We’re dealing with a remortgage case where the managing agents are trying their best to default the leases of our clients.
There are some minor grounds to do so, but this has been exaggerated and made into a personal matter.
They have tried their best to cause as much trouble and havoc as they can, going to the extent of writing to our clients’ current lender claiming the security they had based their large loan on was about to be defaulted.
Hence the reason they approached us for a refinance. Given the background we needed a lender who would look at this in context, and able to take a pragmatic view on the actual issue, and able to separate the personal issues from the actual issues.
Often when one is dealing with lenders, you’re dealing with an underling, who refers the matter to the lender’s lawyers. The lender’s lawyer’s objective will be to cover themselves from a potential future case, not to look at this issue commercially and in context.
Lenders typically cover themselves on two fronts, the lawyer and the valuer.
One can predict the blocks to this case even before submission.
The lawyers we do not have any control over, however, we did manage to get our nominated valuer to do the valuation for the lender. They have done a valuation previously and we have a long term relationship with them. They took the time to put the issue into context on the valuation report by attaching a cost to the remedial works, which are nominal. The valuation report alone could have stopped the case from getting off the ground.
Now it was only the lawyer’s objections to deal with. Predictably their stance was to resolve the situation before they could proceed.
We have a connection to the decision maker who sits at the top of the firm. Ordinarily this case would have been dismissed by the case manager.
We had an impression on the likely issues, hence chose a lender whom we had a good relationship with.
The case is still in motion, we ultimately have no control over the outcome. All we can do is to get a proper grip on the case, and try to view it as the lender would, and try and present it in the best possible manner. This is the actual role of a broker, to fight in the corner of the client.
Once this case has crossed the line – finger crossed, the clients will be looking to take the managing agents to court, as they feel they have stepped over the line of their authority several times, and this whole issue has been personal from the start and this can be evidenced.
I also have a lender in the background who will act as an insurance policy should this case not proceed with the current lender, but we are fighting against time.