The nervous wait to exchange....

Hagar · 17 Oct 2022 at 18:09

koolpc said:
If the bank have valued it less then a compromise has to be reached.

Houses have had their prices inflated to stupid amounts.

Got to be realistic now.

Many estate agents are still valuing in cloud cuckoo land. Taking their clients valuation, ie what the seller wants and thinks it's worth as the starting point for their sales literature.

Why employ presumably qualified valuers and then take the estimate made by the house owner as more reliable.

A nearby bungalow in poor to average condition has dropped 425k, to 400k, to 385k, to 375k over several months. It makes a mockery of the profession and the place won't sell at that. In my admitted ignorance of valuing houses professionally, I would call 300 to 325k

koolpc · 17 Oct 2022 at 18:22

Hagar said:
Many estate agents are still valuing in cloud cuckoo land. Taking their clients valuation, ie what the seller wants and thinks it's worth as the starting point for their sales literature.

Why employ presumably qualified valuers and then take the estimate made by the house owner as more reliable.

A nearby bungalow in poor to average condition has dropped 425k, to 400k, to 385k, to 375k over several months. It makes a mockery of the profession and the place won't sell at that. In my admitted ignorance of valuing houses professionally, I would call 300 to 325k

I agree. Many house where i have been looking seem to be over priced.

I think things will change now.

ubern00b · 17 Oct 2022 at 19:13

Our estate agent listed at £350k. I never thought it was worth that but I know less than nothing about the market or how anything in this space works. Accepted an offer at £333k. Friends of ours not far away with a similar house sold for £337k but all of their valuations and that went through prior to the mini-budget announcement.

So yea it is what it is at this stage.

Semple · 17 Oct 2022 at 19:23

ubern00b said:
We are far down the road already with our onward purchase and things like that. I guess I just need to wait and see what the revised offer is. As you say they may share some of it with us or they may come in hard at the banks valuation. Time will tell.

Are you revising your onward offer?

What you also need to consider is if you say no and have to re-list, then the next buyer will very likely face the same valuation hurdles.

Hagar · 17 Oct 2022 at 19:46

I was on the operating table today for a hernia repair, meanwhile we had an offer accepted on a house we viewed on Friday. My wife took care of business. Boy is it sore.

ubern00b · 18 Oct 2022 at 20:10

Semple said:
Are you revising your onward offer?

What you also need to consider is if you say no and have to re-list, then the next buyer will very likely face the same valuation hurdles.

We've done as much as we are going to do with our onwards purchase. Unless our lenders valuation says otherwise!

We've had a lot of discussions and thoughts today on things. Our buyers came back and said £320k is their max and we think we're going to take it. Mostly for your exact reasoning but also because we've locked in a mortgage at 3.94% and if we lose that for any reason the same mortgage is now 6.24% which is madness.

So, hopefully it's all plain sailing from here. My mental health and certainly my wallet cant take any more surprises.

Liquid_Entity · 18 Oct 2022 at 20:13

I'm now bricking it, I have 2 weeks left before the final payment on my current mortgage ends and no completion or exchange in sight. I cannot possibly afford to pay the follow on rate afterwards as it's almost double what I pay currently. Why are vendors, conveyancers all ******* useless. I have cash buyer for my house and no chain on the purchase and yet it's taken almost 4 months already. I'm really starting to stress out about it now. It will financially cripple me if they don't hit the dates.

physichull · 18 Oct 2022 at 21:55

ubern00b said:
Sigh. Estate agent just called to say our buyers lender came back after their valuation survey undervaluing our property. Offer was accepted at £333k but they've valued it at £315k. Apparently our buyers still want to proceed but will need to revise their offer and they didn't know what that offer was yet. Anyone been in this situation? I feel like I want to ask for proof that this is actually the case (I mean I don't doubt it with the market being what it is right now, thanks Liz/Kwasi). Should I?

The house we bought about 6 months ago was undervalued by the survey by £10k, from £380k (price we agreed with seller) to £370k. We went back to the seller asking to meet in the middle at £375k. Wasn't particularly an issue for us as we really wanted the house and had a greater than 50% deposit - it more affects people who have a smaller deposit to put down in the first place as the bank will want you to stump up the difference.

ubern00b · 19 Oct 2022 at 13:36

Well we got it all resolved. Our buyer came up as much as they were able to and we accepted. It is what it is. We also received our mortgage offer this morning so everything should now be able to move forward smoothly (he says quite obviously tempting fate). Fingers crossed!

