Main site > MoneySavingExpert.com Forums > Essential Money > House Buying, Renting & Selling > Accepting a cash offer for a house (Page 1)

IMPORTANT! This is MoneySavingExpert's open forum - anyone can post

Please exercise caution & report any spam, illegal, offensive, racist, libellous post to forumteam@moneysavingexpert.com

  • Be nice to all MoneySavers
  • All the best tips go in the MoneySavingExpert weekly email

    Plus all the new guides, deals & loopholes

  • No spam/referral links
or Login with Facebook
Accepting a cash offer for a house
Closed Thread
Views: 2,561
Thread Tools Search this Thread Display Modes
# 1
welshman92
Old 07-08-2011, 1:13 PM
MoneySaving Newbie
 
Join Date: Aug 2011
Posts: 1
Default Accepting a cash offer for a house

A couple have put in a cash offer for the house I am selling. How does this work? What are the pros and cons?
Thank you
welshman92 is offline
Report Post
# 2
ognum
Old 07-08-2011, 1:21 PM
Fantastically Fervent MoneySaving Super Fan
 
Join Date: May 2009
Posts: 3,082
Default

Accepting a cash offer is really no different from accepting a mortgaged offer. The buyer will, if they have any sense get a survey.
Your estate agent should check that they do have the funds available by asking for bank statements or other evidence. At completion they will transmit their funds to their solicitor and it will be transfer through to your solicitor in the same way as if they had a mortgage.
Solicitors due to money laundering laws cannot accept big bags of money!
Hope this helps
ognum is offline
Report Post
The Following User Says Thank You to ognum For This Useful Post: Show me >>
# 3
G_M
Old 07-08-2011, 4:48 PM
Deliciously Dedicated Diehard MoneySaving Devotee
 
Join Date: Nov 2008
Posts: 25,315
Default

Quote:
Originally Posted by ognum View Post
...Solicitors due to money laundering laws cannot accept big bags of money!
Hope this helps
No, but you can. Insist on payment to yourself, in 50 notes, at the back of the local Tesco car park.
G_M is offline
Report Post
The Following User Says Thank You to G_M For This Useful Post: Show me >>
# 4
JingleJangle
Old 07-08-2011, 4:50 PM
MoneySaving Convert
 
Join Date: Jul 2011
Posts: 78
Default

It is one less step out of the process as there will be no mortgage arrangements to do, and they, and only they, need to be happy with the property valuation. Apart from that, it is the same as any other house purchase.
JingleJangle is offline
Report Post
The Following 2 Users Say Thank You to JingleJangle For This Useful Post: Show me >>
# 5
Beckyy
Old 07-08-2011, 6:14 PM
Fantastically Fervent MoneySaving Super Fan
 
Join Date: Nov 2009
Posts: 2,038
Default

It can also be quicker as there is no faffing about with a mortgage company.
Beckyy is offline
Report Post
The Following User Says Thank You to Beckyy For This Useful Post: Show me >>
# 6
McKneff
Old 07-08-2011, 6:18 PM
Deliciously Dedicated Diehard MoneySaving Devotee
 
Join Date: Jun 2008
Location: north yorkshire
Posts: 31,680
Default

I dont think they literally mean bags full of 20 notes.

Its just that there is no mortgage involved and any payments will be electonically sent
No one can make you feel inferior without your consent
McKneff is online now
Report Post
The Following User Says Thank You to McKneff For This Useful Post: Show me >>
# 7
ognum
Old 07-08-2011, 7:01 PM
Fantastically Fervent MoneySaving Super Fan
 
Join Date: May 2009
Posts: 3,082
Default

Quote:
Originally Posted by JingleJangle View Post
It is one less step out of the process as there will be no mortgage arrangements to do, and they, and only they, need to be happy with the property valuation. Apart from that, it is the same as any other house purchase.
Just remember that the buyer is not tied to a mortage so can actually pull out more easily than if they have another mortgage to arrange on another property.

