Possible negligence from my mortgage broker

RyanWills94

We would not of had to make up the difference, as you said, rics surveyors normally come under valued which would have been even better for us because we buy it at their value and our housing association had already agreed that was the case and the paperwork said that we buy it at the current value even if it was under valued. And we was accepted to borrow up to £240,000 which was affordable, even if there was a down valuation we would of been able to pay the difference, we are very lucky that our next door neighbours sold their house in September last year so the valuation of the property would have probably been the exact same, both same spec because they are brand new as well so there was no difference in quality that must also count for something?

pjcox2005

Presumably while you’ve had to make rent payments for half the property now, if you had successfully bought you’d have been making interest payments on the additional half of the property instead. How big a difference between the two is realistically what you’ve lost out on. Have you worked that out as you seem to only mention the rent.

Doesn’t resolve whether it was incorrect advice but you may be overstating the impact particularly if you can still buy the house on future. Also worth double checking with the lender what the rules were in 2018 in case they did change, you don’t always get the actual answer to questions when you ask a year later as they revert to the current answer.

[Deleted User]

Rics surveyors dont usually undervalue.  Lenders surveyors do though.  So if the lender values it at less rhen the housing association still wants the higher value as that's the rics one.  Then you have to pay more to make up the difference 

[Deleted User]

I hope you get something from complaining but i dont think you should get your hopes up.  There are too many unknown variables to calculate loss, you have no proof that this would have gone through, you could have got a 2nd opinion, you have been caused distress certainly but again, the ombudsman decision previously linked implies you won't get far complaining about a lost opportunity 

RyanWills94

pjcox2005 said:

Presumably while you’ve had to make rent payments for half the property now, if you had successfully bought you’d have been making interest payments on the additional half of the property instead. How big a difference between the two is realistically what you’ve lost out on. Have you worked that out as you seem to only mention the rent.

Doesn’t resolve whether it was incorrect advice but you may be overstating the impact particularly if you can still buy the house on future. Also worth double checking with the lender what the rules were in 2018 in case they did change, you don’t always get the actual answer to questions when you ask a year later as they revert to the current answer.

It’s always been the case with shared ownership. I could have completed and one month later done the full application for the house, I have it in writing with the available products back in October 2019. But you have to also look at the financial gain, although I would be paying more, the house would be mine, there would be no rent, no service charge and more money in the bank for me and my family. Everyone’s making valid points but if it was you in this position you would want to see where you stood. He’s impeded us purchasing the house due to his advice, it’s stopped us from being in a better financial position by owning the property with no lease, any rent payments would have stopped as well as service charge and ground rent, the difference that we would pay on the mortgage would be more money in the bank for our future. It’s completely unfortunate that his negligence has stopped us from at least having the fair opportunity to buy the house.

warby68

Noone is arguing that there might not be a complaint there just not that it is simple or likely to be for thousands.
Complaints need to be factual and 'might have beens' are always harder wins. Long emotive 'not fair' wordings tend to put complaint handers off but a succinct factual sequence of events and also a suggestion of what outcome you would like can get results. 
Hence my advice. However as you have already engaged a solcitor who will presumably 'translate' your grievance into a complaint with substance , I'm not sure what more can be added here or what you want. 
And no, if in your position, I'd blame myself for not checking it out more thoroughly at the time. At the very least, if it was down to an agreement I'd also read and signed, I'd see it as a shared failing. But that's me, not into the compo culture at all. I would encourage you to follow the professional advice and of course, I understand the frustration now you have realised an opportunity might have passed you by. I just don't immediately see it as all on one person and one piece of conversation in a quantifiable way but guess that will be the solicitor's job.

RyanWills94

warby68 said:

No one is arguing that there might not be a complaint there just not that it is simple or likely to be for thousands.
Complaints need to be factual and 'might have beens' are always harder wins. Long emotive 'not fair' wordings tend to put complaint handers off but a succinct factual sequence of events and also a suggestion of what outcome you would like can get results. 
Hence my advice. However as you have already engaged a solcitor who will presumably 'translate' your grievance into a complaint with substance , I'm not sure what more can be added here or what you want. 
And no, if in your position, I'd blame myself for not checking it out more thoroughly at the time. At the very least, if it was down to an agreement I'd also read and signed, I'd see it as a shared failing. But that's me, not into the compo culture at all. I would encourage you to follow the professional advice and of course, I understand the frustration now you have realised an opportunity might have passed you by. I just don't immediately see it as all on one person and one piece of conversation in a quantifiable way but guess that will be the solicitor's job.

I get that, but this is why we paid our broker and went through an advised based application. I’m not looking for thousands, this is more down to principle. I know 100% we would have been accepted if my broker done his job what we paid him for, it’s an opportunity gone by and we are now stuck until we can afford to staircase the rest of the property. I’m angry with myself but if you ask a mortgage broker something, it defeats the object of why you’re paying for them. 

[Deleted User]

You paid him to research this option?
Or you paid for the original purchase?

If the former then it will strengthen your case it is formal advice rather than just information and opinions. 
If the latter then its irrelevant as that was for a separate advice when you bought rhe property. 

The trick with a complaint is to try avoid bringing irrelevant information in to the situation.  You paying for a previous service is irrelevant at this point as you arent complaining about the suitability of the original mortgage 

RyanWills94

Deleted_User said:

You paid him to research this option?
Or you paid for the original purchase?

If the former then it will strengthen your case it is formal advice rather than just information and opinions. 
If the latter then its irrelevant as that was for a separate advice when you bought rhe property. 

The trick with a complaint is to try avoid bringing irrelevant information in to the situation.  You paying for a previous service is irrelevant at this point as you arent complaining about the suitability of the original mortgage 

We’ve paid him for his service, and would of continued to do so for every product switch moving forward, as per his contract his service continues during our product, any questions then his details are there. As per his answer, he specifically advises me to wait till the end of the product  and in his own words “I would advise you to wait” we pay for his service and he should have taken his time to find out what options were available instead of guessing. I guess I just have to be clever with my wording and the steps I take. 

noitsnotme

RyanWills94 said:

Deleted_User said:

You paid him to research this option?
Or you paid for the original purchase?

If the former then it will strengthen your case it is formal advice rather than just information and opinions. 
If the latter then its irrelevant as that was for a separate advice when you bought rhe property. 

The trick with a complaint is to try avoid bringing irrelevant information in to the situation.  You paying for a previous service is irrelevant at this point as you arent complaining about the suitability of the original mortgage 

We’ve paid him for his service, and would of continued to do so for every product switch moving forward, as per his contract his service continues during our product, any questions then his details are there. As per his answer, he specifically advises me to wait till the end of the product  and in his own words “I would advise you to wait” we pay for his service and he should have taken his time to find out what options were available instead of guessing. I guess I just have to be clever with my wording and the steps I take. 

You paid him to arrange the mortgage in April 2018.  Did you pay him for the advice in October 2019 or was this just a quick phone call?