House buying is the worst

[Raining_again]

ive been here for over 3 months and living room painting still not finished.... lol

[EEVILMURRAY]

ive been here for over 3 months and living room painting still not finished.... lol

 

I've not replaced/painted over the wallpaper that was affected by the burst water pipe the day of the new carpets being fitted.

[Raining_again]

So. Many. Jobs.

 

Ive got

 

-get outdoor drains flushed

-repair/replace roof on shed/boiler room, replace lock & door hinges of same

-finish living room painting and put up the cat rope ladder

-clean out junk from spare room

-get some decent bathroom storage

-possibly replace sink and tap in bathroom (sink cracked and tap faulty)

-go through all the crap i have in the kitchen and organise storage better

-complete garden overhaul

-bedroom needs painted/papered and storage

-rip open fireplace, get someone to check chimney, install fireplace

 

only scratching the surface

 

 

/sigh

[Eenuh]

We'll have all that and more to look forward to, hooray. :P

 

I've actually been doing some painting in our rental flat today, as I don't want it to look like a dump when we move out (and hopefully get our deposit back)!

 

Things might finally be moving forward soon with our house purchase. The vendors contacted us to say that they've had an offer accepted on a house, one without a chain. So yay! Now we have to wait for our solicitor to return on the 19th, so hopefully things will get going again then!

 

 

Question for people who have (used) a Help To Buy ISA: how does it work exactly? It's been in the news recently that people are having issues with the scheme because you can't use the bonus for your deposit. I assume the money you've actually saved up and put in your account will go towards the deposit at exchange? It says that the bonus can't be used for the deposit, but then what does it go towards? :S

[Raining_again]

that as well. bloody hell i had gathered so much crap in just under 2 years..... !!! Took forever to sort everything out and i moved in that massive heatwave in june. Death....!

[gmac]

We'll have all that and more to look forward to, hooray. :P

 

I've actually been doing some painting in our rental flat today, as I don't want it to look like a dump when we move out (and hopefully get our deposit back)!

 

Things might finally be moving forward soon with our house purchase. The vendors contacted us to say that they've had an offer accepted on a house, one without a chain. So yay! Now we have to wait for our solicitor to return on the 19th, so hopefully things will get going again then!

 

 

Question for people who have (used) a Help To Buy ISA: how does it work exactly? It's been in the news recently that people are having issues with the scheme because you can't use the bonus for your deposit. I assume the money you've actually saved up and put in your account will go towards the deposit at exchange? It says that the bonus can't be used for the deposit, but then what does it go towards? :S

 

Well the government website explaining it is here

 

How I'm reading that is the bonus can only be used for the deposit on the house. But you wouldn't be able to get it for the portion of bonus you may be paying on exchange of contracts, only when completion is actually taking place.

[Raining_again]

You don't get the bonus until after the exchange. Most people use it towards solicitors fees.

 

The money you have saved is your deposit

[Eenuh]

You don't get the bonus until after the exchange. Most people use it towards solicitors fees.

 

The money you have saved is your deposit

 

See that's what I thought, that I could use it for the solicitor or stamp duty or something, but the website says you can't.

 

The bonus cannot be used for the deposit due at the exchange of contracts, to pay for solicitor’s, estate agent’s fees or any other indirect costs associated with buying a home.

 

I find it all quite confusing... :/

[Eddage]

I thought the whole point was so that you got a bigger deposit?!

 

Seems pointless if that's not the case! :/

[Raining_again]

If its the same as mine (the government grant thing - and i had some money from bank) the money came out a good month after the first mortgage payment, by which time all of that was sorted. Believe me you will need it, be it to recover the finances or pay for all the shit you realise needs done to the place lol

[Eenuh]

If its the same as mine (the government grant thing - and i had some money from bank) the money came out a good month after the first mortgage payment, by which time all of that was sorted. Believe me you will need it, be it to recover the finances or pay for all the shit you realise needs done to the place lol

 

The bonus gets paid into the solicitor's account though, so I can't use any of it for repairs/furniture etc. The money can only be used towards the purchase price of the property (according to the website, if I understand it correctly). I think.

 

I've tried reading up on it on different sites, but it hasn't made it any more clear... might have to check with the solicitor to see if they know how it works! Really hope they do!

[Mr_Odwin]

The website you linked to @Eenuh reads like it is part of your deposit, but not any part of the deposit that happens at exchange. TBH I don't really remember paying a deposit at exchange of contracts. Where's @Shorty? He did this recently, didn't he?

