Buying a house in Negative Equity

Hillybilly4

Diane Selwyn wrote: »

Ok so I believe that we have gone through the looking glass now! I don't know how you all cope - I get stressed out just reading posts on this thread. 7k is a lot of money on top of everything else - I wonder if the bank would sign something committing them to the sale on the condition that you pay it (if you are really prepared to do so)?

We've decided that we're not going to pay the outstanding NPPR charge...on principle really. Our offer was made and accepted on the basis that the property would be free of all debts. Unfortunately, pretty much every week, our solicitor finds yet another debt on the property (or some other issue). 7k is a lot of money and is money that we need to spend on the property. Even if we were to pay it, there's no guarantee that, in the hiatus between us paying it and the Cert of Discharge being issued, the bank won't turn round and renege on the deal. Without the Cert. of Discharge of debt, the property can't be sold.

Hillybilly4

Ms2011 wrote: »

I am also trying to buy a repossed property & I was able to email the ESB with the MPRN no. ( I took it down off the electric box while viewing the property) & the address of the property & they were able to email me back the month & year the electricity was turned off, no problems!

Unfortunately we don't have the MPRN number (wish we'd done the same as you lol) and are now back in the UK.

We don't want the bank to "prove" to the Co. Co. that the property is uninhabitable/derelict because then that would mean we're buying an uninhabitable property and would have to jump through planning hoops to be able to live in the house! The property was described in the particulars as a DIY project, not derelict and so that official nomenclature would instantly devalue it further! If the bank succeeds in their quest to avoid paying the NPPR charge, then we will have to revise our offer!

missjuly

Oh god this is such an annoying situation we thought we were so close but now we are back to where we were a month ago....its bad enough going slow but backwards is just killing me. so we thought we got good news a month ago so I have been patient this last month but then found out what they said is complete isn't and could take another while. When i was ringing today hoping for a date to close...really got to me not sure its going to happen!

Lara I am so sorry to hear about your situation! Its hard to believe at times of disappointment but you never know maybe theres a reason and something better is going to come along (least that's what I try tell myself if this doesn't work-im not fully convinced but you never know).  Your right the longer you wait the harder it is to pull out. You think well all the time I waited will have been in vain if I pull out now and literally every day im waiting for a phone call or ringing people who fob me off!!

Just needed to rant sigh

BookBook

2013Lara wrote: »

Got a letter today basically saying, pay an extra 13000 or vacate the property so they can put the house back on the market.

Happy feckin Friday to me.

That really is the pits.

God when you hear stories of taking up to 18 months to evict tenants who don't pay rent you would think the vendor wouldn't want to go down that route. In 18 months God only knows which direction the market will have taken.

http://www.independent.ie/irish-news/news/tenants-who-stop-paying-rent-can-live-free-for-18-months-30452306.html

2013Lara

BookBook wrote: »

That really is the pits.

God when you hear stories of taking up to 18 months to evict tenants who don't pay rent you would think the vendor wouldn't want to go down that route. In 18 months God only knows which direction the market will have taken.

http://www.independent.ie/irish-news/news/tenants-who-stop-paying-rent-can-live-free-for-18-months-30452306.html

I'd imagine the house will be repossessed if he doesn't sort it out very soon.

missjuly

Hey does anyone know if you can get your mortgage approval extended for a month or two or do you have to go through the whole reapplication process. My solicitor said he was going to write to the bank to ask for an extension? ! Anyone heard of this?

2013Lara

missjuly wrote: »

Hey does anyone know if you can get your mortgage approval extended for a month or two or do you have to go through the whole reapplication process. My solicitor said he was going to write to the bank to ask for an extension? ! Anyone heard of this?

We had to resubmit everything to them (PTSB)

HouseHunter13

missjuly wrote: »

Hey does anyone know if you can get your mortgage approval extended for a month or two or do you have to go through the whole reapplication process. My solicitor said he was going to write to the bank to ask for an extension? ! Anyone heard of this?

AIB here and had to start the whole application again, doing it soon again for the third time on the same bloody house...

