In process of buying a house in unfinished estate, builder in liquidation.

[homebuyer79]

I'm hoping someone may have had similar experience to me and may be able to advise me on the following:

I am in the process of buying a house in a housing estate in which the builder has gone into liquidation and now the liquidator has taken over the estate. There are 6 houses in the estate. Three of which were sold back in 2008 when the builder was in operation. Two were sold in the last ten months and I am five months into the process of trying to seal a mortgage at the moment on the last existing house.

There is a green in the middle of the estate that is unfinished. Can you tell me is there an obligation on the liquidators behalf to level and plant this before he goes off site? Once my house has been sold the management company is to be handed over to all the residents. There is also an ongoing issue with the treatment plant-who is servicing it etc., All these issues are holding up my mortgage.

I would like people's advice / experience if you have been in a similar situation. Are we right to take over the management company? Is there any obligation on the liquidator to get the green finished / septic tank serviced? Thank you

 

[Dermot]

A lot of the questions you raise should be dealt with in the conditions of sale. What queries did you raise with the agent who was selling the house
Has your solicitor received a contract and what does the contract say in relation to your queries.
Have you instructed your solicitor in relation to all of the issues that you have raised here and has there been a reply.
Have you discussed your issues with the last two purchasers and how they dealt with them and what undertakings were given to them by the liquidator.
You need to nail down all the issues that you have legally. This would be regarded as a very small estate given the numbers you are talking and as such you may have to negotiate with the liquidator personally.
If you are not happy with the progress or undertakings leave it after you unless you are getting an extraordinary bargain.
Sorry about all the questions

 

[Knuttell]

You're probably finding your lender/credit committee is refusing to allow the qualifications your solicitor is raising,were the previous purchasers cash buyers?

Who is the landowner and will they provide a written undertaking to hand over to the residents.Homebond may be an issue,etc etc the list of qualifications your solicitor will be raising will be significantly different to an ordinary purchase.

As Dermot suggested unless its a great deal or your Solicitor is getting good cooperation from the liquidator,then this can drag on for ever and may see your application back before the underwriters when the timeframe of 4-6 months elapses

 

[ryaner]

There was a "green area" in front of an apartment block beside the one I used to live in. The block was finished in 2007 ish time with residents moving in then, all having the usual commitments that common areas would be finished to standard etc.
Builder eventually went under completely last year and nama took over. Its only in the last 3 months that the area has been cleaned. Previously the most the residents managed was to get the builder to fence off the sections of the unfinished blocks, and even that required some legal pushing.

Basically as Knuttell has said, unless its a great deal. Run, fast, or be prepared to live with things as they are right now.