Buyer hospitalised after exchange

Flugelhorn

chainhell said:

Nothing from our buyers their just waiting for news like the rest of us.  I think I will start looking into alternative financing for worst case scenario 

good to look at all the options, though hopefully will get some news tomorrow. Guess it is your buyers who are likely to have most info 

AskAsk

chainhell said:

Nothing from our buyers their just waiting for news like the rest of us.  I think I will start looking into alternative financing for worst case scenario 

when i sold my house last year, the buyers got a bridging loan to buy my house using their house as collaterol so i am not sure how easy it is to get a bridging loan without collateral as your house can no longer be used as collateral because you have already promised to sell it to the buyer below, but yes, look into that as an option in case the sick person can't complete.

chainhell

Thanks for all comments so far, I’m now applying for alternative funding.  This will be costly minimum £10k plus additional legal fees.  I wondered if I can pass those costs down to my buyer.  As I’ll effectively have two mortgages, additional set up and ERC fees due to the failed completion. 

Anyway first priority is to appease my vendor, then look into recovery of costs 

m0bov

Op have you issued notice to complete?

chainhell

m0bov said:

Op have you issued notice to complete?

No but I have been advised that a vendor above is serving notice on Friday so I assume that will trigger my solicitor serving notice to my buyer and so on down the chain 

GDB2222

chainhell said:

Nothing from our buyers their just waiting for news like the rest of us.  I think I will start looking into alternative financing for worst case scenario 

Very wise. You need to plan for the worst case outcome, whilst hoping for a better one. 

I don't want to appear critical, but I'm astonished how laid-back you have been. I think that, in your position, I'd have spent sleepless nights looking at every possibility.

GDB2222

AskAsk said:

chainhell said:

Nothing from our buyers their just waiting for news like the rest of us.  I think I will start looking into alternative financing for worst case scenario 

when i sold my house last year, the buyers got a bridging loan to buy my house using their house as collaterol so i am not sure how easy it is to get a bridging loan without collateral as your house can no longer be used as collateral because you have already promised to sell it to the buyer below, but yes, look into that as an option in case the sick person can't complete.

That's not right. As soon as the OP receives a completion notice from his seller, he'll need to serve one on his buyer. Then the buyer either completes (in which case there's no need for a bridging loan) or he doesn't complete (and the OP is free to use his house as collateral). 

GDB2222

chainhell said:

Thanks for all comments so far, I’m now applying for alternative funding.  This will be costly minimum £10k plus additional legal fees.  I wondered if I can pass those costs down to my buyer.  As I’ll effectively have two mortgages, additional set up and ERC fees due to the failed completion. 

Anyway first priority is to appease my vendor, then look into recovery of costs 

Have you read the Standard Conditions yet? 

AskAsk

GDB2222 said:

AskAsk said:

chainhell said:

Nothing from our buyers their just waiting for news like the rest of us.  I think I will start looking into alternative financing for worst case scenario 

when i sold my house last year, the buyers got a bridging loan to buy my house using their house as collaterol so i am not sure how easy it is to get a bridging loan without collateral as your house can no longer be used as collateral because you have already promised to sell it to the buyer below, but yes, look into that as an option in case the sick person can't complete.

That's not right. As soon as the OP receives a completion notice from his seller, he'll need to serve one on his buyer. Then the buyer either completes (in which case there's no need for a bridging loan) or he doesn't complete (and the OP is free to use his house as collateral). 

technically speaking yes, but i don't know if the timing is going to be exactly what the bridging loan company will consider to be adequate for them.

chainhell

GDB2222 said:

chainhell said:

Thanks for all comments so far, I’m now applying for alternative funding.  This will be costly minimum £10k plus additional legal fees.  I wondered if I can pass those costs down to my buyer.  As I’ll effectively have two mortgages, additional set up and ERC fees due to the failed completion. 

Anyway first priority is to appease my vendor, then look into recovery of costs 

Have you read the Standard Conditions yet? 

Yes it refers to a contract rate which I believe is 8.5% of the balance of funds.  This is eye watering sums. It’s about £3k per month in penalties 

plus rescind contract, keep deposit claim damages.

😱