I have a contract on a property. it is a 3 bed house with a shop frontage. going to be leased back for 10 months then they leave. my problem is the contract stated that no GST would apply, but when my conveyancer got involved she said that it most definitely would, so we have told the vendors solicitors to prepare a legal indemnity letter to double make sure that no-one will come and seek GST from me, the other issues she discovered is that they dont actually have a trade waste permit for their cooking fats etc, we have also told them to get that organised. it has been two weeks since these issues have been raised, and they have not complied with any of my requests. i have been declined finance so can get out of this contract. but i just dont know if i should get pushy and really try to get this through or just walk away. its really hard to find places that make money from day one, and this one definitely did… but it is part commercial and im feeling like ive bitten off more than i can chew.
im thinking that i might cancell the contract under the finance clause and tell them they can contact me if they ever get themselves organised, for a price of course say < 20k our current contract. but i just dont know… dont know…[confused2]
Sounds like a good idea. If you feel you have bitten off more than you can chew, take time out to re-assess the situation. You can also make another offer on this one later (if still available).
Terryw
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If you think the vendor is dodgy then you might as well get out of the contract while you can. But if you still think its worth it then perhaps you can say that you got a loan approval for 20k less than the asking amount. So they can either take it or you get out of the contract with no penalty.
I have terminated the contract. I am still interested in this deal but I wont be persuing them. If they want to get themselves sorted and approach me again I will be open to it. but I am a lot wiser now than when i started so it has been a very worthwhile experience, altough costly with building inspection, conveyancing fees etc.
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