Anyone have any experience of Target HCA and getting a redemption certificate for Help to Buy? I am reading horror stories...

dlockers · 19 Oct 2022 at 13:40

Liquid_Entity said:
I'm now bricking it, I have 2 weeks left before the final payment on my current mortgage ends and no completion or exchange in sight. I cannot possibly afford to pay the follow on rate afterwards as it's almost double what I pay currently. Why are vendors, conveyancers all ******* useless. I have cash buyer for my house and no chain on the purchase and yet it's taken almost 4 months already. I'm really starting to stress out about it now. It will financially cripple me if they don't hit the dates.

What is the hold up? Must be someone dragging heels for a straight cash buyer purchase to be held up like that.

Liquid_Entity · 19 Oct 2022 at 13:57

On purchase side waiting on enquiries:

"We have received satisfactory replies to our enquiries from your seller's conveyancer"

On selling side waiting on contract back from buyers conveyancer, was sent on 6th september.

Neither can move forward until those steps are done

Skillmister · 19 Oct 2022 at 14:51

ubern00b said:
Anyone have any experience of Target HCA and getting a redemption certificate for Help to Buy? I am reading horror stories...

The final one? Pretty easy they say 15 working days notice but usually much quicker.

If it's the initial redemption pack then a valuation is required to be sent to them to produce the figures

Irish_Tom · 19 Oct 2022 at 14:59

Are all searches and enquiries answered? Yes!
Is the water connection complete? Yes!
Have both parties signed their contracts and returned them to their respective solicitors? Yes!
Are the solicitors talking to each other to finalise a date for the exchange? No!

Just had two emails:
One from the estate agent asking if we can chase our solicitor because our seller's solicitor hasn't heard anything from them.
Another from our solicitor saying they haven't heard anything from our seller's solicitor…

:rolleyes:

dlockers · 19 Oct 2022 at 15:02

Liquid_Entity said:
On purchase side waiting on enquiries:

"We have received satisfactory replies to our enquiries from your seller's conveyancer"

On selling side waiting on contract back from buyers conveyancer, was sent on 6th september.

Neither can move forward until those steps are done

Chase hard man...bully them...daily updates...half daily updates. Luckily once contracts are back you are pretty much done and just set an exchange/completion date.

Mr Jack · 19 Oct 2022 at 15:06

ubern00b said:
Sigh. Estate agent just called to say our buyers lender came back after their valuation survey undervaluing our property. Offer was accepted at £333k but they've valued it at £315k. Apparently our buyers still want to proceed but will need to revise their offer and they didn't know what that offer was yet. Anyone been in this situation? I feel like I want to ask for proof that this is actually the case (I mean I don't doubt it with the market being what it is right now, thanks Liz/Kwasi). Should I?

I would accept a reduced offer but asking to see the valuation first is fair enough.

It's rare for surveyors to value at less than the asking value, they really only do it when they think the house is substantially overvalued, in your case they probably actually think it is worth £275k-£300k but have given a bit of margin. There's always a bit of variation between valuations but not much chance a different buyer is going to get a valuation matching your asking price, although you might find someone who is willing to pay over the odds if you have something special. Realistically as well prices are likely to fall over the next year so you may well end up having to sell for less than the valuation price you've been given if you try and hold on.

The only bit of bargaining you may have is that the buyer pulls out they may have to obtain a new mortgage offer which is likely to be at a higher interest rate.

Liquid_Entity · 19 Oct 2022 at 15:41

dLockers said:
Chase hard man...bully them...daily updates...half daily updates. Luckily once contracts are back you are pretty much done and just set an exchange/completion date.

Just emailed again today and will do it again tomorrow.

dlockers · 19 Oct 2022 at 16:00

Liquid_Entity said:
Just emailed again today and will do it again tomorrow.

Telephone is the only way IMHO.

ubern00b · 19 Oct 2022 at 16:41

Skillmister said:
The final one? Pretty easy they say 15 working days notice but usually much quicker.

If it's the initial redemption pack then a valuation is required to be sent to them to produce the figures

So now that I've sold my house I need to pay back the loan. I am only on year 4 of the 5 year loan so I've not paid anything back thus far. I have had the valuation done and filled in the redemption application and paid the £200 application fee. Submitted it all I think it was Friday last week (but then submitted amendments today to reflect the new sale price). Not heard anything from them so far. Having a Google shows up loads of issues such as them not issuing the redemption certificate for MONTHS and delaying completion etc etc. Ill give them a ring at the end of this week to see what's what.

Irish_Tom · 19 Oct 2022 at 16:50

Right, just heard back — Exchange is planned for the end of this week, with Completion on Thursday 27th!

I know it's not done until it's done, but it's starting to feel like we might finally get this over the line.

jonneymendoza · 19 Oct 2022 at 17:01

dLockers said:
Telephone is the only way IMHO.

If I can ever get through to my solicitor...