Query on right to buy application

[jackieandwayne]

I hope I am posting in the right place.

 

Wayne has been the sole tenant of this little flat for 18 years. We are not married, but do live together. I have never been on the tenancy. I am on the electoral roll (the bit that is private) and the Council Tax know I am here because Wayne had to write to them back along to give up his single person occupancy discount.

 

Wayne applied to buy his flat back in February, and an energy surveyor has already been. He had a letter to tell him that the District Valuer will contact him to make an appointment. RTB2 admitting his Right to Buy has not yet been received.

 

He has been to a broker and he will arrange a mortgage for Wayne, even though Wayne has two small debts that have been registered.

 

These are $501 to Halifax Building Society (now through a debt collection agency). He closed his account in 2007 and unbeknown to him they added bank charges. Over the years they have added up to this amount. Wayne refuses to pay this. They entered a note on his credit file in 2012! And about 9 years ago he had a load from Provident. He handed over the payments regularly, but rarely saw his book. It was always "being updated by Head Office". Then the agent left and Provident came knocking after the money that she had pocketed! Wayne went mad and actually went and had a go at the thief at her other job in a shop, in front of her manager. He never heard from them again, but then when he had his credit check done by the broker, both came up,.

 

Last Monday Wayne was at work, there was a hammering at the door. I opened the door to a burly great bloke and an official looking lady. They asked where Wayne was and I told them he was at work. The man said they were from the Council´s investigation team and they were investigating fraud? I told them they needed to speak to Wayne as it was nothing to do with me. Wayne duly spoke to them, and the lady told him that every time an RTB application was received, they had to investigate the applicant to help prevent fraud. She arranged to call back on Friday, today.

 

She turned up with the same gentleman as before. The first thing the man said was "we have credit checked you and found two debts, and this may prevent your application to buy from being approved!", Wayne looked at me in surprise, so I simply said the mortgage broker said this wasn´t a problem, and I cannot see how this can affect his Right to Buy and in any case Wayne has argued these two debts and he will Tell you about them. The man accused me of being aggressive! Anyway we got past that bit and he denied that he said this!

 

He was asked a series of questions, showed his passport as ID, had his photo taken. The last question before they left, was "have you ever benefitted from the RTB discount before?" Wayne answered honestly "no". The man said "if you are absolutely sure that you have answered honestly ... pause... then please sign this form". Wayne signed.

 

Now, in 1984 I bought my Council flat from this Council under the RTB scheme. Years down the line I sold it and bought another property with my then partner. We split up and the property was sold. Shortly after that in 2006 I met Wayne and we´ve been an item ever since. (I can´t say "girlfriend and "boyfriend" I am 54 and it just doesn´´t sound right!).

 

I am not anything to do with this application, it´s Wayne´s. We are not married and like anyone else we could split up in the future. Without wanting to sound mercenary, I have an elderly aunt/godmother with a house in the New Forest who has not long to go and I am a beneficiary of her will, and I want to buy my own place when the time comes. Therefore I will not benefit from this, Wayne has a much younger brother with learning difficulties and he wants to leave it to him.

 

I am very worried that they are going to stop his RTB because I have already had an RTB before. I´m pretty certain they can´t because we are not married. The other thing was they asked NOK - well, his mother is bonkers, as is his younger brother and his older brother Albert, he rarely sees. So he said me. I´ve told him to ring them and get that changed to Albert.

 

Sorry for long post, but lots went on today! Can anyone see any pit falls here? This is just a case of a long term tenant wanting to exercise his RTB. Can they really stop this because his "girlfriend" had RTB before?

[stu007]

Couple of likes that may be of interest:

 

Chartered Institute of Housing

https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=0ahUKEwij4_zA1NXNAhXCuB4KHZnCBIUQFggeMAA&url=http%3A%2F%2Fwww.cih.org%2Fresources%2FPDF%2FPolicy%2520free%2520download%2520pdfs%2FHow%2520to%2520prevent%2520right%2520to%2520buy%2520and%2520right%2520to%2520aquire%2520fraud.pdf&usg=AFQjCNGz84GlDW5xguIPEHwKVU3M9z3AUQ

(Please be aware the above link is an automatic PDF Download)

 

GOV.UK

supporting information 4 (supporting information - Right to Buy Toolkit)

https://data.gov.uk/data/contracts-finder-archive/download/1305385/70e0f357-0084-449f-a92b-e3971cfdb524

(Please be aware the above link is an automatic PDF Download)

 

Right to Buy: summary booklet

https://www.gov.uk/government/publications/your-right-to-buy-your-home-summary--2

[jackieandwayne]

Thank you Stuart. Well it looks like we do have a problem. Wayne received a letter from these Fraud people yesterday telling him that if he wished to have the right to buy, he has to deal with these two small debts and provide them with full details of the debts.

 

We were a bit confused because on checkING through the paperwork he found that they have actually admitted his right to buy on form RTB2.

 

Wayne rang the Council today,and they say that they are going to decline his right to buy on the grounds of these two debts.

