Buying a house in Negative Equity

HouseHunter13

vendor sale, divorce with big NE

HouseHunter13

on_my_oe wrote: »

According to TD Róisín Shortall, buyers wasting their time (and money!) on Negative Equity properties isn't a wide spread problem.

i missed this post...

what a **** attitude, obviously not enough votes in it for her to give a fcuk

.......................

I'm starting to feel really stupid for waiting a year for a house and still no sign of them sorting it out, nobody can even tell me whats going on.

I know somebody who knows the vendor, would it be really inappropriate of me to get in touch with them directly?

TheDriver

I would start to pull out as a year is too long, either you get a solution or walk away which sounds like the inevitable end answer........involving friends makes it personal which would make it harder to just walk
p.s. Divorces are known for difficult sales, anyone I know said couple start arguing and not agreeing to make a point to each other

leinster93

HouseHunter13 wrote: »

i missed this post...

what a **** attitude, obviously not enough votes in it for her to give a fcuk

.......................

I'm starting to feel really stupid for waiting a year for a house and still no sign of them sorting it out, nobody can even tell me whats going on.

I know somebody who knows the vendor, would it be really inappropriate of me to get in touch with them directly?

When you have invested so much time and money in something it is very hard to let go but under the circumstances you'd probably be better just looking for another house.
Why not start by making an appointment to view some other houses with the same estate agent even if you have no interest. It will show you mean business and you're ready to walk...
Some people would say what would you have to lose by going to the vendor direct but obviously the vendor has got financial problems and the last thing they'd want is someone hassling them where a forced sale or the likes is happening that they dislike...

HouseHunter13

thanks for the replies,

unfortunately plan b has become out of my reach since the year i have waited for a similar property in the area i want to live!

the lack of communication is the biggest torment, second guessing everything and any scenario, in a way i don't think i have anything to loose by getting in touch as at least i may know once and for all what exactly is going on. I am really uncomfortable with the idea of getting in touch but I'm desperate at this stage!

think i'll sleep on it over the weekend

riclad

Why do people buy negative equity homes,
are they cheaper.
OR is it there,s a shortage of houses in the area , they want to live in.

You could be in negative equity by 10k,
or 100k.
10 k should not be a problem if the seller is working and can afford to pay the mortgage.

on_my_oe

I've unfortunately viewed 42 properties in Dublin since last August; two were deceased estates, five were developers selling up after renting the properties during the downturn, and the remainder were negative equity. Our budget is Dublin €200,000 max.

If there is an abundance of uncomplicated, reasonable 3 bedroom properties (apartments / duplexes acceptable), please let me know. Our requirements aren't terrible - 3 bedroom, allocated car parking, two bathrooms, outside space (balcony ok), safe enough that I feel comfortable walking from the car to the front door without an armed escort, and gas heating. The pickings at very, very slim.

riclad

Plenty of houses going for 150k plus,
in clonsilla dublin 15.or castleknock.
Most houses there are 3 bed ,
front,back garden.
With driveway for parking .
IN my experience its a safe area.
I like the roselawn area.http://property.trovit.ie/roselawn-dublin-15

Castleknock might be considered a bit more upmarket ,than clonsilla.

ted1

HouseHunter13 wrote: »

i missed this post...

what a **** attitude, obviously not enough votes in it for her to give a fcuk

.......................

I'm starting to feel really stupid for waiting a year for a house and still no sign of them sorting it out, nobody can even tell me whats going on.

I know somebody who knows the vendor, would it be really inappropriate of me to get in touch with them directly?

With raising house prices expect the sake to fall through

iguana

riclad wrote: »

Why do people buy negative equity homes,
are they cheaper.
OR is it there,s a shortage of houses in the area , they want to live in.

It's not like most people set out to buy such a house. If you actually read the thread you'll know that most posters bid first, went sale agreed then later found out the mortgage status. It's why one of the repeated things posters are stating should be mandatory, is automatic disclosure of the mortgage status to all potential buyers, so those who wish to avoid such (attempted) purchases, immediately know to walk away.

