Buyers to pay for sellers debt

bing0

As a FTB on the look-out at the moment,I'm trying to factor in my workings out the % of debt ,sellers in general, add on to their selling price,on the hope buyers will ease their debts......

Realistic pricing sells a property,but still I'm coming across properties that are well over priced,with major works needing to be done.Even given the bottom selling price these sellers are willing to accept,makes me believe that some are factoring their borrowing,on the value of their property.

It seems that instead of biting the bullet and reducing their liability,they (the sellers) think that someone is going to come along with a big magic wand (an offer at an unrealistic asking price ),and eleviate all the debt.

No one knows what the future holds,but on my assumpion of house hunting in the last week,it doesn't look good.

I cant believe that estate agents still come up with what sounds complete bullsh*t about other buyers going for the same properties,low and behold,there on the phone a few hours later, asking if you want to put an offer in..........this isn't a game,its so sad they think everyone is thick !

I will keep looking,but it doesn't help me decide what to do when you're faced with a false package from the start.If it all feels right from the offset,it makes me feel better.

Sellers must realise ,it's not for potential buyers to pay their debt.

Ems*Honie

If you bought my house (if I were selling) why do you think you would be paying my debts? If I buy a sandwich down the local pub I don't factor in how much of that profit is going to pay off the landlords debt, the money is no longer mine, it is his and no longer any of my business.

Not every house seller has debt.

your post sounds very negative towards all sellers, are you having issues finding something you can afford? If the estate agent didn't market the house and make full attempts to sell then they wouldn't be doing their job, and if they didn't inform you of other interest and call you to gauge if the house was suitable, or what features you liked / disliked then they wouldn't be very helpful to you either. Sometimes buyers are mistaken in what they think they should be able to buy with their money, expecting a seller to fund a lifestyle the buyer actually cannot afford, just because there is a recession on

You're right, it isn't a game. I do to a degree see your point, essentially people do sometimes overprice their houses and a house is only worth what some one is willing to pay, but you are applying it too liberally and come across as very bitter in doing so.

Davesnave

Over on the other channel, you say you have offered on a property & are waiting to hear the reaction. That sounds like negotiating to me. I hope you get it.

The market decides the value of a property, so if the price is right the house will sell.

Not everyone who is selling is in debt, but I would have thought that those who are, would tend to be be the most compliant, not the most resilient.

I just don't get how you 'know' people's circumstances.

harryhound

I think the original poster is pointing out that when there are too many buyers, the seller organises a sealed bid "best and final offer" auction to get the real price (but the buyers are bidding blind and pay thousands more than they needed to).

Similarly when there are too few buyers, the seller invents pretend buyers, and the buyer has no way (other than attending a repossession auction) of establishing the real price.

Perhaps the poster should move to Scotland or campaign for a change in the law?

Harry.

However estate agents have to live, so if you strike up a relationship with them, they may start campaigning for you to make a sale rather than for the person who will be paying their invoice. If you can offer them more business (developer?) the agent might find your offer particularly attractive. After all a speedy chain free cash transaction should be worth some sort of discount.

harryhound

Davesnave wrote: »

I just don't get how you 'know' people's circumstances.

Checking their mortgage provider, the price paid and how long ago they bought from the Land Registry and discussing their history and future plans can give some idea how pressed they are to sell.

Obviously if they are in negative equity they may be unable to sell.

Georgie4

Ems*Honie wrote: »

If you bought my house (if I were selling) why do you think you would be paying my debts?

Not every house seller has debt.


Agree with Ems totally , you seem to think that everyone who is selling their house needs to do so - this is simply not the case and why should people sell their homes for less than they believe they are worth if they don't need to. With the constant news items talking of housing shortages all over the country maybe you need to be more realistic with what it is going to cost you to buy.:rolleyes:

the_ash_and_the_oak

Agreed that a certain percentage of sellers don't need to sell and are testing the waters out of interest more than anything else (parents have done this in the past).

Prob a larger section of sellers that would like to sell in order to move on to new things in life but would only do so at a certain price (either to pay debt, or simply to have enough to pay for whatever comes next in life)

Think a good % of people are going to just stick with what they've got for a good while now, transaction levels could remain low for quite some time. Might not be such a bad thing - make people realize the value of what they already have in life. Don't think people should really NEED to buy or sell if possible imo

Davesnave

the_ash_and_the_oak wrote: »

Don't think people should really NEED to buy or sell if possible imo

Don't think you've been around too long IMO!

Checking their mortgage provider, the price paid and how long ago they bought from the Land Registry and discussing their history and future plans may give some idea how pressed they are to sell

With one amendment, I agree, but people are fairly clued-up these days, so those in trouble may keep their cards close to their chests. I know I would! Indeed, I might even lie.:whistle: (where's the embarrassed smiley?)

StevieJ

bing0 wrote: »

better.

Sellers must realise ,it's not for potential buyers to pay their debt.

Two choices, Buy it or Don't buy it - It really is that simple

Hope that helped.

QTPie

StevieJ wrote: »

Two choices, Buy it or Don't buy it - It really is that simple

Hope that helped.

Agreed... The buyer always has that choice. The important thing is always what you, as the buyer, are prepared to pay for a house: if that doesn't coincide with what the seller is willing to accept, then the sale is not to be...

House sales are like any other sales: a negotiation in relation market forces. Different sellers have different drivers for selling and those will affect how much they are willing to negotiate and how realistic they are.

bing0, you are a FTB... so far you have only experienced the buying/selling process from one side. You might realise - when you come to sell - that there is a whole new world out there.

QT

Jonesya

bing0 wrote: »

I cant believe that estate agents still come up with what sounds complete bullsh*t about other buyers going for the same properties,low and behold,there on the phone a few hours later, asking if you want to put an offer in..........this isn't a game,its so sad they think everyone is thick !

But it is a game because it is the job of the estate agents to get the highest price and creating a false sense of demand/shortage/competition is an aid to achieving their goal.

On the plus side you now have more tools available to gauge the real level of competition for the place and suitable price level - online house price registry, property bee etc.