Help please ! They had no finance !!

i just sold a house in NSW.
It was due to settle this week (final payment)but the Conveyancer rings me up and says the buyer is having trouble getting finance.You have to give them at least another week maybe two.;their Bank wants to see more documents.
Now i sold them this house well under Market value because i needed the money to buy a apartment in the inner city.
So much under market value the Real Estate agent didnt list it as Sold price on the internet.

I was counting on this money to put a deposit on a City APartment.
They only put down 10%.


The house would be worth about $15,000 to 20k more now than 6 weeks ago !!!

These buyers i believe are friends of the Real Estate agents, they have done nothing but complain after i signed the contracts,they have in the last 6 weeks preinspected the property 3 times now they want me to employ a cleaning company to clean the carpets??
I have cleaned and cleaned in there ready for them to takeover i cant clean anymore !!

I have taken the spare keys off the real estate agent after the neighbour told me that the whole family had been in the house all day last week, remember this is still my house!!
On checking my house last week they had already moved clothes into the bedrooms ,which i didnt mind as i thought there settling next week anyway.

Apparently the new buyers english is not their first language and my neighbour had asked him to put a lead on his dogs and he was rude to him which is none of my business as they will be future neighbours but i noticed a dog smell in the house when i went to check on it last week.
My neighbour out there is a sticky beak but its good for me as he watched over the property.

I have taken the keys OFF the agent who denies giving them the keys, well how did they get in ?
The real estate agent seems to feel sorry for them as they are new to Australia from Africa and misunderstood procedures ?? but this is none of my business nor do i care where buyers come from.Surely they have a Conveyancer too ?


The conveyancer asked me to wait another 2 weeks ?!
All i want is my money so i can buy my apartment here in the City so i said to the conveyancer that I dont wish to sell to them now, he said too late you cannot rescind on the contract, I said mate waiting all this time when the house has increased in value already is not acceptable .
Surely they should of arranged their finance before buying ???

He said i have no choice but to wait so i hung up.
Is there anything i can do , maybe go to a Solictor ???

I will have to maybe delay my purchase now of my apartment .
Anyway what guarantees is there that they will get finance approved??
Do i just keep waiting?
I want the house back is that possible ??
That Conveyancer i used is obviously a real idiot !!

 

If they are in default of contract, some states you can take the 10% and get out. Not sure about NSW - but check with your solicitor/conveyancer.

Obviously this is not a nice outcome for all concerned, but sounds like you are not getting what was expected and may be able to negotiate something in between.

See if you can get some power elsewhere to make it easier - can you get money from family, credit cards, other equity etc to settle your other purchase temporarily?
If you can get some breathing space, you can make it easier..

Having said that, with the APRA changes you might find they are not the only buyer to have trouble getting finance. You may find Sydney slowing now and lots of buyers having trouble getting approvals..

 

Its stuff like this i really feel like giving up !!

 

I'd see this as a possible opportunity.
You say it's worth more money now? Then exit the contract and you might even be entitled to some of the deposit.

Where's the house? I'll give you a cash offer for 90% of your previous contact and you get to keep the 10% deposit.

 

Who are the solicitors acting for them? I had a terrible experience with a particular nationality when I sold a block of land a few years back. Took months to settle and then when my Conveyancer sent them the figure for penalty fees owed, a huge amount of soil was dumped on my site closely followed by a letter from their solicitors saying they won't settle unless we agree to waiving the penalty interest due to the soil being dumped on "their site".

I hope you get some action soon. Sounds like there are some very bad practices there. May be width reporting the trespass to the police if it keeps happening.

 

There you go, some people see problems some people see solutions.
I would tell them to go jump and go with spludgey.

 

I really thought this Conveyancer was ok, but i was very stupid to go with the real estate agents reccomendation for this conveyancer.

Is there any lawyers here who can advise if i can pull out of this contract?
This is going to cost me more money in trying to find a Lawyer , etc etc such a bloody headache !!
The conveyancer said i cant pull out, settlement is on the 23 july but they will need a few more weeks ! But dont know when, why tell me now 4 days before settlement ..???
They had the last 6 weeks !!
I have cancelled the home insurance from the 23rd so i guess i will have to try to tell AAMI to put it back on try to explain to them whats happening.i dont know how much that will cost to get put back on.so much headache i just want the house back and i will rent it to someone .
To make matters worse the Conveyancer who was charging me $1300 said he has to charge me more now... Really can u believe this? I dont know why this happens to me?

i want my house back !!

 

Oh dear. I would contact Daryl @RPI on here, Certus Legal asap.

If they've missed the finance date and you don't grant an extension...

 

It would appear that it's not you pulling out of the contract, but them if they can't get finance.

Settlement is now late which means if they do settle, you can charge them penalty interest. I'm not sure about NSW, but this is often calculated at a rate of about 10%pa.

Get your conveyancer to look at options such as a rescission notice. I'm not sure how this is applied in NSW, but it essentially gives them a period of time to either complete the contract (with penalties) or you cancel the contract and they forfeit the deposit.

If you've sold the property under market value this is an opportunity to keep the purchasers deposit and get a better price for your property.

 

Its hard talking to my conveyancer and real estate agents , she seems to feel sorry for the buyers too ?
Just be patient they said .
It wouldnt be so bad if i had sold the property at a high price but i accepted the first offer so i could buy this apartment in the city.

They havent missed the settlement date yet its on july 23 but they need a few weeks , how long is a few weeks is anyones guess.

No i just want my house back , is that possible ???

 

They need to charge more because they have unexpected work to do. Even if so far their work hasn't been up to your expectations. You now need a specialist solicitor IMO.

They are the ones breaching the contract. You should be entitled to compensation, even if the contract falls over. What does your contract state you are entitled to?

 

Y'all still falling for this?

 

Have they missed the finance date?
Of course it's possible. If they miss settlement on the 23. Don't provide an extension.

 

Well according to the conveyancer i can charge interest on everyday .i think it was $78 a day ????
The point is if he is going to bill me more im not making anything and losing my apartment in the city.
I need that money to buy the apartment, if they have no finance then please just give me the house back.

 

Us or him?

 

Would you like me to give you the conveyancers phone number ???
Maybe you can get more sense from them than me !

 

So legally i dont have to provide a extension ??
Why did they tell me only an hour ago they had trouble getting finance?
I havent gave the conveyancer my land title yet , is that good ??

 

Calm down matey, I'm not an expert. Get off the forum and get on the phone to someone like Certus Legal.

 

I thought Certus Legal was QLD-based?

You say NSW - I've used Henry Packham twice, very happy with him, he knows his way around tricky stuff. https://packhamsolicitors.com.au/our-people/henry-packham/

So your RE agent recommended the conveyancer?? big red flag for me. You need to talk to someone independent.

 

I believe that in Queensland sales of real property have time "of the essence" - meaning you can terminate immediately if the other party's late - but time is not of the essence in NSW.

In NSW, I believe you have to issue a "notice to complete" specifying a time by which they have to complete, and then that time is of the essence.

This sounds entirely consistent with what your conveyancer is telling you, so I'm not sure why you think they're "a real idiot". Or is it just that they're not telling you what you want to hear?