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    • asbestosguy
    • By asbestosguy 10th Aug 18, 6:42 AM
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    asbestosguy
    Exchanged contracts, then found out house was contaminated with asbestos
    • #1
    • 10th Aug 18, 6:42 AM
    Exchanged contracts, then found out house was contaminated with asbestos 10th Aug 18 at 6:42 AM
    Hi, i have problems with an house i'm buying, i'd viewed the house, all looked ok modern brick buiding with out dated kitchen/bathroom, i was going to refurb and update the fittings while living there, i exchanged contracts, then went to have a look round the outside the next day as it was empty, i got talking to the woman across the road who informed me the house was wood frame and asbestos, the brick was just built in front of the old building to join two extensions buit in the 80'S.

    I contacted the estate agents who contacted the seller, who said the bungalow had been rebuilt on a new footprint around the existing structure and removed, i got survey done that confirmed what the woman had said the existing contaminated buiding was still there, they said walk away too expensive to repair.

    I had a meeting with my solicitor, i told him i didn't want go ahead an complete, he told me i'd loose my deposit, have to pay there legal cost and a bit of interest, as i'd already paid the deposit that was the bulk the remaing would be around 2k, i'd already informed the estate agents of the results of the survey as they phoned me while i was driving to the solicitors office, i expect they passed on the info to the seller.

    I asked the solicitor should we contact them to inform them i won't be going ahead and offer to pay the expenses and settle, he said no let them try to complete on the date and when it doesn't they will try 10 days later, then settle. This was two weeks ago, i'd just about come to terms with loosing my deposit.

    I received a phone call from the solicitors office yesterday, i'm Mr A, i will be handling your file Mr X is on holiday, you should get a survey done if your worried, i told him i'd got one done and i wasn't going through with purchase, he tried talking me into it, i told him there was no way i was going to complete, he told me along with there legal fees they may also try to recover any future difference in the price of sale may be 100 to 150k, i told him if that happens i will go bankrupt as i'm not borrowing money to buy a contaminated house, he then said we should write to them to negotiate and made an appointment for me to go over the details of the letter.

    So whos advice is correct the first solicitor thats on holiday or the solicitor now looking after the case.

    I know one thing i will never go ahead no matter what happens, should i send the sellers solicitor an email to say i'm not going to complete as the house is contaminated with asbestos, short ans sweet, don't know what to do now with change of solicitor who doesn't really know the facts he got the property address wrong and didn't know i'd had a survey done, What should i do i need help.....Thank you for reading my post
    Last edited by asbestosguy; 10-08-2018 at 6:45 AM.
Page 2
    • haras_nosirrah
    • By haras_nosirrah 10th Aug 18, 10:19 AM
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    haras_nosirrah
    The remit from the lenders perspective is that the property provides suitable security for the advance.
    Originally posted by Thrugelmir
    It is possible that the property does provide suitable security for the lender and the op is panicking because there is some asbestos (which a lot of properties have and isn't an issue necessarily) in which case he has no complaint and just not wanting to complete is not a get out clause.

    It is possible the lenders valuer missed something which would have made the property unmortgagable in which case he has a stronger case

    We don't know as we don't actually know if the op has a mortgage offer from a lender as he hasn't told us.

    It could be he has heard the word asbestos and panicked when the property is actually ok and fully mortgagable and he is making a mountain out of a molehill

    We don't know.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • cloo
    • By cloo 10th Aug 18, 10:39 AM
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    cloo
    Yes, I think the thing is to get past the panic and establish what is actually the case.


    Unless he needs a mortgage and the asbestos really does make it unmortgagable, I would say complete and pay whatever it costs to remove the asbestos, as that has to be better than losing the deposit and declaring bankruptcy, surely?
    • SG27
    • By SG27 10th Aug 18, 12:34 PM
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    SG27
    Obviously there is some missing details here. It appears that the op has exchanged on a house wothout getting a survey done. Then after speaking to the neighbour decided to get a survey and found the issues. This cant be a cash purchase as he says all he savings have gone on the legal fees and deposit. So we can assume the mortgage valuation missed it and the OP has a mortgage offer. (No solicitor would allow exchange without it)
    Without knowing the value of the house it would seem that the best option would be to go ahead and complete and fix the proplems after. Just live in the house a few years as the current owners are and save up.

