To those selling in these difficult times Part Deux. AKA sellers support network!

justjohn

Well i have lost count of the total viewers we have had. However we have a surveyer comming monday and another viewer.
The person that is getting the property surveyed put an offer in 3 years ago, but we bought it as we had a higher offer.(so they will have seen a previous survey).

boldminer

We have been trying to sell my deceased mother-in-law's retirement apartment for two years and have reduced the price from what we paid by over £40K and we are still unsuccessful; admittedly it's a niche market but that's not much consolation when we still have to pay the service charge and council tax. Is anyone else in a similar situation?

TwistedPsycho

Okay so it is head banging and time to put my legal researchers hat back on after we received an offer today.

The offer is just short of 10% under the absolute minimum I can accept on my property. As a first offer though of course, negotiation is the key there.
The concern that I am having though is that the EA wants me to go in to speak to their mortgage advisor regarding the buyer proposing a gifted deposit offer. The EA though said that this would mean that the actual offer is increased as part of the deposit is gifted back.... surely this is fraud?

harz99

TwistedPsycho wrote: »

The concern that I am having though is that the EA wants me to go in to speak to their mortgage advisor regarding the buyer proposing a gifted deposit offer. The EA though said that this would mean that the actual offer is increased as part of the deposit is gifted back.... surely this is fraud?

Sounds like the "buyer" can't provide the deposit needed by his bank/BS on the relatively low LTVs that are offered nowadays.

So called "Gifted deposits" are a way people try and get around this.

Trouble is the bank/BS will almost certainly reduce the loan offer they make if and when they hear of this proposal.

You should seek your Solicitor's advice, and remember the EA is only interested in a sale as is the mortgage advisor in commision from whatever he/she can flog.

Orpheo

TwistedPsycho wrote: »

surely this is fraud?

Surely. But legal. Don'tcha love the UK pwoperdee biz?

Furthermore the gifted deposit artificially increases the recorded selling price of the property by the amount of the gifted deposit. Therefore your house is recorded at the land registry as selling for 5% - 10% more than it actually did.

The question is, will you participate in this?

If the bank get wind of it they may reduce the mortgage offer accordingly. On the other hand, they may encourage it, like they did for the last 10 years. If your buyer needs this gifted deposit then it indicates to me that there is a higher risk of their mortgage promise not translating into a mortgage offer.

When I sold my house the EA suggested offering a 5% gifted deposit as a sweetener. I said no, start with an asking price and negotiate a selling price.

TwistedPsycho

Well b***** me backwards with a blowtorch, I actually (no, really I actually) have found something that Orpheo has a similar track of mind as me on.

If your buyer needs this gifted deposit then it indicates to me that there is a higher risk of their mortgage promise not translating into a mortgage offer.

When I sold my house the EA suggested offering a 5% gifted deposit as a sweetener. I said no, start with an asking price and negotiate a selling price.

That is exactly my thought.......

Pupnik

We've been trying to sell a deceased relative's house since just before Christmas and eventually accepted an offer a few months ago- and now today the buyer has pulled out. Very frustrating as it has been off the market for a while now and of course prices are falling- there were other interested buyers at the time but I doubt they will want to offer the same amount now. It can't be helped and of course I can't really blame people for being cautious now but it is frustrating that they waited until so far along before getting cold feet.

ocalllo

what a total total total nightmare but at last it is over!!!

we finally exchanged contracts today and move nxt week, what a HUGE relief.

We have lost loads - had to reduce by over 30k (hse just over £100k) ....but still feel so lucky to have sold

We are emigrating and cant believe we can finally get on with our lives.

thks to all for all the help and support over the last few yrs.....did get too depressing to post for a while but we were still reading.

good luck to everyone still selling.

Contessa

Ocallo-it's good that you've finally sold and have such a positive attitude-hope all goes well with emigrating!

ocalllo

thks Contessa - easy to be positive now - definitely was not always the case!!!