HouseHunter13

riclad wrote: »

Why do people buy negative equity homes,
are they cheaper.
OR is it there,s a shortage of houses in the area , they want to live in.

because the NE isn't disclosed, I was 3 months in when the delays where put down to a messy divorce by the EA, my broker advised me they these type purchases do take longer but they get there in the end, 5/6 months EA only discloses the huge NE on the property, broker advised me to walk away, I should have but by then it was 2014 and things had changed in the property market

iguana

The agent has just told me that the vendor's bank have sent written confirmation of accepting our offer and agreement to discharge the remaining mortgage. Hopefully our solicitor will confirm this soon and we can go about arranging a survey.

coll30

iguana wrote: »

The agent has just told me that the vendor's bank have sent written confirmation of accepting our offer and agreement to discharge the remaining mortgage. Hopefully our solicitor will confirm this soon and we can go about arranging a survey.

I was told the same by agent on 11th June but still have not been able to arrange survey ect . The house is still for sale on daft . At this stage I won't believe anything until I have a signed contract of sale.

I hope yours goes through quickly for you now

Wolfie67

We have taken our own house off the market and have totally given up, I believe that the house we wanted to buy (NE) was never ever really for sale and that both the estate agent and seller just lead us along, the seller I feel just went thru the motions, maybe to prove to the bank that they were trying everything to pay them back...the estate agent was just pushing and pushing for us to sell our home and move into rented accommodation as "that way we will find a house"
our offer of the asking price was accepted by the seller/estate agent 1st november 2013....and we just never heard anything from them, we even knocked into the seller and she assured us she was selling, the estate agent only ever rang to applied pressure on us to sell our home (under the asking price and always over the asking price when viewing what she was selling)

Good luck to all and hope you have a happier ending.... we have had enough of "private investors, developers and bidding wars at viewing.

HouseHunter13

Well I've just passed the year mark yesterday since sale agreed, this must be some kind of record...

2013Lara

HouseHunter13 wrote: »

Well I've just passed the year mark yesterday since sale agreed, this must be some kind of record...

Im ahead of you Im afraid, a year last week, haha its laughable really. I think were getting somewhere, apparently the consent letter is on the way. Our papers have been lodged with our bank and funds ready to draw down as soon as my solicitor gets the letter into his hand. This news came through the solicitors so while its a small bit more encouraging, Im taking it with a pinch of salt. The vendor is now apparently going to settle his negative equity issues after the house has been sold. Will keep you all updated. My mortgage expires again on the 5th July.

HouseHunter13

2013Lara wrote: »

Im ahead of you Im afraid, a year last week, haha its laughable really. I think were getting somewhere, apparently the consent letter is on the way. Our papers have been lodged with our bank and funds ready to draw down as soon as my solicitor gets the letter into his hand. This news came through the solicitors so while its a small bit more encouraging, Im taking it with a pinch of salt. The vendor is now apparently going to settle his negative equity issues after the house has been sold. Will keep you all updated. My mortgage expires again on the 5th July.

great news! this gives me a little bit of hope!

2013Lara

Well after 13 long months sale agreed, and 11 months since I posted this thread, we have finally got word that we are set to close within the next few days. The consent officially arrived today, our signed contracts and deposit have been sent, and our solicitor has requested our funds be released. We will be closing as soon as the money is available.

The relief is massive.

gmisk

2013Lara wrote: »

Well after 13 long months sale agreed, and 11 months since I posted this thread, we have finally got word that we are set to close within the next few days. The consent officially arrived today, our signed contracts and deposit have been sent, and our solicitor has requested our funds be released. We will be closing as soon as the money is available.

The relief is massive.

I am delighted for you!
So glad your patience paid off, well deserved, hope you enjoy your new home.

coll30

2013Lara wrote: »

Well after 13 long months sale agreed, and 11 months since I posted this thread, we have finally got word that we are set to close within the next few days. The consent officially arrived today, our signed contracts and deposit have been sent, and our solicitor has requested our funds be released. We will be closing as soon as the money is available.

The relief is massive.

Happy days well deserved after your long wait. . :-)

Dopsche

I can add myself to this thread. And if I see that people are going since 1 year limbo I am getting depressed.

I just was informed today from my solicitor after having everything in place from our site (including signed contracts) and already paid everything (including survey, valuer and Solicitor fees).

We are Sale agreed since March and I employed on the spot the Solicitor and the Surveyor.

What I don't get my head around is. Shouldn't have my solicitor be aware of this much earlier. Shouldn't this have come up during the searches?

Quite frustrated as we have no idea how long the bank will take to come back if they accept here. Especially given the House prices have been exploded in Dublin last couple of months.

coll30

Dopsche wrote: »

I can add myself to this thread. And if I see that people are going since 1 year limbo I am getting depressed.