[Shorty]

My help to buy bonus was deducted off my solicitors fees.

 

I don't think you can use it as part of your deposit since that determines the terms and rate of your mortgage and that has to be a more concrete source of funds.

 

Definitely check with the conveyancer as it is them that apply on your behalf and they have to have it all sorted in good time before completion.

 

This site is the one they use to apply and has the most straightforward info IMO

 

https://www.helptobuyisaadmin.org.uk/conveyancers/the-scheme

Edited September 17, 2016 by Shorty

[Eddage]

It is now my understanding that the bonus comes off the lump sum that you have to pay your mortgage towards.

 

So if you buy a house for £200,000 and pay a £20,000 deposit then the bonus money (let's say it was £5,000) would come off the remaining £180,000 that you need to pay back. So you would only owe £175,000.

 

Does that make sense?

[EEVILMURRAY]

I thought the help to buy scheme was for those who couldn't afford the "normal" 10% deposit on a house, allowing them to pay 5% with the scheme covering the other 5?

[gmac]

That's a separate help to buy scheme, this is the ISA that means the government will give you 25% on top of the amount you have saved in the account towards your house purchase. (max £200 per month allowed to be put in, £1200 allowed in the first month)

 

Lenders will accept the bonus towards the deposit as it is guaranteed by the government. (I know since I work for one and we do)

[Ashley]

I thought the help to buy scheme was for those who couldn't afford the "normal" 10% deposit on a house, allowing them to pay 5% with the scheme covering the other 5?

 

That's a separate help to buy scheme, this is the ISA that means the government will give you 25% on top of the amount you have saved in the account towards your house purchase. (max £200 per month allowed to be put in, £1200 allowed in the first month)

 

Lenders will accept the bonus towards the deposit as it is guaranteed by the government. (I know since I work for one and we do)

 

Although evidently a lot of people thought that the new ISA did just that...

[Dog-amoto]

Put my house on the market on Monday. Already had an offer for asking price, which is nice. So hopefully, that will all go through without too many hiccups. Seen two houses on the same street that we really like, one for £260k and one for £250k. Both are exactly the same layout upstairs, but the £260k one has a conservatory and a better kitchen layout. Thing is, £250k is the maximum I want to spend so gonna see just how flexible both sellers are.

[Eenuh]

This house stuff is such a pain! D:

 

We have been told by the solicitor that there is a Restrictive Covenant on the property we're trying to buy, which basically says that we are not allowed to build/extend anything on the land. Despite the vendors saying we could extend the house when we went to view it (as the neighbours on either side have extended theirs).

 

We are not sure what to do now. The solicitor says we can either contact the company that holds the covenant (she thinks it might be Persimmon Homes, who've taken over Comben Land Holdings which was the old owner mentioned in the covenant contract) and ask their permission.

 

Or she says that if we did what the neighbours probably did (i.e. build without permission), we might be required to take out a "breach of restrictive covenant indemnity policy" when we try to sell the house again.

 

Now I've tried looking into all this, and it says that most people don't know they have a restrictive covenant and just build, then take out the indemnity policy when they sell and are made aware of it. It says that you will be unlikely to take out this policy if you've ever tried contacting the covenant holder for permission and they denied your request...

 

So would we just be better off ignoring the restrictive covenant and just build the extension and take out the policy if we ever sell? The neighbours haven't had their extensions taken down, so it seems unlikely that we would be asked to...

 

Or do we ask permission but then run the risk they say no and then we can't just build anyway and take out the policy?

 

 

This is so confusing and quite infuriating!

@Blade, do you know more about this stuff?

[Blade]

This house stuff is such a pain! D:

 

We have been told by the solicitor that there is a Restrictive Covenant on the property we're trying to buy, which basically says that we are not allowed to build/extend anything on the land. Despite the vendors saying we could extend the house when we went to view it (as the neighbours on either side have extended theirs).

 

We are not sure what to do now. The solicitor says we can either contact the company that holds the covenant (she thinks it might be Persimmon Homes, who've taken over Comben Land Holdings which was the old owner mentioned in the covenant contract) and ask their permission.

 

Or she says that if we did what the neighbours probably did (i.e. build without permission), we might be required to take out a "breach of restrictive covenant indemnity policy" when we try to sell the house again.

 

Now I've tried looking into all this, and it says that most people don't know they have a restrictive covenant and just build, then take out the indemnity policy when they sell and are made aware of it. It says that you will be unlikely to take out this policy if you've ever tried contacting the covenant holder for permission and they denied your request...

