Delayed settlement caused by bank and broker

Discussion in 'Legal Issues' started by Tomodachi, 17th Jun, 2021.

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  1. Tomodachi

    Tomodachi Well-Known Member

    Joined:
    21st May, 2016
    Posts:
    71
    Location:
    VIC
    Hi members, looking for help and advice, thank you in advance. I'm based in Vic

    We're purchasing an off the plan home. Everything was going well. Settlement booked for Friday 18th June.
    On 11 May the vendor announced valuation is open and sent us contact numbers to organise it. I forwarded this information to the broker.
    On 20th May I return final mortgage papers, everything is good, the only condition is pending valuation because the vendor has not yet provided an occupancy permit.
    On 4th June the vendor supplied the occupancy permit, my conveyancer sent it to the broker and settlement team 7th June.
    The next day I called the broker everyday reminding her to get the valuation ready for settlement because according to the contract I would lose 20k rebate if settlement is not on time.
    Monday 14th June I asked the broker and she said valuation is completed.
    Wednesday 16th June the broker emailed my conveyancer advising him to request settlement extension because the valuation is not done??? The valuer tried to book it but was unable to because the selling representative on the contract did not pick up the phone. We have sent the bank the correct contact details since 11th of May.

    My conveyancer has hoped that the vendor will allow us a delay with the rebate intact but I'm not sure how they will respond.
    My conveyancer has sent an email to the bank indicating all the key point and

    We believe any penalty and loss of our clients rebate entitlement under the contract o sale (if any) due to lender/mortgagee/their valuer not completing final valuation whereas our client have fulfilled their obligation must be compensated.

    In the worst case scenario where I would lose 20k rebate and be penalised, what will be my options in regards to compensation. My conveyancer may not be able to represent me in legal proceedings then what do I have to do and who can help me.

    Thank you for reading!
     
    Last edited: 17th Jun, 2021
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
    14th Jun, 2015
    Posts:
    10,599
    Location:
    Gold Coast (Australia Wide)
    Id start with asking the broker/financier for the Valex reference number, assuming its a valex val, which 80 % of lenders use

    You can then have a peek yourself here

    Valuation Status Enquiry

    and take it from there

    As an aside, was the rebate in the contract sent to the valuer ?

    ta
    rolf
     
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  3. Tomodachi

    Tomodachi Well-Known Member

    Joined:
    21st May, 2016
    Posts:
    71
    Location:
    VIC
    Thank you!
    I will ask the broker
    I do not know if the rebate in the contract was sent to the valuer but it was definitely sent to the settlement team by both my broker and conveyancer.
     
  4. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

    Joined:
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    Posts:
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    Location:
    Gold Coast (Australia Wide)
    Does your contract say settlement 14 days from OC ?

    ta
    rolf
     
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  5. Tomodachi

    Tomodachi Well-Known Member

    Joined:
    21st May, 2016
    Posts:
    71
    Location:
    VIC
    Yes the contract did say 14 days from OC.
    Oc was given 4th June(Friday) and settlement is booked 18th June
     
  6. Tomodachi

    Tomodachi Well-Known Member

    Joined:
    21st May, 2016
    Posts:
    71
    Location:
    VIC
    Update:

    We are able to settle without penalty. Thank you everyone for your support.
     
    craigc, Stoffo and Terry_w like this.