    However... your solictor is now aware of the potential unmortgagablity of the house and therefore has a duty to inform the lender. So the lender would withdraw the offer making completion impossible anyway. Also I would think the solicitor would have a conflict of interest here so im suprised they are still able to act on your behalf.

    There is obviously more to this than we are being told.
    • haras_nosirrah
    • By haras_nosirrah 10th Aug 18, 12:38 PM
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    haras_nosirrah
    If the property is truly unmortgagable and his mortgage offer is withdrawn then he should go back to the surveyor for dropping him in it.

    If the lender is still happy to lend on the property then he has no complaint - he had a valuation for the lender to check it was worth the money he is paying and is mortgagable. If the lender agrees it is then he has no come back as he didn't have a survey for his own purposes so it is a case of buyer beware.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • csgohan4
    • By csgohan4 10th Aug 18, 12:40 PM
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    csgohan4
    wind up surely, you can't exchange without a mortgage offer/ finances, no competent solicitor would advise it,

    Survey's should be done before exchange, it could have been probate, how would the new owner know about the asbestos?? Seller may not have lied, too many assumptions by OP.

    OP should have done their own due diligence, You don't buy a car unless you check it is road worthy do you?
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"
    • davidmcn
    • By davidmcn 10th Aug 18, 12:43 PM
    • 8,781 Posts
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    davidmcn
    If the property is truly unmortgagable and his mortgage offer is withdrawn then he should go back to the surveyor for dropping him in it.
    Originally posted by haras_nosirrah
    Not sure what you mean here - according to the OP, his surveyor has advised him to walk away. If you mean the lender's surveyor, they don't have a duty of care to the OP (even if a valuation ought to have picked up on the asbestos).
    • goodwithsaving
    • By goodwithsaving 10th Aug 18, 12:53 PM
    • 871 Posts
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    goodwithsaving
    The house is not mortgageable the surveyor siad, no one will lend on it so i cannot borrow the money to buy it no matter what the seller does i cannot go ahead, i will have to look into going bankrupt, the money i had went for the deposit, my tenancy is up at the end of this month so will have to move no matter what, things don't look good.
    Originally posted by asbestosguy

    I'm confused. You've supposedly exchanged contracts on a house which you cannot get the money to purchase.
    Your solicitor exchanged without you having a mortgage offer?
    Every time you borrow money, you’re robbing your future self. –Nathan W. Morris
    • haras_nosirrah
    • By haras_nosirrah 10th Aug 18, 12:54 PM
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    haras_nosirrah
    And yet people will happily spend 200k on a house but won't spend £200 extra for a homebuyer survey making sure the property is in good condition. I see it all the time.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • haras_nosirrah
    • By haras_nosirrah 10th Aug 18, 12:56 PM
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    haras_nosirrah
    Not sure what you mean here - according to the OP, his surveyor has advised him to walk away. If you mean the lender's surveyor, they don't have a duty of care to the OP (even if a valuation ought to have picked up on the asbestos).
    Originally posted by davidmcn
    I mean the lenders surveyor. If they have told the lender the property is fine to lend against and it isn't because it does not meet the lenders criteria and they subsequently pull the offer I think the surveyor may be held liable as they told the lender it was adequate security when it wasn't.

