My house is about to be repossesed at the end of march this year,my house is already on the open market for sale but if it does not sell in that time will the building society leave it on the market at its current asking price or re-market it at their own price therefore leaving a shortfall payment to be payed ?

-- jackie whitehouse (tillia77@hotmail.com), February 06, 2001

Answers

Jakie

Don't give in and don't bury your head.

See the sites latest newsletter regarding West Brom.

I suggest you call Carol at the NAMV 01889 507394 or myself on 01484 683568.

-- Bryan Turner (bryan@loancheck.fsnet.co.uk), February 06, 2001.

Keep all the documentation about the market valuation you had done (if it were me I'd get another one just to be on the safe side and *don't* whatever you do mention anything about repossession to the estate agent/valuer). If the worst comes to worst, and the lender repossesses, you can use these valuations to argue that if it sells the house for significantly less, then the lender has not achieved the full market value, and you are not responsible for any 'shortfall' created. I think (though please correct me if I'm wrong, somebody) that the lender can seel within 10% of a valuation (a *proper* independent valuation, that is) without being deemed to be negligent.

Good luck. I hope you don't lose your home.

-- Eleanor Scott (eleanor.scott@btinternet.com), February 06, 2001.

I believe that if there is a difference greater than 10% between valuation and sale figures id does not automatically deem that there negligence has occurred but that it does give reason to the court to investigate whether negligence has in fact taken place. I understand that this was reiterated as recently as last year in the Court of Appeal in the Skipton Building Society -v- Stott case.

Incidentally other statements arising from that landmark case and published in the Guardian of the 24th June 2000 were:

"Once there is evidence that a property had been sold at an undervalue, the courts should no longer assume that the fact of the forced sale reduced the price."

AND

"If estate agents were used to sell the property, they would need to show they marketed it in the same way that they did other properties."

AND

"Indeed, the fact that there is no owner-occupier means that there is no chain and that the seller can be flexible about completion dates. This, in turn, might actually slightly increase the price that should be obtained."

Makes one think that lenders just aren't aware of the law, doesn't it?

-- Tony Hayter (Tony@Hayter.com), February 06, 2001.