How Does Right to Buy Mortgage Mis-selling Happen?
When it comes to renting the costs can be horrendous! With landlords looking to cover the cost of the mortgage, maintenance, landlords insurance and make a profit on top of all this, they can end up charging tenants a great deal.
It is for reasons such as this that the right to buy scheme was so appealing to many council house tenants. Rather than paying a heavy monthly rent and getting nothing long term back for it, they could choose to rent a council property and then eventually buy it at a discounted rate.
Under the right to buy scheme, council house tenants could buy their home at a reduced rate, with a discount of between 32%-60%. However, although on the surface this scheme was very appealing, many of the people who took part were left open to right to buy mortgage mis-selling.
The way in which right to buy mortgage mis-selling would happen would usually be to do with the mortgage brokers. Upon seeing the discounted selling prices, many mortgage brokers would add on large and excessive fees for arranging the mortgage. The tenants would then be left with a huge and unnecessary bill to pay. Solicitors were also known for doing similar things, for example they would falsify home improvement quotes to secure a larger mortgage which would then cover their large fees.
If you bought your home under the right to buy scheme and you remember having to pay a large fee to a mortgage broker or solicitor, you should talk to Cloud 9 Claims to see if you are entitled to any compensation.