 

So would we just be better off ignoring the restrictive covenant and just build the extension and take out the policy if we ever sell? The neighbours haven't had their extensions taken down, so it seems unlikely that we would be asked to...

 

Or do we ask permission but then run the risk they say no and then we can't just build anyway and take out the policy?

 

 

This is so confusing and quite infuriating!

@Blade, do you know more about this stuff?

 

Property disputes is the area I specialise in.

 

Your conveyancing solicitor has advised you correctly. As advised, your options are:

 

1. Ask for the restrictive covenant to be revoked. If permission is not granted then a court application can be made. However, this is long winded and costly.

 

OR

 

2. Breach the restrictive covenant by building on it, and after 12 months take out the insurance policy (its a one off payment and releatively cheap) to cover you in case action is brought against you for breach of covenant. You will definitely need to take out the insurance before you sell it on.

 

In respect of standard residential property, action for breach of covenant is quite rare.

 

It may be worth checking if your neighbours also have restrictive covenants. It is likely they do. Ask your solicitor to obtain Official Copy Entries from HM Land Registry (they cost £3 a check). If your neighbours have built in breach of their covenants and no action has been taken then you may be able to assess the risk yourself.

 

Happy to discuss further. PM me if you want.

[Eenuh]

Property disputes is the area I specialise in.

 

Your conveyancing solicitor has advised you correctly. As advised, your options are:

 

1. Ask for the restrictive covenant to be revoked. If permission is not granted then a court application can be made. However, this is long winded and costly.

 

OR

 

2. Breach the restrictive covenant by building on it, and after 12 months take out the insurance policy (its a one off payment and releatively cheap) to cover you in case action is brought against you for breach of covenant. You will definitely need to take out the insurance before you sell it on.

 

In respect of standard residential property, action for breach of covenant is quite rare.

 

It may be worth checking if your neighbours also have restrictive covenants. It is likely they do. Ask your solicitor to obtain Official Copy Entries from HM Land Registry (they cost £3 a check). If your neighbours have built in breach of their covenants and no action has been taken then you may be able to assess the risk yourself.

 

Happy to discuss further. PM me if you want.

 

Thanks for your reply!

 

I'm pretty sure the neighbours would have the same restrictive covenant, as the houses were all built at the same time/by the same company. They have had their structures up for a while it seems, so should be fine.

 

With the indemnity policy, should we only take it out right before we are selling? Or take it out straight away after 12 months, even if we're not selling?

[Blade]

Thanks for your reply!

 

I'm pretty sure the neighbours would have the same restrictive covenant, as the houses were all built at the same time/by the same company. They have had their structures up for a while it seems, so should be fine.

 

With the indemnity policy, should we only take it out right before we are selling? Or take it out straight away after 12 months, even if we're not selling?

 

As a lawyer i'd advise you to take it out asap (just to cover your arses). I hate to have the risk.

 

As a layperson i'd advise just take it out when you need to i.e before you sell it. As the likelihood of action being brought against you is pretty low. However, as the policies are pretty cheap and for peace of mind you may decide to just take it out

[Eenuh]

Thanks! Feeling a bit more positive about this now! We were thinking we might have to drop out of the purchase if it prevented us from extending!

 

These things are stupid though, the original company doesn't even seem to exist anymore. And why should they have a say in what people do on the land 30 years afterwards? Pffff. Stupid stuff!

[Rummy]

Thanks! Feeling a bit more positive about this now! We were thinking we might have to drop out of the purchase if it prevented us from extending!

 

These things are stupid though, the original company doesn't even seem to exist anymore. And why should they have a say in what people do on the land 30 years afterwards? Pffff. Stupid stuff!

 

Welcome to the joys of buying/selling and property law

[Agent Gibbs]

Fuck me some people are deluded cunts!

 

My house purchase has fallen through! and it was a catalogue of errors from the bloody start and i should have walked away when i was told that the seller/vendor was one of the estate agents who worked for them (and may have valued the home herself as was slipped in one conversation).

• We offered the asking price for a house (£167,995), a nice semi, with a nice garden backing onto woodland that had been rewired, new roof, new windows, brand new kitchen, bathroom and decorated through out - basically looked like a show home! Drive way was a little narrow
  
• The offer was accepted but then some gazumping occurred apparently another first time buyer had also offered the same and they asked us both to up our offers, noting they needed a quick sale to allow them to buy their new home
  
• We offered £169,000, knowing that the only other property on that street was up for £174k.
  
