Santafe mortgaged properties!

Navek



Joined: 01/06/2008
Posts: 2656

Message Posted:
15/11/2008 10:47

This is posted for a Friend

SANTAFE MORTGAGED PROPERTIES

by stingray on Sat Nov 15, 2008 10:43 am



http://trncvillaowners.phpbb3now.com/viewtopic.php?f=4&t=5016



we have been living in our villa for 2 years now,last year we found out that our builders 'santafe'had taken out a mortgage on my villa and my neighbours villa we found out the amount borrowed was 100k.we have a combined total of 11k held back for snagging which still has not been completed.despite promises to 'move' this mortgage,they havent.

do you think we have any chance that the 100k loan will be payed back as we only have 11k to offer in return ,has anyone any ideas what to do?

brian24001


Joined: 23/03/2008
Posts: 606

Message Posted:
15/11/2008 11:19

I fear that in time, the phrase that they, and many other will be looking for rhymes with 'clucking bell'

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
15/11/2008 11:31

The greedy B***ards would probably remove the mortgage if you approach it the right way for £10,0000. The thing is ask for evidence that they have done this first and then dont hand over the money--then let them try and sue you .

Corinium


Joined: 23/03/2008
Posts: 58

Message Posted:
15/11/2008 11:48

I visited Santa Fe on my last trip over and spoke to one of the directors. He stated that builders make most of their profits at the final payment stage. Santa Fe was owed a fortune by people refusing to make the final payment due to 'snagging' problems. ie: loose bricks on driveways, broken lights or even worse rubble not being cleared away!!! In many cases people were simply looking for any reason not to make the final payment even though they were living in the property and somehow 'managing to put up with these terrible problems'



He stated that if all these final payments were made, then a large part of these mortgages could be lifted.



Whilst I agree that taking out a mortgage on someone else's property is wholly unethical, whilst people refrain from making these payments what option do they have of generating cash to continue to trade.



They are now considering not releasing any keys to properties until all payments and snagging problems are resolved - as in Britain.

the butler


Joined: 22/06/2007
Posts: 1958

Message Posted:
15/11/2008 12:10

Hi Navek,



I sympathise with your friend but £100.000 is small fry to 1.7million. which is the mortgage taken out on our properties, Our developer had all the monies in full so had no excuse for doing this. There is nothing we can do but hope that he pays it off eventually. I am sure that we are not the only people that find their homes are mortgaged but like your friend alot of people are having sleepless nights worrying if their investment will ever truly be theirs.



The Butler

rocky


Joined: 17/10/2007
Posts: 1749

Message Posted:
15/11/2008 16:52

the same thing happened in Spain in the late eighties builders went bust after accepting stage payments and the only way the banks would let the purchasers have the properties was for the purchasers to pay off the builders debts. I feared the same in NC and was told by my lawyer (NM) that they only check on exchange of contracts if there are any mortgages over the plot property or development and they cannot do it later. So its a big risk in the day of a credit crisis. Praps the developers should declare they have no mortgages on the properties before we make the last two stage payments. Or confirm that at each stage payments they have reduced any debt on the plot/development. Come clean you developers this is an old trick. We should name and shame those who cannot make such a declaration.

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
15/11/2008 17:28

Stupid question, are there not any credit agencies we can go to in the TRNC like we do in UK to check this out?

bradus


Joined: 25/02/2007
Posts: 2641

Message Posted:
15/11/2008 17:43

Not sure but would the only way round this be to take your own contract, which you should have at deposit stage, and have it stamped at the land registry straight away? At this early stage you would have handed over very little money and most people are alerted to the fact that the land is mortgaged on their visit to the land registry. It is relying on advocates who do not do this till the end of the process, when most of the money has been paid upfront, that keeps the buyers in the dark.

Surely there must be something than can be done about this? I feel that with the building industry in decline, many will loose their homes or be left to pay the banks money that the builder owes and through no fault of their own.

the butler


Joined: 22/06/2007
Posts: 1958

Message Posted:
15/11/2008 18:03

Hi Bradus,



This would be a solution if you were buying a property now but when we bought ours there was no mortgage on it. The developer took out the mortgage less than 2 months before you could register our property. We weren't told that this had happened, we thought because we had paid all our money and there wasn't a mortgage on the land when we bought, we were safe. Nothing is safe in the TRNC and until this country wakes up and changes the laws, people will continue to suffer sleepless nights and heartbreak.



The Butler

bradus


Joined: 25/02/2007
Posts: 2641

Message Posted:
15/11/2008 18:47

Hi the butler,



Yes for most that bought pre 2007 there was no protection against this happening. What is surprising is how many people have found out their land is mortgaged. Message 4 states that this builders picks up more money at the end of the development, but this is not usually the case as stage payments are designed so that the biggest bulk of money is paid during the early stages and the last payment is usually the smallest. Not releasing keys as well as not paying until all snagging is done seem sensible options for both parties.

mitsi


Joined: 14/08/2008
Posts: 345

Message Posted:
15/11/2008 18:56

Well I must say that I reported rumours about Santa Fe having difficulties and as usual THERE IS NO SMOKE WITHOUT FIRE. See pg 6 Cyprus today and Mr. Snowball's statement ( what an unfortunate name).

bradus


Joined: 25/02/2007
Posts: 2641

Message Posted:
15/11/2008 19:03

Mitsi,



can you tell us what was said as some of us do not have access to Cyprus Today.

