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Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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In November 2011 I made an offer apartment in central

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In November 2011 I made an offer for an apartment in central London which was accepted. I appointed a mortgage broker who found me a mortgage, a paid the administration fee for the mortgage and proceeded with the purchase.
At the 11th hour the mortgage company retracted their offer as the building was of non standard construction (concrete). The surveyor, appointed by the building society, returned a zero valuation on the property.
I subsequently lost the property due to the mortgage company’s actions.
As a result of this I forfeited a capital appreciation on the property of £350,000, and rental income of £48,000, making a total of £398,000.
Can I sue the mortgage company on the basis that it’s impossible for any central London apartment to have a value of zero, ie gross negligence/incompetence by the surveyor OR that a contract was effectively established when I paid the mortgage fee which was accepted and banked OR any other reason?
I am significantly out of pocket due the mortgage company’s actions and would like to seek compensation for this.
Submitted: 1 year ago.
Category: Law
Expert:  Ash replied 1 year ago.
Hello my name is ***** ***** I will help you.
For now please let me know there was a final offer or was this withdrawn before the survey?
Customer: replied 1 year ago.
it was the final offer and the mortgage offer was withdrawn after the survey.This is a quote from my mortgage advisor by email "Hi Richard, Following on from my previous e-mail, I am writing to confirm that I have got the mortgage fully approved through Marsdens Building Society."
Expert:  Ash replied 1 year ago.
Its bad news I am afraid - it is not breach of contract by paying the fee. Check the terms and conditions an it will say that the offer can be withdrawn, so you cant claim breach of contract.
It wont be negligence either because you can only claim that for example if there has been a loss, generally physical. You would need to show they owed you a duty of care, it was breached and you suffered a loss. Look at a car accident - this is how someone suffers a loss. In this case they will be allowed to withdraw an offer.
What you can do is complain to the Financial Ombudsman and see what their view is. They offer a free, independent service and can investigate your complaint at: www.financial-ombudsman.org.uk
Can I clarify anything for you about this today please?
Alex
Customer: replied 1 year ago.
It seems extremely unfair to me. A surveyor can not value a central London apartment as valueless when it sells for 550k 4 years later. There is a total absense of common sense here, and I missed out on the opportunity to make nearly 400k through no fault, no damn fault of mine. I appreciate your advice but still wish to peruse the matter in court. Even if it's for no monetary gain, mortgage customers can not treat their customers this way. The same company approved a mortgage on a high rise similar property the week before, so it seems they were discriminating against me.
Expert:  Ash replied 1 year ago.
I agree it seems unfair but the terms and conditions will allow them to withdraw. I will outline the process for you though as requested.
You need to write and set out your losses and request compensation within 14 days or say you will go to Court within 14 days. You should make sure you send this signed delivery and keep a copy.
If they do not compensate you then you can issue proceedings in the County Court. You can either do this online at: www.moneyclaim.gov.uk  or by completing form N1 http://hmctsformfinder.justice.gov.uk/courtfinder/forms/n001-eng.pdf and take it to your local County Court.
The Court will then issue a claim which a copy will be sent to the Defendant who will have a limited time to defend it, if not you can enter Judgment and enforce.
If the claim is for £10,000 or less it will be a small claim so you will not need legal representation. Over this value you would need representation for trial.
Can I clarify anything for you about this today please?
Customer: replied 1 year ago.
Can I get legal aid?
Expert:  Ash replied 1 year ago.
No. Its a civil matter I am sorry to say.
Alex
Customer: replied 1 year ago.
So if I was a criminal I would be eligible. English law continues to baffle me, disappoint me and screw me. Thankfully I gave up on England many years ago. I live in russia which believe it or not has a legal system based on common sense and is so much more fluid when standing up for average Joe citizen. I thank you for your advice which was most informative tho with respect to helping me mount a successful case, I have gained nothing that would work in my favour. Do I assume then that you suggest I just drop the case and drown my sorrows in hard liquor? Please give me a percentage chance of me winning if I were to go to court. Could I sue in the small claims court and assuming sucess then go to the normal court?
Expert:  Ash replied 1 year ago.
If you claim £10k or less it would be a small claim. It's up to you whether you push it I don't think you would win, so would always limit to a small claim
Does that clarify?
Alex.
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