Waiver/title deeds on resale

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Martin
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Joined: 13 Oct 2015 17:04

Waiver/title deeds on resale

Post by Martin » 13 Oct 2015 23:12

Hi, I've made an offer on a semi detached property, approximately 6 years old and a resale - owner is English and has no mortgage (he's going back to UK). I believe there was an issue with the developer having debt on the land but the present owner has acquired a waiver on the property although he hasn't got the title deeds yet. This is my first purchase in Cyprus so just want to make sure everything is OK and that we will get the title deeds - does the waiver mean the title deeds will be easier to get?



Nigel Howarth
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Re: Waiver/title deeds on resale

Post by Nigel Howarth » 14 Oct 2015 01:57

Hi Martin and welcome to the forum.

Although the purchaser has acquired a waiver (presumably from a bank) for unpaid debts/mortgages of the developer, that waiver will NOT be transferred to yourself. The bank may or may not issue you with a waiver, but it's under no obligation to do so.

Maybe your lawyer can progress this with the bank on your behalf (or you could do it yourself)?

What the vendor should be doing is applying for the Title Deeds to the property using a new law that was enacted a few weeks ago - see http://www.news.cyprus-property-buyers. ... id=0096019

Regards,


Nigel Howarth
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Martin
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Re: Waiver/title deeds on resale

Post by Martin » 14 Oct 2015 16:47

Thanks for your prompt reply, Nigel. I've been informed of the following and wonder if you could advise me if this is correct please:

Title deeds will not be issued before completion. You are buying by virtue of an assignment agreement which assigns the rights of the first buyer to you so that title deeds are issued into your name and not his. The property has to be in your name first before they can be issued.

The assignment fees will be confirmed to you. As the Solicitor will have to get a copy of the original contract for valuation. The assignment fee will be per €1,000 so €179,000 divide by 1,000 and apply 5% which is €895 plus vat .

You are protected because the assignment is dated before any memos were put on the land and you will have a waiver in addition to state the bank as no claim to your property.

Once in your name your Solicitor applies for your individual title deed. This is now guaranteed by our law, that’s why the Solicitor goes to the court to apply for you. In previous years you would have to wait for the whole project to be finished. This is not the case now. Individuals can apply separately.

Please don’t worry because if the process cannot be followed in anyway then the Solicitor will advise us. This procedure has been followed many times.

Regards
Martin



Martin
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Joined: 13 Oct 2015 17:04

Re: Waiver/title deeds on resale

Post by Martin » 16 Oct 2015 10:09

Hi Nigel, we're really keen to progress with the purchase but have a worry about the waiver/assignment. We have to make a deposit to the agents so they can take it off the market, are you able to advise me about the assignment agreement please before we make the payment? Thanks



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Re: Waiver/title deeds on resale

Post by Nigel Howarth » 16 Oct 2015 12:18

Hi Martin

I'm sure you will have to speak with the bank about the waiver. This was issued to the original purchaser and forms no part of the sale agreement that is lodged with the Land Registry.

But what you could do once you have bought is to apply for the Title Deed to be issued - see http://www.news.cyprus-property-buyers. ... id=0096019 . The Land Registry should then move and of the developers unpaid mortgages onto other unsold properties that he owns.

Is it the agent who has advised you - or your lawyer?

Regards,


Nigel Howarth
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Martin
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Re: Waiver/title deeds on resale

Post by Martin » 16 Oct 2015 12:32

Thanks, Nigel. The agent has a copy of the waiver, which they gave to our lawyers. We believe that the outstanding debt of the developers is already on two properties which are for sale at a much higher price than the property we are buying even though they are exactly the same.



Nigel Howarth
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Re: Waiver/title deeds on resale

Post by Nigel Howarth » 16 Oct 2015 12:36

Hi Martin,

I suggest that you confirm the situation with your lawyer.

Regards,


Nigel Howarth
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emgee
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Joined: 12 May 2008 21:32

Re: Waiver/title deeds on resale

Post by emgee » 17 Oct 2015 15:58

Martin

Buy somewhere else.

Too many problems here.

Alan



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