Gazumped on Exchange Day - Repo

G_M

AdrianC wrote: »

Most people get over petty vindictiveness sometime around the end of primary school.

Just as at a similar age most people realise that invisible friends are not real.

Oh! No. They don't. They continue to go to synagogues, churches, mosques and other places of worship well into adulthood. It's a strange world!

G_M

sillyhilly wrote: »

I think the issue is more that it's absolutely ridiculous that neither the buyer or seller have any protection until that exchange of contracts. The whole !!!!!! needs a reform.

You only have to look on these forums to see how many innocent, well intentioned and proceedable individuals are out of pocket, potentially in the 1000s, just because someone has a sudden change of heart and suffers no economic penalty.

Now where have I heard or read that before?

The process has been as it is (more or less) for several hundred years. The flaws and short-comings of the process are well known.

Periodically over the decades it has been reviewed, by the legal profession, the government, consumer groups and others.

The latest review resulted in the introduction of the HIP (Home Information Pack) in 2007. They lasted till 2010!


The problem is that any replacement process presents its own flaws and short-comings.

greatgimpo

AdrianC wrote: »

Most people get over petty vindictiveness sometime around the end of primary school.

Vindictive? Me? Yes I am. I've paid out for mortgage application, surveys, legal fees and god knows what else. I've told family and friends about this lovely house I'm buying, I've researched the area regarding schools, recreation, shopping, transport and a myriad of other factors. I've settled in my head that this purchase isn't a mistake, it's a viable purchase that I'm happy to complete on. Then some faceless person has decided to deny me all of these dreams (both good and bad) just for a lousy two thousand quid. Vindictive? Me? Damn right I am.

AdrianC

greatgimpo wrote: »

Then some faceless person has decided to deny me all of these dreams (both good and bad) just for a lousy two thousand quid.

It's a repo. You should have known this was always a risk, if you'd done the most basic research.

And, remember, you had the opportunity to match that, so it's YOU choosing to walk over £2k.

MysteryMe

I thought enough people had already explained the legal obligations the banks have in respect to repossessed properties but clearly not.

Skiddaw1

greatgimpo wrote: »

Vindictive? Me? Yes I am. I've paid out for mortgage application, surveys, legal fees and god knows what else. I've told family and friends about this lovely house I'm buying, I've researched the area regarding schools, recreation, shopping, transport and a myriad of other factors. I've settled in my head that this purchase isn't a mistake, it's a viable purchase that I'm happy to complete on. Then some faceless person has decided to deny me all of these dreams (both good and bad) just for a lousy two thousand quid. Vindictive? Me? Damn right I am.

Actually, have to say I'd feel exactly the same. I know it ain't over until the fat lady sings but it doesn't change the emotional (and financial) impact does it? Personally, I'm all for adopting a system such as the Australian model (whereby once an offer is made and accepted there's a contract and an expectation that completion will take place within a specified period). Whilst I'm sure any system has its failings (and potential to be exploited) it surely has to be better than the current one.

G_M

Skiddaw1 wrote: »

....Whilst I'm sure any system has its failings (and potential to be exploited) it surely has to be better than the current one.

https://www.parliament.uk/get-involved/contact-your-mp/


or


https://www.gov.uk/petition-government

maisie_cat

eddddy wrote: »

I suspect that the EA and RBS are as frustrated as you by the new late offer.

It means delays, hassle and extra work for everyone.

However, RBS are forcibly selling somebody else's house, so they have a legal duty to achieve the best price reasonably possible.

Potentially, the repossessed house owner could take RBS to court and claim damages saying "why didn't you accept that offer of £2k more, because then my debts would be £2k less?".


I doubt that RBS are playing games with you, because if they were, they could end up having to explain themselves in court.

If you increased your offer by £2k, I'd say it's almost certain they'd go with you - unless the other person then adds another £2k to their offer etc.

The problem is that the "costs" of starting again may well exceed the additional £2k so the repossessed party may well be worse off. The duty to get as much as possible for the possessed party is on a net basis. The delay will add interest into the pot as well, so somebody at RBS is either playing silly !!!!!!s or hasn't put the business case together properly.

Gribbit789

Often it is businesses who gazump repossessions and probate style sales last minute. They come in at the close with cash and can complete almost instantly. They don’t need surveys or have any of the hold ups that come with normal domestic sales so there is no delay that detracts from additional profit. This is a known risk and something that should have been anticipated.

Playing hardball in a situation involving businesses held to accountability, rather than private individuals who are autonomous, simply won’t work. Had you matched or exceeded that day you would have gotten the property. It is disappointing but you must have realised you had a heightened risk of a sale falling through. These sales are often good value and that’s the pay off of increased risk.

AdrianC

Gribbit789 wrote: »

Often it is businesses paying cash who gazump repossessions and probate style sales last minute. They come in at the close with cash and can complete almost instantly. They don’t need surveys or have any of the hold ups that come with normal domestic sales so there is no delay that detracts from additional profit.

So, umm, what are these businesses then doing with the properties?

And why didn't they bid less earlier and close the sale just as quickly?