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Are we being scammed?

ScammedandScared
Posts: 8 Forumite

My husband and I put an offer in on a house last May (2019) and it was accepted. We exchanged at the end of June (2019).
The property was advertised for sale in 2014, 2016 and 2019 but never sold - it was advertised as "chain free". We asked the EA about the selling motivation as were concerned by the fact that it looked occupied and that there were three previous attempts to sell. They told us that it is a second home, not technically occupied but they sometimes stay there so have possessions there. They said that it's not tenanted out or anything like that. They told us that they previous sales fell through because the buyers pulled out after exchange, not the vendor. Everything went smoothly from offer to exchange. I said that we hoped to complete by September 1st because that is when our tenancy ends (we're first time buyers so no downward chain). We were told it would definitely happen by September because both of our solicitors have time and neither parties have a chain - so the September date wasn't ever actually put into our contract. I tried to say that there was no harm in putting in "by September" but they said it needed to be an exact date in the contract for completion. Basically, if wanted a completion date in the contract it needed to be "on" that date not "by" that date. If we put "on August 30th" then it would mean we couldn't move in until August 30th when it's likely that we could complete earlier without that date in the contract, but if we put "by August 10th" then the property might not be ready and then the contract would fall through and we would lose the property. They were adamant that putting an exact date just made things more complicated and, seeing as neither of us had chains and everything had been agreed with our mortgage etc, it would definitely happen by September (2019).
After exchange, the vendor said that we could complete once they've found a new second home. They said that technically there was no chain on the property because they don't need to find a new place to live, but they do need to find a new place for their stuff. It's been a year since we exchanged and they still haven't found a second home that they like. I feel like they're trying to induce us to pull out so they get to keep our deposit. I'm genuinely starting to think that this is a scam where they exchange on their house and then just sit and wait for the buyer to pull out so they get to keep the deposit - why else would three other people have pulled out of the sale after exchange? I also feel like the EA/Conveyancer must be in on it otherwise why were they so adamant that we shouldn't put a completion date into our contract?
Is there anything that we can do? I know we were stupid not to put a completion date in the contract but they were just so adamant that it would happen by September and that it would make everything harder.
The property was advertised for sale in 2014, 2016 and 2019 but never sold - it was advertised as "chain free". We asked the EA about the selling motivation as were concerned by the fact that it looked occupied and that there were three previous attempts to sell. They told us that it is a second home, not technically occupied but they sometimes stay there so have possessions there. They said that it's not tenanted out or anything like that. They told us that they previous sales fell through because the buyers pulled out after exchange, not the vendor. Everything went smoothly from offer to exchange. I said that we hoped to complete by September 1st because that is when our tenancy ends (we're first time buyers so no downward chain). We were told it would definitely happen by September because both of our solicitors have time and neither parties have a chain - so the September date wasn't ever actually put into our contract. I tried to say that there was no harm in putting in "by September" but they said it needed to be an exact date in the contract for completion. Basically, if wanted a completion date in the contract it needed to be "on" that date not "by" that date. If we put "on August 30th" then it would mean we couldn't move in until August 30th when it's likely that we could complete earlier without that date in the contract, but if we put "by August 10th" then the property might not be ready and then the contract would fall through and we would lose the property. They were adamant that putting an exact date just made things more complicated and, seeing as neither of us had chains and everything had been agreed with our mortgage etc, it would definitely happen by September (2019).
After exchange, the vendor said that we could complete once they've found a new second home. They said that technically there was no chain on the property because they don't need to find a new place to live, but they do need to find a new place for their stuff. It's been a year since we exchanged and they still haven't found a second home that they like. I feel like they're trying to induce us to pull out so they get to keep our deposit. I'm genuinely starting to think that this is a scam where they exchange on their house and then just sit and wait for the buyer to pull out so they get to keep the deposit - why else would three other people have pulled out of the sale after exchange? I also feel like the EA/Conveyancer must be in on it otherwise why were they so adamant that we shouldn't put a completion date into our contract?
Is there anything that we can do? I know we were stupid not to put a completion date in the contract but they were just so adamant that it would happen by September and that it would make everything harder.
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Comments
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Wow, I can't imagine exchanging without a completion date. It's often done all on the same day. Why on earth would you give them loads of money without any obligation to complete the sale? Presumably you've been paying insurance for the property since exchange?0
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Was the solicator recommend by the EA?
On exchange you give a completion date, nornally everything is sorted like searches etc to ensure happy with everything and if not pull out, not before as sound a like you have.
Did your solicator advise any of this?0 -
Have a read through the information on this link, and come back to say why you think you have exchanged contract: https://www.theadvisory.co.uk/conveyancing/exchange-and-completion/
I don't think you have, otherwise you would have a completion date.
The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.1 -
Your solicitor agreed to this?4
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So, our exchange contract says "completion on notice" instead of a date. Our solicitor said that whilst a date would mean that we would have the house on a certain date, if we insisted on an exact date then there were two options: 1. The date is too early and completion can't happen and causes problems or 2. The date is too late and there's a time when we could be living in the property but aren't. He said that, given that there's no chain and everyone is proceedable, it doesn't make sense to fight for something that's unnecessary. Both us and the vendor want the sale quickly so an exact date in the contract is superfluous. And yes, our solicitor was recommended through the EA because we had one through our broker but they weren't able to move as quickly as the EA's recommendation.0
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I would talk to a different solicitor to find a way to get out of this without losing the deposit.2
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I spoke to a friend who is a solicitor just by the by, obviously not official advice etc, and they said that we could probably pull out and recover damages because they misrepresented themselves as "no upper chain" and"proceedable". They said that on an objective test, a reasonable person would consider someone as "no upper chain" and "proceedable" if completion was not contingent on a subsequent house purchase/sale. Given that the completion is based on a subsequent house purchase/sale, they misled us by using those terms. He said that, at best, it's negligent misstatement and at worst it's tortuous deceit. Does that make sense to anyone? But he also said that it could take a really long time to recover our damages in court and if we lose then we'd be out our whole deposit, court fees and potentially their court fees too...0
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In terms of their stuff... storage warehouses with hireable space exist so I'm really not sure what their problem is?
Have you actually paid money out? If you have I'd start insisting on a specific date - you can cite your rental contract and needing to be out etc., in this. And yes, you may need to fight.
I'd also think about some separate legal advice.3 -
We're suggested storage facilities, we've even found and offered to pay for storage. We've searched and found properties that meet her requirements but she doesn't even view them. I think her problem is that she doesn't want to sell but wants to keep our deposit. We've paid our deposit, survey fees, conveyancer's fees, mortgage fees... We've tried getting a specific date but have always been told we'll complete as soon as possible. Our rental tenancy ended last September - and they knew that before exchange.
It's all made worse because my husband and I are currently approved for adoption but they won't start trying to find us a match until we're settled into our home (obviously, because they don't want a child moving whilst they're trying to settle in). So, not only is this holding up our house purchase, it's also holding up our adoption.0 -
ScammedandScared said:We're suggested storage facilities, we've even found and offered to pay for storage. We've searched and found properties that meet her requirements but she doesn't even view them. I think her problem is that she doesn't want to sell but wants to keep our deposit. We've paid our deposit, survey fees, conveyancer's fees, mortgage fees... We've tried getting a specific date but have always been told we'll complete as soon as possible. Our rental tenancy ended last September - and they knew that before exchange.
It's all made worse because my husband and I are currently approved for adoption but they won't start trying to find us a match until we're settled into our home (obviously, because they don't want a child moving whilst they're trying to settle in). So, not only is this holding up our house purchase, it's also holding up our adoption.2
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