house buying using cash

David_Aston

Sorry if I have missed a good thread already posted on this subject. Almost embarrased to ask this in the present climate! Forced on me, it appears.
Does anyone have any tips on buying with cash, as opposed to needing a mortgage? It does appear to be a favourable situation I would have thought but who knows!

benood

Make sure you've got a sturdy briefcase and possibly a minder. You'll need to account for where it's come from to avoid being investigated under money laundering regulations.

If you don't mean notes and coins it's similar to normal but you won't need a mortgage or mortgage broker! And you can drive a very hard bargain - show the estate agent a copy of your bank balance that should whet his/her appetite, and play it very cool - even if you love the place be emotionless, and let them know all the way along the line to exchange there are other places you're interested in.

Madmel

And as it's YOUR money, as opposed to a bank or BS, I would get a full structural survey done, rather than a homebuyer's or valuation. Ask around and get someone who knows about the sort of property you are looking at.

Good luck to you - we were in that position a couple of years ago, and whilst it's a bit daunting, think of the arrangement fees you're saving

lynzpower

In this climate, be expected to be inundated with EAs pestering you if they understand you are a cash buyer.

All Eas should be asking for "proof of cash" when you are putting an offer forward. An email from a solicitor or your accountant is ideal, simply stating that your investments have enough to cover the XXX price.

DONT let the EAs know how mcuh cash you have, they will of course play you for all you have. "They will say well hes offered 200 but we know hes got 250 so dont accept it" Very common.

Simply say you do not need a mortgage as you have means to pay cash. When they say "how much" simply reply with what bracket you are looking in - including the "faux top end" to suggest you will look at those 250 properties, but you only have 230, but you expect they will take that hit.

Also, do haggle with your solicitor on the conveyancing too, they will have to do less as they wont have to chase a lender for weeks on end for a bit of paper, and this will save them time & money that you will expect to see reflected in your conveyancing fees- not loads, but a bit certainly.

David_Aston

Thank you all for your tips. Truthfully, I am hoping that the necessity to buy will not actually come about, but will not bore you will any more details on that score.

Chris2685

I imagine you will be in a very good bargaining position. Good luck

alchemistkevin

lynzpower wrote: »

DONT let the EAs know how mcuh cash you have, they will of course play you for all you have. "They will say well hes offered 200 but we know hes got 250 so dont accept it" Very common.

Good point. Very immoral but very common.

Good luck with whatever you decide to do.

David_Aston

Thanks Chris and alchemist. With good luck my query will just be of academic interest, but all your rapid posts have given me much food for thought.