Restrictions on nationwide repossessed house and mortgage with Natwest

silvercar

I’m guessing NatWest see it as a first charge on the property. Someone needs to get them to understand a bit better 

ACG

Do you know the seller in some way? 
What is nationwides reason for doing this? Its not an onerous restriction, but why would they insist on it?

I have a little less experience than Kingstreet, but I have not come across this either (thats 50 years combined). 

MikeDC

london21 said:

Surely this has happened before and the repossession has nothing to do with you..

Your solicitor should be able to advice you.

Hopefully able to proceed with exchange. 

We have tried loads, the restriction doesn’t actually stop me selling it. It is just I have to inform nationwide if I was to sell it. 

I have now raised a formal complaint with NatWest regarding it even offering to pay the 4 months mortgage in advance.

MikeDC

kingstreet said:

In my 39 years in this business I've never heard of this before.

My solicitor had not heard of it either. 

I can only think it is nationwide trying to force me to take out a mortgage with them knowing other lenders would not like the restriction 

subjecttocontract

Ive bought lots of properties over the last 40 years, some repossessions but never had this restriction. I guess there is always the option of taking a bridging loan for 4-6 months to allow you to pay cash. After 4 months when the restriction has lapsed you can raise a mortgage to pay off the bridging loan.

MikeDC

ACG said:

Do you know the seller in some way? 
What is nationwides reason for doing this? Its not an onerous restriction, but why would they insist on it?

I have a little less experience than Kingstreet, but I have not come across this either (thats 50 years combined). 

Nationwide is the seller, it’s a repossessed house. I do not know the previous owners. 

I took advice from the FCA, they advised me 2 do 2 things. Put in an official complaint to NatWest regarding it and to take out a mortgage with nationwide. 

Since I have now put in an official complaint about NatWest and my solicitor has also gone back again.
natwest have now referred it to the underwriters to decide.
if nationwide approves my mortgage application with that restriction then the FCA will look into it as it looks like they are trying to force me to use their mortgage services.

MikeDC

subjecttocontract said:

Ive bought lots of properties over the last 40 years, some repossessions but never had this restriction. I guess there is always the option of taking a bridging loan for 4-6 months to allow you to pay cash. After 4 months when the restriction has lapsed you can raise a mortgage to pay off the bridging loan.

I have also applied for a bridging loan too now to do exactly this in case both NatWest still refuse a mortgage with the restriction and if nationwide refuse the mortgage on their own terms

jes56

MikeDC said:

subjecttocontract said:

Ive bought lots of properties over the last 40 years, some repossessions but never had this restriction. I guess there is always the option of taking a bridging loan for 4-6 months to allow you to pay cash. After 4 months when the restriction has lapsed you can raise a mortgage to pay off the bridging loan.

I have also applied for a bridging loan too now to do exactly this in case both NatWest still refuse a mortgage with the restriction and if nationwide refuse the mortgage on their own terms

Hi MikeDC , can I ask what the outcome of this was please. did they remove the restriction for you to proceed? we are going through the exact same issue at the moment, literally at exchange stage and the restriction has put a halt on things. we went down the bridging loan route and even that was Precise are saying they will not proceed with the restriction in place. we also have no intention to sell within the restriction period. 

Hoenir

MikeDC said:

ACG said:

Do you know the seller in some way? 
What is nationwides reason for doing this? Its not an onerous restriction, but why would they insist on it?

I have a little less experience than Kingstreet, but I have not come across this either (thats 50 years combined). 

Nationwide is the seller, it’s a repossessed house. I do not know the previous owners. 

Are you connected to the Estate Agents marketing the property?