Not Happy - Help

Posted this inside another thread but if anyone has any experience of this please share.

I live and work in Dubai and bought a property in March 2008 and went to get a mortgage at Mashreq bank. I bought a 2 bed property in Wadi Tower, City of Arabia, Dubai for 1.5m AED - a good price today.

Got my approval, paid my 10% deposit and set all in place with Mashreq.

I waited and waited for the developer to send the sales and purchase agreement so the mortgage could commence.

Despite endless calls and emails i finally got it in August.

My approval at Mashreq was 90 days. This had expired.

I started again in September - updated paperwork etc. They have messed around asking for endless copies of stuff they already have had. The worst of that is that i actually bank with these people and they kept asking for salary certificates etc - just look in the account you fools!!!

Worse - i am moving jobs now and may have to work there a few months before approval.

Any way - in the meantime i get emails from the developer IMG asking for payment as per the payment plan. This really got me going as the first of these arrived 5 days after the 5 month delayed contract!!!!!

So - can IMG cancel on me for late payment before i get the mortage sorted. If they had sent me simple paperwork in a couple of weeks they would have already had 300,000aed paid on top of the deposit.

Can they rob me and keep my deposit and sell it for a higher price now?

Is there any legal framework to appeal through?

 

First port of call must be your solicitor.

 

We reserved our Villa from Dubai Properties with a 10% deposit in September 2005.

We didn't receive a receipt for this payment until December 2006 and didn't receive our SPA for another 6 months.

To their credit they didn't ask for any more payments until they sent us the SPA and then the payments had to be made pretty quickly.

 

know one?

Know a good one. One that does not fall into the useless, late and not bothered category of most dubai companies.

 

hear you

Hear you monsi.

It is a shame that this developer does not care that he has not started building - just wants the money.

Your sounds like a reasonable man at least.

These jokers i am dealing with want a third of the price paid by now and have done squat on site. It is sand.

And i thought there was a law against this.

I fully expect to be cheated. Dubai real estate is a real let down.

 

Legally speaking IMG can cancel the agreement on breach of contract and not receiving payments on time. Some developers look for such opportunities. But if the delay is from their side, they should not do it

I hope you have sent them written reminders which hold good when you argue your case.

By getting an attorney in, you will be getting them on the wrong side. Time to sit across the table and reason out with them. It has helped me on numerous occassions and don't see why it should not work for you.

In fact I will be visiting one of the developers with whom I have invested to request him to defer my payments. With another developer I succeeded in postponing the 10% payment by a year and coupled this with the payment I have to do with hand over.

Dialogue helps especially in this market. Here the developers have an upper hand and the legal framework even though spoken about is not in place.

A good chat with IMG should be your next move.

Good luck.

Regards

Roshan

 

I booked a property at Motorcity in 2006 and to date I have not received my sales and purchase agreement.

My only proof is the booking form and payment receipts. The big difference is that the developer Union properties are prime developers and considered good and will not cheat you.

Regards

Roshan

 

I think Dubai Properties is a 'master developer', but it didn't help us feel more comfortable with the situation.

The Dubai market was just taking off at that time, there didn't seem much protection for foreign owners and DP were not responding to emails or providing any information as to why they were not issuing a simple receipt?

I think because we are in the UK and we were not able to fly across and talk to these people we lost a lot of sleep worrying about losing thousands of pounds of our life savings.