How to negotiate a change in sale price

rjgb

Hi all,

We're in the process of buying a Victorian house. Received a Homebuyer Survey and, surprise surprise, it highlights areas of damp around skirting boards and at ceiling height near chimney breasts. The surveyor said there is no sign of condensation and the readings are so high it's definitely damp - possibly due to the damp proof course breaking down and prossible defects in the flashing at the base of the chimney stacks. It also says that at least one room needs the lath & plaster ceilings re-plastering and perhaps a set of ceiling joists to be relevelled (the ceiling has historically bowed but has since been strengthened - no further movement expected). All these items are highlighted as "Urgent Matters".

Spoke to the surveyor and he said they are to be expected from properties over a hundred years old, so are not extraordinary. This has put my mind at rest somewhat, although of course we're yet to know the full extent of any required works.

We are in the process of having three contractors investigate these problems with a view to each of them providing us with a report and broken-down quotation. Hopefully the costs will be under £3k, and more like £2k, but can't tell for sure until we get the quotes back.

Firstly, does anyone have any experience of having any work like this done themselves? Was it expensive?

Secondly, what options are there for paying for getting the work done? Presumably either (1) the vendor pays and we stick at the agreed sale price, (2) we pay and the sale price is correspondingly reduced, or (3) a 50:50 split.

Any other suggestions?

We are fully stretched on meeting the purchase cost (£270k), what with stamp duty, deposit and fees etc, so would need to take out a loan to meet the building costs. Therefore we would prefer for the vendor to pay for all the works.

Surely whichever of the 3 options above the vendors choose, it would make no difference to them financially? They would still receive the sale price less the cost of the works. So they shouldn't really complain if we ask them to pay for it? Or am I missing something?

Also, what's the best tactic to negotiate the sale price? Via estate egent, or via solicitors?

Any suggestions/advice gratefully received!

Thanks!:o

zappahey

Not really answering your question but if you're fully stretched to buy then perhaps a Victorian house might not be the best idea as there is always something that needs to be done and it can work out to be an expensive maintenance burden.

I love older houses and have spent most of my life in them but I know that I'll be constantly paying for the privilege.

lovethymini

what did the surveyor value the property at?

rjgb

lovethymini wrote: »

what did the surveyor value the property at?

The same figure as the agreed sale price. Why do you ask?

rjgb

zappahey wrote: »

if you're fully stretched to buy then perhaps a Victorian house might not be the best idea as there is always something that needs to be done and it can work out to be an expensive maintenance burden.

That's a fair point, but once the sale has gone through we should be saving enough each cash month to maintain the house.

TBH, we couldn't stand living in a flimsy more modern house with low ceilings, so we think it's worth the extra effort/cost. The house also has potential to be significantly improved, at least cosmetically, and we're looking forward to doing that.:o

pawpurrs

Because if the surveyor still valued it at the sale price, despite the work that needs doing the vendors will be less inclined to reduce.
To be honest, that doesnt sound like a bad survey on a Period Property, and nothing that would alarm me, and cause me to ask for a price reduction, or offer one, if I was selling the property. If you want to purchase a period property, bit of damp, electrics will allmost certainley be out of date, timber inspections etc all par for the course.

pawpurrs

P.S Does the vendor know, and are they happy to let three builders in to quote, for this?

rjgb

pawpurrs wrote: »

To be honest, that doesnt sound like a bad survey on a Period Property, and nothing that would alarm me, and cause me to ask for a price reduction

That's interesting. I suppose this is where a bit of experience comes into play! Unfortunately we are first time buyers and so it is difficult to know what could be a very bad problem, and what could be fixed easily/cheaply.

We do love the house, and accept that it will probably cost more to maintain than a flat or a modern house. I suppose we just don't to be sold a lemon!

We've yet to see what the contractors make of it all and we're a bit concerned they'll suggest we need to do more work than is really necessary.

However, from the (very limited) information I've provided, does anyone else have any comments as to whether the survey sounds good or bad, considering the age of the property (1890)?

rjgb

pawpurrs wrote: »

P.S Does the vendor know, and are they happy to let three builders in to quote, for this?

The estate agent knows and is arranging access to the property for the contractors later this week. So I expect the vendors will also know by now.

pawpurrs

I have seen hundreds of surveys on Period Properties, I used to be an agent in a medivial village/town, and have personally owned only period properties, done them up and sold them on, and nothing you mentioned would have me running for the hills, victorian houses are not particularly high maintenance by the way, they are solid brick houses, I dont consider them to be money pits, my house is 1400, much older and higher maintenance, but they more than reward you with their character, and charm, I wonder how many Wimpy homes will still be standing in 600 years time?
Regarding having three companies in to provide quotes, if the vendor is living at the property, I do consider that to be OTT too, its their home at the moment, the work is not substantial, and it seems a bit much to send round three lots of builders, if the property is empty and the EA can release the keys its not so much of an issue.

suisidevw

PP, can you have a look at my thread on P1 with extremely similar questions to RJGP and give your advice as well! Check it out RJGP as well, may be similar situation as we are FTB'ers as well.

All the best in these exciting times