strictly speaking should be telling the lender if any of the equity is coming from elsewhere than the borrower's own funds. Though as we're only talking about the contractual deposit that can be solved by the borrower "swapping" the borrowed £200 for their own £200 by the time completion happens.

And if it's the developer's tame solicitor then I suspect they'll overlook it rather than throw a spanner in the works.

Nevertheless the OP should really be taking advice from the solicitor, not doing whatever the developer tells them to do!

Clutterfree

I'm a tad surprised that you don't even have £200 in savings when you're buying a house!

p00hsticks

Robin9 wrote: »

I hope you have got some funds behind you already - the first couple of months moving into a new house - even a new build - always present some unexpected costs - furniture, light bulbs, garden plants, etc .....

Lightbulbs, yes. Furniture, maybe (at least a bed, table and chair, picked up from freecycle/charity shop if necessary). But garden plants , definitely no. They're a nice to have, not an essential and can wait until later when you have a bit of money to spare

csgohan4

boiler breaks, leaking ceiling/roof e.t.c all cost more than £200

giraffe69

This would all make more sense if a zero or two had been missed off the outstanding amount