Most will get a surveyor and may renegotiate the price depending on the survey valuation in the same way as a mortgage valuation.
ognum is offline
Report Post
The Following User Says Thank You to ognum For This Useful Post: Show me >>
# 8
Davesnave
Old 08-08-2011, 1:40 AM
Deliciously Dedicated Diehard MoneySaving Devotee
 
Join Date: May 2006
Location: Devon
Posts: 14,020
Default

Quote:
Originally Posted by ognum View Post
Your estate agent should check that they do have the funds available by asking for bank statements or other evidence.
As a cash buyer, I had no intention of letting the vendors sleazy agent look at my bank statements, especially with it being stashed in a fair number of accounts, but I remember proving funds with my solicitor, whose word was accepted by said sleazy agent.
Remember that you're unique....just like everyone else.
Davesnave is offline
Report Post
The Following 3 Users Say Thank You to Davesnave For This Useful Post: Show me >>
# 9
thor
Old 13-08-2011, 6:28 PM
Fantastically Fervent MoneySaving Super Fan
 
Join Date: May 2003
Posts: 5,027
Default

Quote:
Originally Posted by ognum View Post
Just remember that the buyer is not tied to a mortage so can actually pull out more easily than if they have another mortgage to arrange on another property.

Most will get a surveyor and may renegotiate the price depending on the survey valuation in the same way as a mortgage valuation.
Is this in addition to getting a solicitor or do they provide this as part of the conveyancing service?

If a mortgage was involved would the bank/building society get a survey done instead?
thor is offline
Report Post
The Following User Says Thank You to thor For This Useful Post: Show me >>
# 10
Yorkie1
Old 13-08-2011, 7:00 PM
Fantastically Fervent MoneySaving Super Fan
 
Join Date: Nov 2009
Posts: 9,859
Default

Quote:
Originally Posted by thor View Post
Is this in addition to getting a solicitor or do they provide this as part of the conveyancing service?

If a mortgage was involved would the bank/building society get a survey done instead?
If a mortgage is involved the lender will get a valuation for its own purposes, to ensure that the property represents good security for the loan. That valuation isn't done for the benefit of the buyer (although the buyer pays for it) so the buyer should arrange their own survey. There is usually the option for the buyer to pay a bit extra for the same surveyor to carry out a survey at the same time as the valuation - that survey is for the benefit of the buyer.

If no mortgage is involved, there is no obligatory valuation and therefore the buyer has to choose whether to get their own survey done or not. This is not done through the solicitor, it's up to the buyer to arrange.
Yorkie1 is offline
Report Post
The Following User Says Thank You to Yorkie1 For This Useful Post: Show me >>
# 11
G_M
Old 13-08-2011, 7:03 PM
Deliciously Dedicated Diehard MoneySaving Devotee
 
Join Date: Nov 2008
Posts: 25,315
Default

Surveying is to do with building/construction/condition of property. Nothing to do with the legals/conveyancing.

Mortgage lenders rarely get surveys done. They do require a 'valuation' (usually done by a surveyor who understands property value, which to some extent depends on the property condition). Most lenders offer the buyer the option of arranging to have a survey done, since sometimes it is cheaper/easier for the same surveyor to do both tasks at once.

But the decision to have or not have a survey, is the buyers decision, not the mortgage lender's, whether a mortgage is involved or not.

Last edited by G_M; 13-08-2011 at 7:05 PM.
G_M is offline
Report Post
The Following User Says Thank You to G_M For This Useful Post: Show me >>
# 12
kingstreet
Old 13-08-2011, 7:18 PM
Deliciously Dedicated Diehard MoneySaving Devotee
 
Join Date: Feb 2011
Location: Stafford
Posts: 22,382
Default

Some purchasers call themselves cash buyers because they do not need a mortgage. However, they may have a property to sell and their position as a cash buyer is reliant on a house sale.

A buyer needing a mortgage may be a better proposition than a cash buyer with a house to sell.
I am a Mortgage Adviser. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
kingstreet is offline
Report Post
Closed Thread

Bookmarks
 
 




Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

 Forum Jump  

Contact Us - MoneySavingExpert.com - Archive - Privacy Statement - Top

Powered by vBulletin® Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.

All times are GMT +1. The time now is 7:33 PM.

 Forum Jump  

Free MoneySaving Email

Top deals: Week of 20 August 2014

Get all this & more in MoneySavingExpert's weekly email full of guides, vouchers and Deals

GET THIS FREE WEEKLY EMAIL Full of deals, guides & it's spam free

Latest News & Blogs

Martin's Twitter Feed

profile

Cheap Travel Money

Find the best online rate for holiday cash with MSE's TravelMoneyMax.

Find the best online rate for your holiday cash with MoneySavingExpert's TravelMoneyMax.

TuneChecker Top Albums

  • TAYLOR SWIFT1989 (DELUXE)
  • COLLABROSTARS
  • ED SHEERANX (DELUXE EDITION)

MSE's Twitter Feed

profile
Always remember anyone can post on the MSE forums, so it can be very different from our opinion.
We use Skimlinks and other affiliated links in some of our boards, for some of our users.