Top of chain pulling out after exchange..

bekil91

So we’ve had a nightmare trying to exchange contracts in a 4 person chain:

our buyers
us
our sellers
top of chain

and we had exchanged and pushed back completion to end of July as they needed the notice with their job (already pushed back over a month and on 2 occasions for them) and we finally exchanged a week or so ago but have had a call this morning saying they’re asking to rescind the contracts due to a ‘dramatic change in circumstances’.

We’ve obviously said we don’t agree - this has already been going on for nearly 5 months already and our house we’ve bought is our dream home and I’m so scared now we’re going to lose it.

Just had a little cry after getting the call, please can I hear some experiences or thoughts on this - so so so praying we don’t lose this, we’ve got all our boxes being delivered for packing up the house in the next few hours just to add salt to the wound if so..!

loubel

So the top of the chain don't want to sell to your seller anymore? Does your seller not want to sell to you anymore though? As they could continue with the sale to you and move into rented until they find another property to buy.

It would seem very unlikely that the whole chain is going to agree to cancel the transaction unless top of chain is offering much funds to cover everyone's losses. It makes much more sense for everyone else to continue as they were and top of chain and your seller can come to their own arrangements.

canaldumidi

Unless the other 3 agree to rescind, the top of the chain can either

* Complete and manage their '‘dramatic change in circumstances’, or

* fail to Complete and be in breach of contract.

Assuming the latter, your seller will sue the top of chain for all their consequential losses. You will sue your sellers (who will add that cost to their claim above), and your buyers will sue you (and you'llpass that cost up too).

Will you lose the house? Perhaps but

* most likely top of chain will buckle once they realise how expensive failure to Complete will be, or

* your seller will find a new property and then sell to you.

Either way there is likely to be a delay.....

TripleH

I'd talk to your solicitor ASAP and advise of situation.

Top of chain aren't able to dictate terms if you've exchanged, in fact they have to come up with a solution the rest of you are all happy with.

Don't feel pushed into accepting an outcome to suit the party at fault here.

movilogo

If you have actually exchanged, then it is all between you and your seller. It is now irrelevant what others in the chain doing. 
Your vendor and you now must complete. 

DE_612183

movilogo said:

If you have actually exchanged, then it is all between you and your seller. It is now irrelevant what others in the chain doing. 
Your vendor and you now must complete. 

And you and your buyer must complete

bekil91

Thanks everyone - it sounds like it’s very rare for it to happen and you’re right, I would still look at completing on my sale and purchase which is the main thing and then it’s down to them to sort what happens!

Just so pleased we did exchange last week as this would be a very different situation we’d find ourselves in!!

Boxes have now arrived so I’ll continue to start packing then! The joys of moving eh?!?

lookstraightahead

Agreed the rest of you must go ahead. Shorter chain for you 😇

Schwarzwald

Dont fully follow who asked you to cancel the contract: your seller or your buyer?

also, what does “dramatic change of circumstances” even mean? If they didnt even bother providing more background, sounds more like “dramatic regret” than anything else.

just push ahead and enjoy your new house, you exchanged, sounds as if you are on the right side here.

newsgroupmonkey_

As an aside, if the seller refused to complete, I know they're liable for any costs.

If the completion is frustrated and never actually happens, could you also claim solicitors costs against them?

bekil91

Luckily it appears that they’re not perusing, supposedly after finding out how much it would cost them to withdraw now that they’d be in breach of contract… I’d had wind that the reason was because of a break up…  🙄 

Spent the day in between work getting things into boxes, the long 5 week wait begins, praying everything else goes smoothly now!