Soldato
isnt an offer subject to mortgage and valuation being approved?
That is what we say on all our offers that its subject to mortgage and valuation.
The nervous wait to exchange....
- Thread starter noj
- Start date
That is what we say on all our offers that its subject to mortgage and valuation.
An offer can be subject to whatever the hell it wants to be (it isn't legally binding). You offered £xxxk and then tried to reduce it to £xxxk-£30k. They declined your "revised" offer. Alternatively you could have paid the £30k in "cash" (i.e. above the line on the mortgage doc/LTV impacting) and continued with your purchase.
Yes, but surely you knew that you would have to fund the extra you offered in cash?
You can’t offer £200k subject to mortgage, on a £150k house and not expect to find that £50k yourself.
I’d probably consider pulling out as you sound a nightmare, especially if a close offer is on the table from someone else.
Soldato
Well if thats true then lesson learned.
THe thing i, a downvalue could happen even on the original asking price. So how can we best place avoid this then because even offering asking price and the lender then valuating it and say nope thats worth 20k less or so, then what?
We probably could have paid that 30k difference but before we even entertained that idea, we wanted to first see if they woud be willing to negotiate.
Is it wrong to negotiate a offer accepted?
What if we did a surveyor level 3 and it came with some glaring issues that wasnt mentioned before? Cant downvalue a offer either?
Anyways i got more info as to why the seller pulled out and apparently the sellers dad only has 3 months to live and decided not to sell the property for now..
The EA even said "what if the i the buyer agreed to the original offer?" and the seller said no.
It can work the way you played it, and often does - but not at this moment in a seller's market. Also as ahlekcz said (albeit not very eloquently) you may have come across as a bit of a liability. It is a long drawn out process that needs steady hands, and some EAs will smell and rat and suggest they go with another, potentially lower offer.
The market is set by how much people are willing to pay. It is as simple as that. If their mechanism to fund their willingness isn't aligned, then that's on them. There'll be another buyer or they'll have to lower their win price.
It is a bit different in Scotland to be fair, we know the valuation before we bid. I paid around 12% above the valuation and knew I had to fund that. If my valuation was lower than what the selling valuation was then I may have revised but I knew that I had to fund that 12% myself. I assume the offers over price is pretty close to the valuation in England so I’d go in accepting and expecting I’d had to fund the extra. I’d take it as a brucey bonus if the valuation went up.
Soldato
Negotiating after the fact will always carry some degree of risk. Mortgage valuation will play a part, an in-depth survey could throw up expensive work required as well, I don't think you should never negotiate based on these factors, but if you do I think it's best to be prepared for the eventuality the seller could walk away. Until exchange of contracts nothing is legally binding.
A lot of people can't afford the additional after a down-valuation by a surveyor from the officer price, but I suppose the difference here might be the advertised/expected price and the offer made, for example if I list a house for £300K and EA goes "yep £300K is about right" and then a buyer comes in and offers £330K to secure the deal, then I'd not be too happy about them coming back to me later and asking for £300K instead because their lender values it at that price. I'd be expecting the person offering above list price to realise they'd potentially need to fund that gap.
On the other hand, if someone offers £300K and the valuation came back £270K, then at least they could have not foreseen that as easily, I'd probably be more understanding in that scenario.
A lot of people can't afford the additional after a down-valuation by a surveyor from the officer price, but I suppose the difference here might be the advertised/expected price and the offer made, for example if I list a house for £300K and EA goes "yep £300K is about right" and then a buyer comes in and offers £330K to secure the deal, then I'd not be too happy about them coming back to me later and asking for £300K instead because their lender values it at that price. I'd be expecting the person offering above list price to realise they'd potentially need to fund that gap.
On the other hand, if someone offers £300K and the valuation came back £270K, then at least they could have not foreseen that as easily, I'd probably be more understanding in that scenario.
Just got our mortgage offer through, so at least I don't look like a right chump tempting fate like that. ^^^
That's one more hurdle jumped.
Man of Honour
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- 21 Nov 2004
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So our chain is ‘ready to exchange end of this week early next and THEN we’ll discuss a completion date that would TYPICALLY be 1-2 weeks after’. Hell no, we aren’t exchanging **** til they give us a date otherwise we’re completely over a barrel. Unless someone knows something I don’t. They’re desperate to tie us in and then we’ll probably complete in September. Hope I’m wrong. I’m so tired of all this I’d be pulling the plug if it wasn’t such a good investment or something if there were alternatives.
That or it’s poorly worded and their saying the whole chain is ready to exchange and discuss a date at the same time.
