Deposit Back on Property

Nicola28

Hi,
Am new to the site so if Iv'e posted wrong am sorry!!

So here i go.....
My partner and I started on the property bubble about 4 years ago we thankfully didn't buy as one thing after another delayed us and we just never found the right house.. Before Christmas around September or earlier we found the house.. We got the mortgage eventually and we headed to meet the builders and the auctioneer to pay deposit We had been promised that the house would be finished in Mid January this was delayed because of the snow we understood and now we are in mid March and still no sign of anything been moved in the house the shell of the house is done but thats always been there..
Where do we stand with just withdrawing our money and starting all over again i know we are probably taking a chance with not getting a mortgage at all but think the builder is taking us for a ride?? Does he even have our money to give back to us? Wont return calls at all.. Auctioneer who sold us the house said its nothing to do with him even though he promised us the moon and the stars when we were signing for the house. We have moved out of our rented accommodation on the 25th of December we are lucky we are living with my mum but its not the ideal situation especially since we found out we have a little one on the way am totally stressed about all this and wish we never started to buy and just kept renting??
Do we need to start talks with out Solicitor and see where we really stand in this!! Am anxious

silja

First, you read your contract- are there any deadlines, penalties for not meeting them? It is quite common for building work to be delayed, and 6 weeks isn't that long in the building trade, but it is inconvenient to you, and the fact that they are not contactable is worrisome... a word with your solicitor isn't a bad idea.

Dymo

If you've signed a contract you won't get your money back, builders were always very careful in putting into contracts that they have at least 12 months to finish a house. Check with your solicitor see what they say.

If you didn't sign any contract its only a holding deposit and is fully refundable.

suzint

I have a similar problem. I put a deposit on a house and signed a contarct last august. The contract stipulated it would be ready in 4 months, but they assured me it would be ready before that in Nov. I have only just got the snag list done now and they still havent completed the work on that. I am tempted to pull out but I am unsure weather I will get my money back. I would hope I could as technically they have no fulfilled their side of the contract by having it completed in time.

ongarboy

Nicola28 wrote: »

Hi,
Am new to the site so if Iv'e posted wrong am sorry!!

So here i go.....
My partner and I started on the property bubble about 4 years ago we thankfully didn't buy as one thing after another delayed us and we just never found the right house.. Before Christmas around September or earlier we found the house.. We got the mortgage eventually and we headed to meet the builders and the auctioneer to pay deposit We had been promised that the house would be finished in Mid January this was delayed because of the snow we understood and now we are in mid March and still no sign of anything been moved in the house the shell of the house is done but thats always been there..
Where do we stand with just withdrawing our money and starting all over again i know we are probably taking a chance with not getting a mortgage at all but think the builder is taking us for a ride?? Does he even have our money to give back to us? Wont return calls at all.. Auctioneer who sold us the house said its nothing to do with him even though he promised us the moon and the stars when we were signing for the house. We have moved out of our rented accommodation on the 25th of December we are lucky we are living with my mum but its not the ideal situation especially since we found out we have a little one on the way am totally stressed about all this and wish we never started to buy and just kept renting??
Do we need to start talks with out Solicitor and see where we really stand in this!! Am anxious

Speak to your solicitor. There may have been small print in the terms and conditions of your particular transaction that could render any advice we give as irrelevant so you need to rely on the solicitor to confirm your entitlements.

However, generally speaking, the holding deposit is fully refundable but the contractual deposit isn't. I'm unclear as to whether the deposit you refer to is your holding deposit (which secures the purchase for you) or the contractual deposit (paid during handover of ownership/mortgage being drawn down). I expect if the house is unfinished/handed over then the contractual deposit has not been paid. You should in theory be legally entitled to the holding deposit but I've read of cases where bankrupt developers are not in a position to do this right now. Discuss your options with the solicitor. I hope it all works out for you and best of luck with the little one on the way!

Bruthal

Dymo wrote: »

If you've signed a contract you won't get your money back, builders were always very careful in putting into contracts that they have at least 12 months to finish a house. Check with your solicitor see what they say.

If you didn't sign any contract its only a holding deposit and is fully refundable.

Yea its all down to whether you signed yet or not. I had deposits in on 2 houses at the same time, got the one im in now, and got the other deposit back. Builders would annoy ye, if they had the house finished, they would be legally threatening you if you were delaying payment in any way.