NegEquit2017
Registered User
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Hi
First time using this site.
We are currently in the process of selling our own property and buying a new build. We are in negative equity and we (after nearly a year) are approved for the tracker portability mortgage.
Our own home is sale agreed (neg equity €60k)
We have hit a brick wall and cannot seem to get any answers/ solutions from anyone. Our solicitor will not allow us to sign contracts as our shortfall agreement is for 6 months therefore we have a 6 month time frame from when we sell our current property To draw down the new mortgage on the new build.
If the new build was not complete the shortfall is owed (neg equity)
Problem is in the contract for the new build the builders gives himself 12 months to complete (for obvious delays, weather etc)
We have asked the builder to adjust the contract to 6 months to match our mortgage contract but they will not change.
Our contracts states that if the mortgage cannot be drawn down within the time frame we are liable for the shortfall (60k)
The solicitor has confirmed that If the mortgage cannot be drawn down the bank and go over after them for the shortfall.
We advised would we sign a disclaimer /waiver which they won't agree too.
The frustrating thing is yes it is a new build but the house is practically
complete they are currently working on internal finishes now.
The solicitors advice is basically forget about the new build and look for a second hand house therefore mortgage can be drawn down within the time frame.
I find it very hard to believe that we are the first to take a tracker portability and looking to purchase a new build.
Has anyone else had this problem and has a solution ?
Thanks
First time using this site.
We are currently in the process of selling our own property and buying a new build. We are in negative equity and we (after nearly a year) are approved for the tracker portability mortgage.
Our own home is sale agreed (neg equity €60k)
We have hit a brick wall and cannot seem to get any answers/ solutions from anyone. Our solicitor will not allow us to sign contracts as our shortfall agreement is for 6 months therefore we have a 6 month time frame from when we sell our current property To draw down the new mortgage on the new build.
If the new build was not complete the shortfall is owed (neg equity)
Problem is in the contract for the new build the builders gives himself 12 months to complete (for obvious delays, weather etc)
We have asked the builder to adjust the contract to 6 months to match our mortgage contract but they will not change.
Our contracts states that if the mortgage cannot be drawn down within the time frame we are liable for the shortfall (60k)
The solicitor has confirmed that If the mortgage cannot be drawn down the bank and go over after them for the shortfall.
We advised would we sign a disclaimer /waiver which they won't agree too.
The frustrating thing is yes it is a new build but the house is practically
complete they are currently working on internal finishes now.
The solicitors advice is basically forget about the new build and look for a second hand house therefore mortgage can be drawn down within the time frame.
I find it very hard to believe that we are the first to take a tracker portability and looking to purchase a new build.
Has anyone else had this problem and has a solution ?
Thanks
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