I just was informed today from my solicitor after having everything in place from our site (including signed contracts) and already paid everything (including survey, valuer and Solicitor fees).

We are Sale agreed since March and I employed on the spot the Solicitor and the Surveyor.

What I don't get my head around is. Shouldn't have my solicitor be aware of this much earlier. Shouldn't this have come up during the searches?

Quite frustrated as we have no idea how long the bank will take to come back if they accept here. Especially given the House prices have been exploded in Dublin last couple of months.

I've also sale agreed since march was told 11 June that everything agreed by bank was told last week contracts have been sent to my solicitor. But to date I have received nothing other than email receipt for my deposit . I've to leave my house by 31st July otherwise I'll lose sale and my ex wants his share so I've no choice .theres nothing I can do to speed things up . Be prepared for a long wait

HouseHunter13

2013Lara wrote: »

Well after 13 long months sale agreed, and 11 months since I posted this thread, we have finally got word that we are set to close within the next few days. The consent officially arrived today, our signed contracts and deposit have been sent, and our solicitor has requested our funds be released. We will be closing as soon as the money is available.

The relief is massive.

I'm genuinely delighted for you, you definitely deserve it after such a gruelling sale!

2013Lara

HouseHunter13 wrote: »

I'm genuinely delighted for you, you definitely deserve it after such a gruelling sale!

Thanks a mill, cannot wait to have it all over with! I will never buy a house again unless it's new and I have cash haha. I never want to hear the word consent or talk about negative equity again. Fingers crossed you won't be too far behind me. Any news??

HouseHunter13

2013Lara wrote: »

Thanks a mill, cannot wait to have it all over with! I will never buy a house again unless it's new and I have cash haha. I never want to hear the word consent or talk about negative equity again. Fingers crossed you won't be too far behind me. Any news??

I'd be the same

I made a nuisance of myself down with the EA last week as their solicitor hasn't a clue what's going saying its no further along since sale agreed in regards to negotiations as far as she knew.

So after badgering the EA enough there is a meeting tomorrow between him, the vendor and the person employed to negotiate with the bank. The EA referred to the sale as being 'dead in the water' and not to expect much from the meeting.

so god only knows what's going on but it doesn't look good for me

Dopsche

That's really crazy. My lease is up so I have to renew or move out. I can't really rent long-term as I will may move to a new house eventually. But when I see that people wait here 12 and more months and may end up with nothing I ask myself if this is all worth that.

I am thinking about pull out completely, but after the prices exploded in Dublin I will not get a similar House for that amount of money.

So I either come up with a few bucks more mortgage, what is may possible as I recently have got a raise, but this results in higher deposits, again Lawyer and Surveyor, Life insurances and House insurances.

Running in circles and don't try to flip.

Very frustrating. Most angry about the Vendor who hasn't disclosed that.

What I don't understand, why do people that? Isn't it more wise to discuss that with the bank before and the bank says. If you been able to secure amount X we will be happy to consent to the purchase?

TheDriver

we went sale agreed 5 weeks ago (I asked lots of times at the time about neg equity and was assured it wasn't the case) and heard nothing for 4 weeks. my solicitor put in the boot and suddenly contracts arrive with conditions for consent from the bank required.
Made me quite annoyed.

After reading on here and also a mate who had similar situation, we decided to walk. I have seen a few neg equity houses in the past but they all had their letter of consent ready. Thanks for your stories, saved me what was inevitably going to be heartache and stress

Mr.McLovin

Dopsche wrote: »

Very frustrating. Most angry about the Vendor who hasn't disclosed that.

What I don't understand, why do people that? Isn't it more wise to discuss that with the bank before and the bank says. If you been able to secure amount X we will be happy to consent to the purchase?

The reason is that you are essentially a bargaining chip in someone's negotiations with a bank on the right down. Once they get the right down they can choose to go back to the market or have the safety net of your offer to proceed. This sort of behaviour is not illegal but I have a feeling the more and more people get burned by these situations, disclosure may become law sometime in the future.

HouseHunter13

TheDriver wrote: »

I have seen a few neg equity houses in the past but they all had their letter of consent ready.

I think I'd need to see that letter before taking anybody's word for it!

TheDriver

Except the EA says everything will be fine etc etc......but thanks to here, we know what lies ahead and its best avoided