held to ransom by FTB

moveme

We accepted an offer whereby we agreed to pay £5k stamp duty. These FTB had survey done and halifax valued our house at £5k under the agreed offer. Now they want the house for the new value and want us to still pay £5k stamp. Which we just cant stretch to
we have already paid for the survey on our future purchase. So we will be left severely out of pocket.
Please any advice

ciano125

Get whoever you're buying your next house from to knock the £5k off.

That was easy wasnt it!

McKneff

seems like they have got you over a barrel, you could ask if they could negotiate and pay half the stamp duty. Annoying that.

moveme

We want to pass it up the chain, but we originally offered just £6k under the asking price , that was turned down as they had been on the market 1 day!, so i dont think they will go for it-but we will try!!

poppy10_2

You've got no choice, either drop the price as requested or lose the sale. You can make the money back by negotiating a lower price on the house you are buying

poppysarah

Pay less.

If you can't afford it and they won't accept less the chain must fail.

ciano125

Well, if you dont ask, you dont get. Its a buyers market though, and your buyers have got the upper hand on you, so if you dont get the upper hand on your sellers, more fool you!

You dont buy and sell houses to make friends, so I wouldn't worry about upsetting one or two people really.

moveme

No you are quite right, didnt really want to be like that though.
They have told their lenders about this stamp duty incentive, does that bear any significance on the lender valuing our house for less? They had trouble finding a lender to take on this arrangement - i knew it was going to be trouble!!

ciano125

moveme wrote: »

They have told their lenders about this stamp duty incentive, does that bear any significance on the lender valuing our house for less? They had trouble finding a lender to take on this arrangement - i knew it was going to be trouble!!

Its possible. I've just agreed that my seller will pay my legal fees. Like Stamp Duty, legal fees have to be paid and if it makes it easier for a sale to progress if one party agrees to pay them, then so be it.

I'm a FTB and have got the seller over a barrel. I know they need to sell pronto so I'm capitalising on that fact. In this market Murphy's Golden Rule applies - he who holds the gold makes the rules!

LandyAndy

I wouldn't trust your buyers any further than I could spit.

Fire_Fox

moveme wrote: »

We accepted an offer whereby we agreed to pay £5k stamp duty. These FTB had survey done and halifax valued our house at £5k under the agreed offer. Now they want the house for the new value and want us to still pay £5k stamp. Which we just cant stretch to
we have already paid for the survey on our future purchase. So we will be left severely out of pocket.
Please any advice

I don't see why you think your buyers are 'holding you to ransom' as they haven't deliberately gazundered (hate that word) - your estate agents are to blame for overvaluing your property. Similarly you aren't being left out of pocket, you are losing money you hoped you'd get not real cash.

All offers are subject to survey and valuation, it's normal to renegotiate if any surprises are thrown up. Your buyers won't be able to get the full mortgage with a low valuation, so the alternative would probably be to lose your buyer.