• Despite the other party offering more, they went with us as 'we were a better fit for the area' - i assumed at the time this was either a racist thing or bullshit, not good eitherway but i didn't care we had a house
  
• The surveyor was a little slow to act and they keep asking for dates
  
• The surveyor came and did a very in depth survey which highlighted a few problems; -
  • the Boiler was 8 years old and he had no sight of Service history, although it was noted this was at the solicitors.
    
  • the Chimney had no cowling
    
  • new PVC windows had been fitted and there was no sign of lintels being installed
    
  • the conservator/utility room to the rear was not correctly tied into the main house superstructure, with a wooden fram construction showing visible signs of fatigue and rot, and the recomendation was it be rebuilt
    
  • As such they valued the house at £162,500, considerably less than we'd agreed
    

  [*]The Lenders/under writers then offered only 90% of the £162k, leaving approx a £6k shortfall! we couldn't cover that but could offer some of the difference and considered offering a lower amount, however,

  [*]We were obviously alarmed at this, however we had seen the boiler service history and could discount that, and thought potentially the surveyor was too harsh, as two other properties were now on sale in a vastly worse condition for £159k which visibly needed more than £10k work.

   

  [*]The venders also thought we should ask the reasoning for the devaluation and enquire what was going on as quickly as possible

   

  It was at this stage it went fucking mental

  [*]The next day (FRIDAY) they called us to tell us they were putting the house back on the market whilst we contested the valuation - at £167,995 no less.

  [*]I was less than pleased about this and complained they'd barely given us any time and had completely avoided any discussion on the price.It was at this point the Estate Agent (he colleague handling the sale) let slip that they already had bought their house after their family had bought it for them, so they could keep the house on the market indefinitely

  [*]On Saturday we received an email, saying they still wanted us to buy the property and they had spoken to our mortgage broker over the prospect of applying to a new lender - which was news to me at that point

  [*]My Mortgage broker called us and told us what he'd actually said ; he was quite unhappy with the situation and the sudden desire to have a quick sale (he knew the status of their new home), he gave them an ultimatum that IF they could provide us examples of homes that had sold in the area for close to that figure AND assurances that should another valuation come back with a similar figure that the venders would negotiate, then he would at that point advise us to seek a new lender. He didn't need to do this for us but we were quite happy for the help

  [*]He chased them and was given a handful of examples, but they also said that the venders wouldn't acknowledge renegotiation of the price until a second survey had occurred. He wasn't best pleased with the evasiveness, but had found us a similar (actually slightly better) mortgage with no set up fee and a free valuation, so it wouldn't cost us a thing and we could waste their time and see what happens. If it came back close to their figure, happy days we had a house! if not then and they failed to negotiate we should cut ties.

  [*]Randomly the estate agent emailed us after him to confirm what they'd told our Broker but also that we had until mid day today to make an application

   

  [*]To be honest at this point i was ready to tell them exactly where they could stick it, but Michelle really wanted the house and convinced me that we should try for nothing as we'd nothing to loose, only waste their time.

  [*]We instructed our broker to proceed with the Nationwide, and advised the estate agent we had done so

  [*]they were happy and said they'd let us know if there were further developments.

   

  [*]an hour ago i got a call from the managing director of the estate agents, telling me all formally that the vender appreciated they'd made a promise and we had agreed to it, but they had rethought the issue and had gone with another offer which had come in for the asking price.

  [*]As i'm sure you can guess i was fuming, i enquired about the misinformation about them needing a quick sale to purchase their home when they actually already owned it, asking if she thought it was a little underhand - apparently that not underhand and perfectly okay

  [*]I asked surely any other offer will be lowered if they get their own survey which will highlight the same issues and its devalued - apparently that might not happen

  [*]went round in circles really over the fact that surveys are irrelevant and if people are offering more they will take that offer - and insinuated they are looking for a buyer who will ignore the survey

   

 

 

I'm fuming absolutely fuming over the whole sorry mess! £900 for a solicitor, £500 for a survey, £250 for a broker and nothing to show for it!

 

They are absolutely deluded, nobody is happy with this, my brooker thinks its quite telling the agent didn't call directly and made the MD do it and its obvious they've got pissed off someone has valued their home less than she valued her home at

 

right now i'm ready to maliciously/illegally put Japanese knot weed in their garden or anonymously report their gardens and their neighbours for steeling public land - I've already checked the extents of public land after noticing some of the gardens backing onto the council park were longer than others - this is because they've illegally moved fences, as they council deeds detail a uniform fenceline.

Probably shouldn't be vindictive but its very tempting