Order of sale

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We have a caution against our property for money that we owe former friends.Last year we raised half of what we owe via a remortgage,the remortgage failed to go through because the solicitor acting refused to remove caution to let remortgage go ahead ,after which we said he could put a charge back on prperty for remainder,he wanted it done simultanously so this remortgage failed.On checking with him again,in Feb he said that as long as we raised more than half and a charge could go on at the same time he saw no reason why he couldnt advise his clients that this was acceptable.We have now gone to all the expense of valuation etc,motgage and charge agreed,he is yet again changing the game,and thinking of going for an order of sale.We have tried to raise the money,and had it all ready to hand over more than half,now we face the prospect of becoming homeless with 6 small children....does the human rights come into play.ARE THERE ANY SOLICITORS OUT THERE THAT CAN HELP US,we seem to have lost our faith in solicitors as no one is prepared to help. Any help advice appreciated.it seems so unfair as we are trying to pay our debts and the game keeps changing.

-- Rachel Fox (r.fox@talk21.com), June 21, 2002

Answers

Sorry, I find your story a bit confusing.

You say that you raised half the money by getting a remortgage, however you go on to say that the remortgage failed. I assume that you do not have half the money because you werenít able to remortgage?

You say that the solicitor kept changing his mind and refusing to move the charge. You then go on to say that so long as the remortgage and charge happened at the same time, the solicitor saw no reason why he couldnít advise his clients that this was acceptable. This implies that the solicitor who isnít being reasonable is not the solicitor acting for you, but the one acting for your ex-friends.

If this is the case, what is your solicitor doing about it?

Your situation is not uncommon and if your solicitor is not helpful, then change to another firm. Before agreeing to go ahead with a new solicitor, talk to them on the phone and explain what your problem is and theyíll tell you what they can and cannot do for you.

It appears from your story, although I may be wrong, that youíve not paid anything off your debt to your ex-friends. Are you sure that youíre going to be able to afford a 1st mortgage and 2nd mortgage? If the charge is still on the property after you have a 2nd mortgage, then what would you do if the ex-friends go for an order for sale on the remainder which is owed? Perhaps you could arrange to pay your ex-friends each month instead of a mortgage company.

You donít say how much is involved, but if your ex-friends want all their money, then they could still go for an order of sale and I suspect that their solicitor is now thinking about this because it seems to have taken some time to sort out a remortgage.

There is no reason going for an order of sale unless there is sufficient value in the house to pay the your mortgage lender and sufficient left over to pay your ex-friends. If they do go for an order of sale, then there are no guarantees who will win. Your children will help as Courts donít like to evict families, but if you canít show that you are going to be able to repay the debt then having the children will not guarantee that youíll not lose your home.

So have a word with another solicitor and see what your options are. If you really think that you might lose your home, then start talking to your local council and housing associations about your position so that you donít end up on the streets.

If you can perhaps give a little more information, then Iím sure someone else can also give some advice.

-- pendle (pendle_666@yahoo.co.uk), June 21, 2002.


Hi Rachel

Im confused too! Have your ex-friends actually got a charging order absolute on your property or is it just a nisi? As for the caution on your property if you were to attempt a remortgage, try the lender that you are with now explaining the caution. You never know they may be willing to help.

Regards Daren.

-- Daren Otsay (darenotsay@blueyonder.co.uk), June 21, 2002.


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