Help to Buy not claimed by developer , Void contract?

RichRooskey

Hi All,

Curious if anyone could help or has possibly had a similar situation to mine. I and my wife am buying a new build that was due to be completed by October 2021, fast forward 6 months, and in my opinion, the house is still another 6 months minimum before completion if the builder decides to speed up. Just to note that not all windows are yet installed.

We are trying to engage with the developer who either ignores our queries or says we will let you know when its ready for snagging. . The situation that we have now is that the house we are renting in Dublin with a lease extension of 6 months as we assumed this would be enough time and the landlord has new tenants signed up for the end of the month, we have looked and tried to rent a place for a number of weeks now but it's extremely difficult and even harder if we look for a lease under 6 months.

So my query around help to buy, I have asked the solicitor would it be possible that we could get out of the signed contract so we could look for a second-hand home instead. She mentioned that as the developer's solicitor has not taken the help to buy and technically our 10% deposit is not paid and that if we canceled the application on revenue then this could possibly be a way out, just curious if anyone has ever done or heard of this before?

Just to be clear, you have signed the contract of purchase?

I’m struggling to see what difference the method you are using to finance the purchase would allow you to void the contract, unless of course the seller agreed to the contract being subject to drawdown of your mortgage, which is unlikely. If Revenue rejected your application, you would still owe the 10%.

I’m sure you also know, help to buy only applies to new properties, not second hand homes.

RichRooskey

https://www.boards.ie/discussion/comment/118930785#Comment_118930785

Yes the contract is signed on a new home. My solicitor mentioned that for the contract to become binding not only do the contracts need to be exchange but the 10% deposit needs to be paid also which was not as the Help to Buy was for this purpose but not claimed by the builders solicitor.

From an online search I found the following:

Its a confusing situation and not something I would have great knowledge in and hope that I am getting good advice from my solicitor.

DFB-D

https://www.boards.ie/discussion/comment/118931181#Comment_118931181

I think you have the advice of a solicitor about this, I think you should consult another solicitor if you want a 2nd opinion.

But it may take longer to buy a house on the market, between probate sales and legal checks, it's not a quick process.

lau1247

In this climate. I don't think the developer would have trouble selling. They can probably sell it at even higher price that you agreed on your contract

RichRooskey

Thanks all, I am still waiting for the Builders solicitor to come back to me on it also. Definitely they could sell the house for more. It really is a very strange situation and ill pursue legal advice along the way.