Considering pulling out of purchase

unstoppable6t2

Hi,

I'm 3 months into the process of purchasing a flat and it looks like I may have to pull out of the purchase. This is because various things have unfolded during the conveyancing process which the sellers deliberately kept away from us, it seems like they haven't been honest and wanted to brush things under the carpet and get the property off their hands.

I'm just put off from all the issues and potential issues after completion even if the purchase goes through (for example there is an ongoing boundary dispute with a neighbour). It's been quite exhausting so far.

I am seriously considering pulling out and going for a different property I have seen. Where do I stand with my rights? And if I do pull out then how easy is it for me to start the process for the other property? Will I have to go for new mortgage application and a new solicitor?

Ideally I would like put in an offer for the newer property before pulling out. Is this okay? If my offer gets accepted how quickly can I wrap up and end the current process Is it simply a case of telling my lender and the solicitor that I want to switch the property?

Many thanks.

davilown

What are the issues?

TBG01

unstoppable6t2 said:

I am seriously considering pulling out and going for a different property I have seen. Where do I stand with my rights?

What rights? You wont be entitled to compensation if that's what you're hoping for.

And if I do pull out then how easy is it for me to start the process for the other property? Will I have to go for new mortgage application and a new solicitor?

Your mortgage offer is for this property so the a fresh application, valuation etc needs doing. There's no need to change solicitors.

If my offer gets accepted how quickly can I wrap up and end the current process Is it simply a case of telling my lender and the solicitor that I want to switch the property?

Pretty quick, and yes you'd tell your Solicitor you're changing properties, but you're back to the beginning of the process.

GixerKate

Nothing signed so anything you have spent such as surveys, solicitor fees etc cannot be refunded plus the mortgage application would have to start again for another property so that means your credit rating could be affected.

On the other hand though, nothing signed so you can just walk away and start again.

MovingForwards

You have the right to pull out the purchase, provided contracts haven't been exchanged. You will be liable for you own solicitors costs for work incurred to date.

Why would you keep this property in the background if you don't want it, it's not suddenly going to have a the niggles worked out, just pull out and move on either with the new property or a different one.

Depending on your lender, some are just a property switch with survey, others are new application.

There's no need to swap solicitors.

badger09

Please do the decent thing, even if your vendor hasn't, and ask your solicitor to inform the vendor's solicitor asap.
Or inform the EA yourself.

steampowered

You shouldn't be fixated on the contract. The contract does not hold anything up.

The things that hold house sales up are searches, enquiries and the vendor not being ready to move.

You have taken 5 weeks to even get your survey done so you are not really in a position to complain.

Curiousbuyer123

I’m in a similar situation to you - also looking for answers. Serious damp problems on the survey, rotten doors and windows etc, differing heights in ceilings, strange split with parts belonging to the leaseholder/freeholder, the survey was super bad - initially we thought all the work would be cosmetic but this has made us realise we need about 20k to get things to an acceptable standard so not entirely sure what to do.

Our mortgage broker advised today that if we do pull out they can just extend your AIP and then start the application when we find a new property, yet to make a proper decision, good luck with things! 

yksi

Options:

1. Lowball the vendor with a new revised offer because you're now in the know about all the issues.
2. Walk away (quite simple, all you need to do is tell your solicitor you're pulling out and to please do their thing).
3. Throw down some ultimatums to the seller on what you will need, when you will need it, or else the deal is off.
4. Offer on a new property and either keep both strung along until you decide, or immediately dump the first.

Yes you "can" offer on a second property before pulling out of the first. But from the point you instruct your own (same) solicitor to also start on the second one, you're paying fees on both. You could in theory do this, keep moving forward on both and paying fees on both until the point you decide which one to exchange on. Morally it's dodgy as you're allowing your non-chosen seller's solicitor to keep charging the seller until you pull the plug. So K-I-S-S, if you found a better property just pull out of the first one the moment your other offer is accepted.

Crashy_Time

Just lower the offer.

trance_abbey

Are you my twin?

I haven't got to the point yet where I'm going to throw in the towel (and I don't have a backup property to offer on) but I am getting pretty fed up that all of a sudden there's this previously undeclared boundary issue that the vendor knew full well had been dragging on for months yet decided not to inform me about until recently.  They're actually expecting me to exchange while the boundary fence is in the wrong spot... no chance...