That or it’s poorly worded and their saying the whole chain is ready to exchange and discuss a date at the same time.
In the past, we've discussed prefered completion dates as part of the initial questionnaire — like "we're on Holiday between X and Y so please can we not complete then" sort of thing.
Usually, once you've exchanged the gap to completion is pretty short — a week or two is fairly typical.
Soldato
Surely you can't exchange without an agreed completion date? Because the contracts you exchange include a completion date which is errr what the contract hangs on? No?
Certainly if you fail to complete on the date agreed in the contract you are in for a nasty time legally.
Certainly if you fail to complete on the date agreed in the contract you are in for a nasty time legally.
Man of Honour
- Joined
- 21 Nov 2004
- Posts
- 46,245
That’s my understanding and reading between the lines hope they mean it’ll all be discussed together before exchanging. Unfortunately the sellers solicitors are painfully slow, so I doubt the estate agents ‘roadmap’. I’ve asked for clarification. It would be great if our solicitor would pipe up at this point.
I think I’m more frustrated that we’re being held hostage to a chain that when we offered was sold as ‘no chain’ and ‘we’re moving out in June’.
Well after a huge flurry of activity yesterday we got the call to say we’ve exchanged and will be completing on Friday! This has been a slog. Me and my fiancée offered on our first house in June last year and have since missed out on several properties, including two failed purchases (almost to completion then fell through on both).
Timeline for our exchange:
13th Jan: Viewed, offered, and offer accepted.
5th July: Exchanged
8th July: Completion
To make that timeline more depressing, the house is empty and we are chain-free buyers living with parents!
But it’s all done now, and we’ve started moving all our boxes out of the loft and garage to get ready to move.
Timeline for our exchange:
13th Jan: Viewed, offered, and offer accepted.
5th July: Exchanged
8th July: Completion
To make that timeline more depressing, the house is empty and we are chain-free buyers living with parents!
But it’s all done now, and we’ve started moving all our boxes out of the loft and garage to get ready to move.
Soldato
It took pretty much a year for us to complete our purchase from the day we viewed house to day we completed. Everyone just seemed so useless and we ended up exchanging and completing on the same day, which was the last day of our mortgage offer after extending it twice! Mega stressful time! The house was also empty!
Had the viewings yesterday, EA said all feedback was mostly positive bar a few couples who came in and didn't like the open plan layout (I do wonder why people bother viewing houses when you can quite clearly see the open plan layout on floor plans, pictures and video walk throughs).
A couple of the viewers noted a couple of minor jobs that needed doing like fascias outside and a spot of redecorating inside in one or two rooms but nothing major and it is priced accordingly (especially against others in the area).
She said about 4 verbally said they were going to make offers when they were viewing so she was going to do her ring-arounds this morning and then let me know what offers are on the table.
Tbh anything asking price or above i'm happy with but will be keen to see what sort of offers come in.
Soo....
We agreed a low ball offer from our buyer with specific conditions.
He move fast (I paid for the searches from the last buyer) - He's been useless
We Exchange prior to the 1 July - This didn't happen
We advised from the outset that if he wanted a survey it was done ASAP, he appears to have contacted the survey company on 29th June
We pushed our reservation the new build as he said he would go with whatever they told him verbally on Monday - He now says he's waiting for the report on Friday.
Agreement that he waits for our new property with w/build window SEP-NOV - He's now said he wants in BY Sep
What an utter ****
We agreed a low ball offer from our buyer with specific conditions.
He move fast (I paid for the searches from the last buyer) - He's been useless
We Exchange prior to the 1 July - This didn't happen
We advised from the outset that if he wanted a survey it was done ASAP, he appears to have contacted the survey company on 29th June
We pushed our reservation the new build as he said he would go with whatever they told him verbally on Monday - He now says he's waiting for the report on Friday.
Agreement that he waits for our new property with w/build window SEP-NOV - He's now said he wants in BY Sep
What an utter ****
Soldato
Good news. Good luck with the move! We’re now at a stage where we’re tidying it all up and getting things in place.Well after a huge flurry of activity yesterday we got the call to say we’ve exchanged and will be completing on Friday! This has been a slog. Me and my fiancée offered on our first house in June last year and have since missed out on several properties, including two failed purchases (almost to completion then fell through on both).
Timeline for our exchange:
13th Jan: Viewed, offered, and offer accepted.
5th July: Exchanged
8th July: Completion
To make that timeline more depressing, the house is empty and we are chain-free buyers living with parents!
Soldato
Gah! This is the sort of bull**** I'd expect from an estate agent (outright lies to get what they want). I wonder if they were leading him to it or he's just thick/a ****.