Help, what to do?

We are very pleased for the folks who post here saying how happy they are to be in SC.

Wish we were there too, SC is a brilliant development and if all the facilities promised materialise, it will be all we ever wanted for our retirement..

Unfortunately we may not be able to continue with our purchase, so your advice and comments with how to proceed appreciated.

Most of us are aware of the current economic crisis and virtually all of us are affected financially by it. It's hit us hard too. So much so that we don't think we can afford to continue buying our phase 2 quad villa.

We used our life savings to make a deposit and stage payments, and  last year still owed Taray approx the value of our UK property when we bought on SC - selling the UK property would have funded our move to Spain and my small occupational pension would have funded our retirement. Money would have been tight, but there were compensations! Since then the pound has collapsed approx 30% and our property has fallen in value by a similar amount - but is also unsellable to boot! 

This means that we won't have the funds to complete. Even if we do sell our UK property, we would need a mortgage, which we would have no means of paying. My small pension is paid in sterling and is unlikely to support us, let alone pay mortgages. At 60 odd, I can't count on employment, even if my arthritis allowed it.

We are asking for practical advise - what are our options? We ask as maybe there are other posters in a similar position. We don't want to loose our life savings, but suspect that may happen. Can we try and sell our SC property, even if we haven't completed? Should we contact Taray and tell them what is likely to happen, are they at all sympathetic? Could we try to transfer our phase 2 June 09 villa to another property being completed later by Taray and hope the crunch gets better. Is it better to do something now, or should we do nothing, just wait , default and loose our payments next year? Or what else is there to do?

Somewhat worried, sorry for the doom and gloom! Hope you don't share this reality!

Im no expert but perhaps trying to exchange to phase 2 is an option if Taray agree, maybe also to a smaller property. Alot of people have had to pull out and from what i hear and  rumour is there has been no full refunds, so i think acting now is better then sticking yr head in the sand!!

Even if you could I think it would be dificult to sell before completion, the market here is very slow at the moment, not much is moving and its hard to compete with the builders who are offering extras!

Good Luck!

Hopefully someone out there has the answer and if you do dont be shy with posting!

Hi Rymski

You have 2 options

1. Pull out now and you will lose 25% of the purchase price of your quad. So for example if your quad cost 200000 euros then Taray would keep 50000 euros and refund you the difference between what you have paid so far and and the 25%. On the plus side the money you get back is worth more than when you sent it out because of the week pound.

2. Transfer onto phase 2 and hope by the time you complete that the pound and economy has recovered.

Two other points.

a. You cannot sell a property until you have completed on it.
b. Taray will not be sympathetic to your plight. I have already been down that route.

Hope this helps

laserman

Hi everyone

I would just like you all to know that I have just received my full deposit back after sucessfully issuing court proceedings against the bank who issued the bank guarantee on behalf of Taray on a phase 1 property. Maria de Castro's lawfirm Costaluz Lawyers acted on my behalf after they had a copy of my contract and advised that the specified deadline in the contract had passed without the licence of first occupation being in place. A year after telling Taray that I would be cancelling the contract due to this breach, the case was won in court and the full refund returned, plus some legal fees and legal interest.

Anyone who thinks they may be in the same position should contact a reputable solicitor such as Maria (who can be found on the general forums of Eye On Spain) who can advise them if they have a similar case for full refund.

Lidy

Well done Lidy

Thats great news.

Laserman