I need my head examined!

ectoraige

2013Lara wrote: »

Very very hard to Wait. If we hadn't been living in the house I couldn't have done it. They'd tell you anything. That's why I'm trying not to get too excited until we have official word from our solicitor. Although I have actually formed a good relationship with the estate agent (he's actually a very good man, never thought that possible), so I know he wouldn't lie to me. Phonecall Tuesday so if the consent doesn't arrive with my solicitor by today I'll be starting to wonder.

Sounds like a case of Stockholm Syndrome to me... absolutely terrible situation that you've ended up in, hope it gets resolved soon for your family's sake.

missjuly

Oh god!!! I was afraid yous would say that :-(. It runs out in 26 days and thought we were on track but going backwards now. Im on maternity at the mo back to work in Jan but it surely will effect it. I started viewing other houses over a month a go but then got "good news" wish I had of walked away might not get a house at all now for years-if the new central back proposals come in!!! Thanks for replys

2013Lara

ectoraige wrote: »

Sounds like a case of Stockholm Syndrome to me... absolutely terrible situation that you've ended up in, hope it gets resolved soon for your family's sake.

Lol! No, he really is the only one who is ever honest with me. He has done so much for us. I've been there when he has rang the vendor and his solicitor and he is on our side.

Looks like well be sorted by next week, albeit 13000 euro less off.

missjuly

Really lara are yous closing next week? It's a pain you will be 13000 grand extra out of pocket but least hopefully it will be sorted best of luck with it!!

2013Lara

missjuly wrote: »

Really lara are yous closing next week? It's a pain you will be 13000 grand extra out of pocket but least hopefully it will be sorted best of luck with it!!

Apparently we're just about there. Thought it'd be this week. But we were also at this stage a few months ago aswell so I am sort of expecting something else to go wrong. I've learned not to get my hopes up.

iguana

I hope it works out this time for you Lara. It's a tough situation that you were in and I can only imagine just how galling it must be but I think that if I was in your situation I'd probably make the same decision if I could afford it.

Locoladee

Hi all,
So just thought I'd update ye on my situation. When last I posted, my solicitor was having issues contacting the vendor's solicitor and she was concerned when she wasn't getting any replies to phone calls or emails, and his secretary was telling her he was 'away on business' for 2 weeks straight. But suddenly all seemed to fall into place, the sacred holy grail letter of consent arrived from the bank, along with contracts. Have signed contracts now and paid remainder of deposit. Closing date in a couple of weeks. Still can't allow myself to feel excited or to believe it just in case they pull out, but fingers very firmly crossed! Feeling bad also as a friend of mine has just heard, after 8 months waiting, that his vendor has pulled the plug. The whole situation sucks. Hope everyone else here gets the news they are waiting on as soon as possible.

HouseHunter13

well 16 months sale agreed tomorrow, I asked for my money back a couple of months back and there were promises and more promises and it has all come to nothing...

I'll post the house when it is advertised again (in a hope that nobody has to go through the shít I've been through) as the vendor CANNOT complete the sale, the house will inevitably repossessed and sold by the bank.

the whole property game in this country stinks

2013Lara

HouseHunter13 wrote: »

well 16 months sale agreed tomorrow, I asked for my money back a couple of months back and there were promises and more promises and it has all come to nothing...

I'll post the house when it is advertised again (in a hope that nobody has to go through the shít I've been through) as the vendor CANNOT complete the sale, the house will inevitably repossessed and sold by the bank.

the whole property game in this country stinks

Oh no really sorry to hear this. Hope you are ok.

gmisk

HouseHunter13 wrote: »

well 16 months sale agreed tomorrow, I asked for my money back a couple of months back and there were promises and more promises and it has all come to nothing...

I'll post the house when it is advertised again (in a hope that nobody has to go through the shít I've been through) as the vendor CANNOT complete the sale, the house will inevitably repossessed and sold by the bank.

the whole property game in this country stinks

Really sorry to hear this
I thought 12 months was long enough....

missjuly

Do you think it would be really inappropriate to ring the vendors solicitor? My solicitor is out of office today and to be honest he doesn't tell me anything and I get more info out of estate agent than him. But im pulling my hair out the couple have apparently signed the agreement on their repayments etc so I don't know what we are waiting on!!

TheDriver

yes, it is wrong. That's what you pay your solicitor for.