 

Is this right? The mortgage broker he is going to use is not bothered about these two debts. The Council told Wayne that this is all part of fraud prevention. How can Wayne having 2 smaĺl debts in anyway constitute a fraud, and are the Council acting correctlý?

 

Many thanks for reading.

[stu007]

Hi jackieandwayne

 

Hope your keeping well anyway.

 

Do any of the letters contain any references to Housing Act etc.? (this would be useful to get better advice, if they don't then question the council and ask them to clarify it)

 

Have you asked the Council for a Copy of their Right to Buy Policy? (you need to know if they are following their own policy)

 

I am sure others will be along to give you advice

[citizenB]

Is it of relevance to the Council - after all, Wayne isn't obtaining a mortgage from them but a bank or building society and if they are happy to proceed and lend you the money then I cant see that it is any of the Council's business?

[jackieandwayne]

I have read through the links that Stu provided, and they are using para 11 Sch 5 Hsg Act 1985. I am going to

read this bit of the act in a minute, but so far I have seen nothing that would refer to small debts like this only bankruptcy which doesn't apply.

 

However, there is another section 125 to do with delay. It seems that if the Council fail to issue RTB2 either admitting or refusing your right to buy within 4 weeks of your application,thereby causing unnecessary delay, you can start this procedure and it involves them then having to deduct all the extra rent you had to pay from the price of the property.

 

Well,they issued RTB2 on 2.6.2016, and this as within the 4 weeks. However have they coCked up beçause they have not issued us a refusal notice within the 4 weeks?

 

 

Waynè has spoken to them yesterday, and they just say they are going to issue a letter refusing his RTB.

 

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Any help at this stage would be great. We are fed up with this council, first we are accused of drug use, and now this. Good job we are not paranoid or perhaps we should be.

[citizenB]

Have you tried to involve your Local MP ?

[jackieandwayne]

I was hoping that we could just put the Council to rights. We will do if we have to but we just need to make sure we are in the right here first. Poor old Wayne, this has really upset him, all he wants to do is buy the home hehas lived in for the best part of 20 years,

[citizenB]

Is this an LA that whilst it pays lip service to the "Right to Buy", does everything in its power to dissuade or prevent people from doing so ?

[jackieandwayne]

WELL CB wayne got very cross with them on the phone and told them they were doing this because they w

were slowly being asset stripped.

 

 

IT CAN only be that they are trying to protect their stock. But Wayne genuinely feels he has been bullied in a way, he is really upset about this.

 

I really don't, know what to do next.

[citizenB]

Perhaps you should escalate your complaint to the top of the department. Find out exactly what their policy is - perhaps try and find out from other LA's what their policy is on this type of thing.

[mariner51]

Many HA's now take a keen interest in RTB applications that have not been progressed, to avoid money-laundering or deve lopers fronting purchase price.

Wayne can expect questions about his Mort Lender/broker, esp since Broker did not think his debts, pres CCJs would preclude him from obtainining a Mortgage.

AIUI RTB discount can be reduced to zero, but unlikely to be withdrawn completely.

I doubt your earlier, unrelated RTB will have any relevance.

IMO RTB depletes the Social Housing stock avail to the less fortunate and benefits those that can source the discounted purchase price.

[jackieandwayne]

We know now it has nothing to do with my rtb over 30 years ago.

 

We had an opportunity to speak with a London based conveyancer last night, a friend of a friend. She said that in 80,s there was an awful problem with people buying under RTB and then being unable to make their payments through the recession, and the council having to house them again. Also that the council's rarely if ever actually Checked to see who was behind the application, just took it as read. On into the 90,s and they had to be more shrewd because of money laundering g etc.

 

She also said that the council are building a profile of wayne. Now this is where I struggle, because surely to build a proper and accurate

Profile of some one you have to have the full picture. They have only questioned him about the two court entries, but not about his income or all the savings he has.

 

She said also that because Wayne said he had no credit agreements on the form, they might try to say he has made a fraudulent application. I heard his answer them when asked if he had any credit agreement he said "no, I don't have any HP, no credit cards, even the car was paid for outright". SO this is his understanding of credit agreement.

 

She has told us that the Halifax court entry is time barred and that this can easily be removed. The other one should now be disputed. I will get on with the court things, as regardless of what is going on they should be sorted out.

 

But nowhere can I find anything to read which sets all this out and explains what our rights are when things like this happen? It seems this could happen to anyone and we have been quite frightened by it, so all of this might help others out there. Is it right that someone exercising a right should be made to feel frightened at the reaction they get from the other side?

 

And thank you for input Mariner. Wayne has ,worked hard to turn this place from a shell into a home over the years. He has also worked very hard to save enough money to go through with this purchase. there is no way he could buy a property on the market here in Poole. This is his home and he wishes to make that permanent. I agree it depletes social housing stock, but then the gov need to do something about that. this is about Wayne exercising g his right to buy and not the politics of it.

 

 

and if from now on everytime someone applies to buy their home, they are going to have to be prepared to being treated like a fraudster, then there needs to be information on that somewhere.

 

HELP!! Thanks for reading.