GRAPEVINE
New Member
My understanding is the walking away option is happening because it is obviously feeding the BMV concept, see my “Algarve Property Machines” Thread, this is also confirmed by my developer/builder friends.
So, investors are opting for walking away from their deposits which can be anything from 10% to 30% rather than going through to deed as,
A: bank valuations are forcing you to find more money.
B: You just cannot cope with the additional mortgage.
C: The promised rentals are now as realistic as the Queen flying EasyJet !
In talking to my friends, they still prefer to hold on to the original buyer but if that is not possible the idea of passing the property on to another buyer without property returning to them first is quite attractive,(Even if the contract celebrated for deposit did not allow for this as it would allow “flipping” a concept that is now as dead as the dodo!) this sentiment may not encompass all developers builders but it wouldn’t hurt to try.
Keep in mind, whatever you paid as deposit, between 5 and 10% has been lost forever!
Again, please express your views as this may open a new possibility for many.
So, investors are opting for walking away from their deposits which can be anything from 10% to 30% rather than going through to deed as,
A: bank valuations are forcing you to find more money.
B: You just cannot cope with the additional mortgage.
C: The promised rentals are now as realistic as the Queen flying EasyJet !
In talking to my friends, they still prefer to hold on to the original buyer but if that is not possible the idea of passing the property on to another buyer without property returning to them first is quite attractive,(Even if the contract celebrated for deposit did not allow for this as it would allow “flipping” a concept that is now as dead as the dodo!) this sentiment may not encompass all developers builders but it wouldn’t hurt to try.
Keep in mind, whatever you paid as deposit, between 5 and 10% has been lost forever!
Again, please express your views as this may open a new possibility for many.