HouseHunter13: I would demand your money back, it should be sitting in the client account and once your solicitor has sent a letter stating you have pulled out, then they should give it back ASAP. Maybe the franchise could help if its one of the big ones?

Unearthly

Hi all,

I did a few checks on a property I was interested in and discovered its in negative equity. I asked the estate agent about it and said I'll need proof that the bank will allow sale go through. He said vendor is negative equity mortgage approved and will send me proof asap.

So my question is, the property I want to buy will be delayed until vendor buys new property and has their negative equity transferred over?

on_my_oe

I had this situation - yes we are in negative equity, but we are buying a new property, all in hand, consent will be sent to your solicitor within the week, the bank has agreed for the transfer, blah blah blah.

All BS - they didn't yet have it agreed, then eventually they did get it agreed, but they couldn't find a property to buy, and I was kept waiting for seven months before they backed out (and I had been stung with report costs and several rent increases in the meantime). We are now agreed on another property, which went up €30,000 while we were getting screwed around on the NE property.

Unless they can provide proof within the week and a confirmed settlement /closing date, Run, run, run!

missjuly

We got our keys :-D. Letter of consent arrived on wed closed and got keys today! Still in shock really. Its been a 7 month wait...I know not as long as some of you but felt like a life time. One of thing I will say is if anyone else comes across a property in negative equity run. ....everyone on here advised me that but I thought mine would be quicker somehow...was long enough but 7 months is lucky in this situation it seems. Good luck to the rest of ye I hope consent comes and sales go through :-)

2013Lara

missjuly wrote: »

We got our keys :-D. Letter of consent arrived on wed closed and got keys today! Still in shock really. Its been a 7 month wait...I know not as long as some of you but felt like a life time. One of thing I will say is if anyone else comes across a property in negative equity run. ....everyone on here advised me that but I thought mine would be quicker somehow...was long enough but 7 months is lucky in this situation it seems. Good luck to the rest of ye I hope consent comes and sales go through :-)

Great news!! enjoy your new home

lukesmom

missjuly wrote: »

We got our keys :-D. Letter of consent arrived on wed closed and got keys today! Still in shock really. Its been a 7 month wait...I know not as long as some of you but felt like a life time. One of thing I will say is if anyone else comes across a property in negative equity run. ....everyone on here advised me that but I thought mine would be quicker somehow...was long enough but 7 months is lucky in this situation it seems. Good luck to the rest of ye I hope consent comes and sales go through :-)

That's great so good to hear some positivity.

missjuly

Aw thank you soo much! I have my fingers crossed for the rest of yous :-) I really do its not a nice situation but hopefully will be worth it in the end! Lara have you had any luck?

2013Lara

missjuly wrote: »

Aw thank you soo much! I have my fingers crossed for the rest of yous :-) I really do its not a nice situation but hopefully will be worth it in the end! Lara have you had any luck?

We're almost there aswell thank God contracts are exchanged. We're waiting on proof that the vendor has paid the nppr and property tax and then we're closing. So we can finally start doing a few bits to the house now and change all the things that have been driving me mad for the last year!

missjuly

Aw thats brilliant news so so happy for you!! I know there a few wee buts and pieces I need to do...pity im no good at diy. Guess its time to learn ha :-)

iguana

missjuly wrote: »

One of thing I will say is if anyone else comes across a property in negative equity run. ....everyone on here advised me that but I thought mine would be quicker somehow...was long enough but 7 months is lucky in this situation it seems.

I don't think I'd tell people to run but I would say go in with your eyes wide open. It will be a long and difficult process with a much higher risk than usual of the sale not going through. And to keep that in mind when you agree a price, make sure that you are getting a deal that you are happy enough with to make the stress of the transaction seem worthwhile.

Hillybilly4

Update. Another month has passed. It's now 8 months since we put in our offer and 7 months since our offer was accepted. The bank in possession refused to pay the outstanding NPPR so, despite declaring otherwise, we've had to agree to pay it...on the condition, of course, that the signed contract is on our solicitor's desk before we do so. The solicitors acting for the bank said that this proposal was acceptable and forwarded all the paperwork to the bank for execution...that was 3 weeks ago. But still no signed contract has landed. Now of course there's yet another bill - LPT for 2015 - that needs paying by someone before the property can be sold...