DIYbanter - View Single Post

(Jass) writes:
THey have told me their contract from the bank who has approved them
the loan has made the 3 year contract. If they do sell the house, they
will face a fine of couple of thousands.

In other words, their mortgage has an early prepayment penalty, a
relatively common thing, especially in cases where the buyer makes
little or no down-payment on the house.

In other words, it isn't true, as you asserted in your initial
posting, that they "can't sell the house for the next 3 years." They
would merely have to pay the prepayment penalty if they did so.

Guess what, this may be one of the (numerous) prices they will have to
pay for doing something stupid.

They moved to have a
better life, so for them to exaggerate the house condition is
ridiculous.

What does this mean? It makes no sense.

Now all the way is to give the house back.

They can't "give the house back." They bought a house. There is no
evidence that the seller misrepresented the house or concealed
information, so there is no grounds on which to overturn the sale.

An idea that I don't think anyone has suggested yet in this thread is
that they could simply walk away from the house, stop making their
mortgage payments, and let the bank foreclose on the mortgage, take
possession of the house, and sell it. But this'll screw up their
credit rating pretty thoroughly for quite a few years, during which
they'll have difficulty getting any other credit at reasonable rates,
including a mortgage on a different house.

Whether they should consider this solution, or any other, would be
best discussed with a lawyer, not with a Usenet newsgroup, as you've
already been told several times.