    The survey held afterwards is completely different and is between the surveyor and the op and really has no bearing on things.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • Thrugelmir
    • By Thrugelmir 10th Aug 18, 12:58 PM
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    Thrugelmir
    wind up surely, you can't exchange without a mortgage offer/ finances, no competent solicitor would advise it,
    Originally posted by csgohan4
    Auction purchase. When the hammer falls.........
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • davidmcn
    • By davidmcn 10th Aug 18, 1:00 PM
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    davidmcn
    I mean the lenders surveyor. If they have told the lender the property is fine to lend against and it isn't because it does not meet the lenders criteria and they subsequently pull the offer I think the surveyor may be held liable as they told the lender it was adequate security when it wasn't.
    Originally posted by haras_nosirrah
    But the lender's surveyor only has a duty of care to the lender. And if the lender decides not to lend then they won't have suffered a loss.
    • eddddy
    • By eddddy 10th Aug 18, 2:46 PM
    • 7,071 Posts
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    eddddy
    The OP said....

    The house is not mortgageable the surveyor siad, no one will lend on it so i cannot borrow the money to buy it no matter what the seller does i cannot go ahead, i will have to look into going bankrupt, the money i had went for the deposit, my tenancy is up at the end of this month so will have to move no matter what, things don't look good.
    Originally posted by asbestosguy
    So that suggests that the OP hasn't applied for a mortgage.

    The OP said....

    I contacted the estate agents who contacted the seller,...
    Originally posted by asbestosguy
    So that suggests it's not an auction purchase (Auctioneers wouldn't get involved in this type of stuff, after a lot is sold).


    So... the thread is either a wind-up, or the OP is confused, or the OP is omitting some big aspect of what's happened.
    • Thrugelmir
    • By Thrugelmir 10th Aug 18, 2:59 PM
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    Thrugelmir
    So that suggests it's not an auction purchase (Auctioneers wouldn't get involved in this type of stuff, after a lot is sold).

    Originally posted by eddddy
    Our property local auctioneers is also a large EA chain. Would have thought that many are nationally.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
    • eddddy
    • By eddddy 10th Aug 18, 3:11 PM
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    eddddy
    Our property local auctioneers is also a large EA chain. Would have thought that many are nationally.
    Originally posted by Thrugelmir
    You missed the point. No auctioneer (whether they are an EA or not) would get involved in this kind of stuff after the property is sold at an auction.

    They have their jobs to get on with. They won't want to unnecessarily get involved with people suffering from buyer's remorse.
    • jennhg88
    • By jennhg88 10th Aug 18, 3:38 PM
    • 207 Posts
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    jennhg88
    Got the popcorn ready waiting for the OP to come back and update us
    • SG27
    • By SG27 10th Aug 18, 3:38 PM
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    SG27
    The OP said....



    So that suggests that the OP hasn't applied for a mortgage.

    .
    Originally posted by eddddy
    I read it as the surveyor had advised him that it was unmortgagable due to the new findings.

    As he says the deposit and solicitors fees took up all his savings it cant be a cash purchase and his solicitor would not have allowed exchange to take place without a mortgage offer.

    Hopefully the op will be back to fill in the gaps so people can advise accordingly.
    • happyandcontented
    • By happyandcontented 10th Aug 18, 3:53 PM
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    happyandcontented
    The whole timeline seems skewed. Op please give us the information about what happened and when.
    • westernpromise
    • By westernpromise 10th Aug 18, 4:52 PM
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    westernpromise
    I'm baffled too. If no valuation survey had taken place there would have been no mortgage offer. With no mortgage offer there'd have been no exchange.

    Unless there was a second survey undertaken after exchange that has now revealed all this.
    Buying a house, if you believe the market has a way to fall, or if you are paying sill asking prices ( like some sheeple ) or if you are buying in London, is now a massive financial gamble!!!!! - June 8, 2012 by TheCountOfNowhere
    • haras_nosirrah
    • By haras_nosirrah 10th Aug 18, 5:44 PM
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    haras_nosirrah
    I am assuming he has got mortgage approved based on mortgage valuation. After exchange he spoke to neighbour who told him about the previous property so then got a proper survey done and now does not want to complete based on findings
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • diggingdude
    • By diggingdude 10th Aug 18, 6:02 PM
    • 418 Posts
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    diggingdude
    This is clearly a wind up, entertaining as it is
    House Deposit - Target £20000 April 2019
    Current Savings - £10225 13121.22 £14621.22 £16021 £17296£15171
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