# Bought house, legal problem, now can't get mortgage



## hurt (31 Jul 2012)

In 2009 i obtained a mortgage on a property worth 169k

I met the estate agents and builders and paid my deposit.

Builders told me i could move in while everything else was sorted regarding the contracts..6 weeks i was told.

After moving in and settleing in i contacted my solicitor to find out what was happening and he was told me he was awaiting the contracts to come forth.

I asked the builders what the problem was and they said it was going to take a little longer.

12 weeks had passed but my solicitor recieved a letter from there's stating that certain issues would have to be cleared before we could proceed....nothing from my end.

My solicitor sent a letter to my bank to explain the situation and let them know that we were drawing the money on the cheque as its shelf life was nearly.

i paid the mortgage back monthly for 12 months while all this crap was going on until eventually when my solicitor called me in one day and placed a folder 8 inches thick with judgements against the builders in question.

The builders finally came clean regarding what was happening....notice on the land they said prevented them from closing the sale...2 years later

They told me not to leave the house as they said things would be sorted soon and i would get it cheaper.

My solicitor had to repay the bank back the mortgage because we could not obtain clean deeds...no issue over this regarding the bank but hit a stage were there paticence was running thin.

After paying back the bank in full i went straight back in to reapply for a cheaper mortgage of 120k.....refused....3 months later 90k...refused.

Now 3 years almost to the day i walked into the house i have been told that the builders bank will sell me the house for 60k.

I was naive at the time as i had never purchased a home and the fact solicitors letters were involved always though it would b ok...i know now i was wrong.

I didnt want to leave the home as i had put time effort and money into it...also it became my kids home after moving from Dublin to cavan.

What i want to ask is can i take legal action against

1- The builders ....for lying since day one

2- the estate agent .....again for lying as we looked at other properties on the day and he never mentioned anything untoward.

3- Three the bank....for taking back what i owed them but basically dont want anything to do with me now.

Im self employed and have shown since 2008 the following.

32500 / 28922 / 24500 / 31000 and all tax has been paid.

For the last 12 months i have religously saved with bank of ireland who told me to open a savings account to prove i can save and have thus far saved 13k.

I need a mortgage of 54k which even at 6% is €314 per month.

I have a small personal loan i got from boi a few days after moving in which i can pay back in full which costs me €247 per month.

what are my chances regarding this.

I have 3 kids and a partner who is on sick benefit at the moment ((genuinely sick))

Anyone any advice please.


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## Dermot (31 Jul 2012)

How long is your partner on sick benefit and have you any idea of how long more she will be out sick. How much sickness benefit is your partner currently getting and hoe long will this continue for. How much does she earn when working and is she in a permanent post. What age bracket are you and your family in?. What rent are you paying at the moment. If you paid back the small permanent loan what savings would be left with. What interest rate are you paying on this loan. You need to lay out the full family income and projected income and a detailed list of outgoings before anyone can give you help. As a matter of interest would the builders bank take a bit less for the house and give you a mortgage. Best of Luck. Will keep an eye on your thread.


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## hurt (31 Jul 2012)

She is on sick benefit about 4 months and recieves €147 a week.

Its a nerves situation so i dont know how long.

She wasnt in a permanent post.

i would have 10k left out of my savings....

12.5% was the interest on the loan.

builders bank are acc...so no chance.

im 30 she is 28

Thanks


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## Guns N Roses (31 Jul 2012)

Hurt, I suggest that you change the title of your post to make it more relevant.

Otherwise the Moderators will remove all comments!

See Posting Guidelines No. 3.


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## Slim (31 Jul 2012)

Hi Hurt,

Not being funny here, but you originally agreed to buy a house for €169k and now can buy it for €60k? If you can get the mortgage for €50k or so, you should send the estate agent and builder a bottle of whiskey each as their incompetence/craftiness has ended up saving you over €100k!


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## Guns N Roses (31 Jul 2012)

Slim said:


> Hi Hurt,
> 
> Not being funny here, but you originally agreed to buy a house for €169k and now can buy it for €60k? If you can get the mortgage for €50k or so, you should send the estate agent and builder a bottle of whiskey each as their incompetence/craftiness has ended up saving you over €100k!


 
As Slim has said you have unintentional avoided being in negative equity of €109,000 (minus 12 months mortgage repayments).

There are many people in this country (myself included) who would love it if the bank would take back their house and refund them the original mortgage cost minus repayments.


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## wbbs (31 Jul 2012)

Do you have a credit union account?  They give out mortgages of that size.


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## hurt (31 Jul 2012)

Its not a boast im implying im actually in a bad situation because i cannot get a mortgage of 50k ..

originally i was asking if i had a leg to stand on regarding some type of legal action.

3 years fighting for something that should have been yours through no wrong doing only naivety has left a bitter taste in my mouth and more so my partners.

crazy to think ive been paying off a persoanl loan of 247 a month without a hitch and in a position to pay it off completely and to obtain a mortage with repayments of €314 at the 6% interest stress rate seems unfair and unjustified.

Im brother is in the opposite position but at least he own's his home and can do what he pleases regarding it.


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## Dermot (31 Jul 2012)

Get over the negativity and bitterness. You should be rejoicing that you did not get purchasing at the previous price. You need to focus your energy on getting a mortgage of €50,000. Get rid of your borrowings. An AIB mortgage of 50k over 20 years costs a bit less than €300 per month. You get rid of your €247.00 per month short term loan. You state that you saved over €1000 per month and paid back €247 per month. You did not answer my question about how much rent you have been paying over the last 12 months or more.  You state that you are self employed. Can you get your Accountant to do out a precise and detailed account of your family's income over the last 5 years or so and how spend, save and repaid loans in that period.  Any lending institution will need to look at clear and logical figures.  They will not want to be looking for clarification every week or 10 days. Take note of all the posters and re focus. There is no point dancing around questions.


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## Guns N Roses (31 Jul 2012)

Okay Hurt,

Your options as I see it are as follows:

1) Start a pointless legal action against builder, estate agent, bank and spend years and huge sums of money trying to get some satisfaction without any guarantee of sucess.

2) Try to find other source of financing from other lending institutions.

3) Move out and rent for a while until your financial position improves.


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## Spear (31 Jul 2012)

Might be better to stay living there to maintain leverage over sellers?


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## hurt (31 Jul 2012)

I havent paid rent in this place..why would i.

My attitude at the moment is that if somebody wants me out ..its going to have to be physically.

I appriciate all the posts but your right i am bitter...ive kids and thats more so why im bitter..as i would have easily walked away if i was childless.


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## elcato (1 Aug 2012)

> .ive kids and thats more so why im bitter


Wow, is that what kids do to you ?

Thread closed as you are just looking for what you want to hear as oppose to any advice.


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