Hector


Joined: 26/08/2008
Posts: 2352

Message Posted:
15/11/2008 19:05

I can't agree that Sante Fe taking out a huge mortgage(s) on almost finished properties is ok. Of course it isn't right. It's bad business practice and fraud basically. They are looking for an excuse and that will do. If Sante Fe actually carried out the snagging they would get the final payments. That isn't rocket science is it? Sounds like Sante Fe are struggling financially. What's to stop the Directors suddenly taking the money and disappearing?

neilhodgin


Joined: 28/10/2008
Posts: 256

Message Posted:
16/11/2008 12:31

can you please clarify what was said in the cyprus today concerning sante fe and john snowball?? come on mitsi you can't leave it like that!!!

Navek



Joined: 01/06/2008
Posts: 2656

Message Posted:
16/11/2008 13:28

Hi neilhodgin



Have scanned and emailed articles to you.



Navek

Navek



Joined: 01/06/2008
Posts: 2656

Message Posted:
16/11/2008 13:35

Hi bradus



Have scanned and emailed articles to you.





Navek

bradus


Joined: 25/02/2007
Posts: 2641

Message Posted:
16/11/2008 14:19

Thanks Navek. Much appreciated.

neilhodgin


Joined: 28/10/2008
Posts: 256

Message Posted:
16/11/2008 18:49

Hi ,Navek



thank you for the article , sorry to hear your situation with sante fe . Hope you can find a way forward with the situation .

batterboy58



Joined: 20/04/2008
Posts: 442

Message Posted:
16/11/2008 18:55

Santa Fe were the contractors for Seaterra Bay and a complete mess they left us to deal with. Serious snagging issues still remain, sewer pipes routed into the ground instead of the sewer causing problems that remain undiscovered until a few weeks of use. Damp problems throughout the site, uneven pavements, the list is endless. Seaterra had to step in and remove them from the site in the later stages then had to pay the workers because Santa Fe hadn't paid them for months. So it is believable that they are in financial difficulties.

To Seaterras credit they are now making attempts to address all these problems in order to make the Bay the flagship site of their company that it was intended to be.



Personally I wouldn't touch Santa Fe with a bargepole, but this applies to a lot of builders in NC, the best advice is to do as much research as possible and learn from the mistakes of others.

Littlenige



Joined: 24/12/2006
Posts: 3594

Message Posted:
16/11/2008 19:07

ANY ONE COMMENTING ON THIS THREAD BETTER WATCH THEIR LEGS thet shoot people out here

mitsi


Joined: 14/08/2008
Posts: 345

Message Posted:
16/11/2008 19:09

It reads : John Snowball,of Girne based Santa Fe Construction, accepted that the troubled company had let clients down by not completing building projects on time, " As a company we have made mistakes but we are fixing them", he said. However, he added that "people have to realise that they are not going to get British standards but they will get the best standards here".

Hector


Joined: 26/08/2008
Posts: 2352

Message Posted:
16/11/2008 19:10

Littlenige standing up for freedom of speech and defiant in the face of injustice?

batterboy58



Joined: 20/04/2008
Posts: 442

Message Posted:
16/11/2008 20:10

Littlenige



From what I've heard it is Santa Fe people that get shot

karakum5c



Joined: 18/03/2008
Posts: 1021

Message Posted:
16/11/2008 20:41

In last 10 years over 3 BILLION US DOLLARS has been spent on property in the TRNC , sticky fingers is bound to happen now and again. All "for a fist full of dollars" better strap on your pistol littlenige.

Littlenige



Joined: 24/12/2006
Posts: 3594

Message Posted:
16/11/2008 20:43

come on punk



MAKE MY DAY

scotslassie


Joined: 23/01/2008
Posts: 26

Message Posted:
16/11/2008 22:06

I believe that the owners of Escape II have set up some sort of system where they pay the last stage payment to a third party (Solicitor) who holds it in escrow until Santa Fe have completed outstanding work. I also think there is some deadline towards the end of November for Santa Fe to complete payments on a bank lmortgate loan so I think the success of this system was critical. Having seen that Escape 1 is practically completed and no-one has moved in, I am sure it is quite worrying for the purchases not to be able to move in as Santa Fe need to complete payments to get the water and electricity connected on Escape 1. Having so many properties just laying around for months completed but not completely paid for must be a warning bell of Santa Fe's problems.

Nasist60


Joined: 06/03/2008
Posts: 35

Message Posted:
16/11/2008 23:43

Navek



Please could you also mail me the article. Thanks

Navek



Joined: 01/06/2008
Posts: 2656

Message Posted:
16/11/2008 23:53

Hi Nasist60,



Have scanned and emailed articles to you.





Navek

cyprusishome


Joined: 31/03/2007
Posts: 2381

Message Posted:
17/11/2008 00:34

karakum5c msg 3 & 7



As in other posts on other threads you show a complete naive attitude to TRNC.



Or maybe you are just posting to cause hassle amongst the genuine posters with genuine problems.



It really serves no useful purpose to people with problems they are trying to get help with when you post comments that you yourself know are desigened to cause upset.

PtePike



Joined: 20/05/2008
Posts: 2334

Message Posted:
18/11/2008 03:28

CiH msg 29,



Sadly I think it is all some are capable of, given their knowledge and credibility vacuum.