Reducing offer price at last minute before exchange

penguine

bandofbrothers wrote: »

As I stated in my earlier post ' my word is my bond' and after agreeing a price I would not pull out. The buyer knows this and they know my intentions if they play a game with me too. No one is under any illusion.

If the buyer came back with a reduced offer which was not in connection to the survey, at whatever stage then I would simply decline and move on.

The OP's reduced offer isn't connected to the survey. It's connected to information he's just received about the lease extension. Do you think he shouldn't reduce his offer based on this new information?

bandofbrothers wrote: »

No wonder the % of failed selling and buying of property is high.

The percentage of failed sales in this country probably has a lot to do with the fact that not all the information needed to make an informed decision about a property's value is available at the time an interested seller makes an offer. And the information that is available at that time isn't always accurate or legally binding.

dfh

bandofbrothers wrote: »

No wonder the % of failed selling and buying of property is high.

I agree that no one should make a loss and that both parties should walk away with a fair deal.

I in no way proport to be very knowledgable in selling or buying as im in the latter stages of selling my 1st property.

As I stated in my earlier post ' my word is my bond' and after agreeing a price I would not pull out. The buyer knows this and they know my intentions if they play a game with me too. No one is under any illusion.

If the buyer came back with a reduced offer which was not in connection to the survey, at whatever stage then I would simply decline and move on.

It looks to me like some play a game with the intention to chip away at the initial offer, hoping the seller gets unnerved and accepts.

To each his/her own !!

And I assume that you will continue with your purchase even if the survey reveals rot and values your house at 10000 less that the purchase price.After all,your word is your bond !

bandofbrothers

I concur.

People can only go on the information available at that time.

If information rears its head which obviously affects the price then re negotiation or pulling out is relevent.

What im trying to get across is that if either party try to reduce /increase the price in the latter stages ,thinking that because we are at this stage the other party may agree is pure greed !

bandofbrothers

dfh wrote: »

And I assume that you will continue with your purchase even if the survey reveals rot and values your house at 10000 less that the purchase price.After all,your word is your bond !

When I spoke to the buyer in great detail I advised that even if I was offered a higher price i would not gazump them as I had accepted their initial offer.

If the survey had come back with 'rot' then re negotiation would obviously be tabled.

And to answer your question.
If this had happened and the cost to rectify it was £1000.00 and was supported by several estimates then yes the sale would go ahead. As my word is my bond as you so rightly quote.

In the end if the work needs doing and i want to sell my property what other choice would I have. Walk away and wait for the next buyer hoping the survey would not show the rot up in it. How would I live with myself dumping a buyer with this future issue !!!

mike5678

Well I put the news to them on Monday morning. They still have not decided. The estate agents says that all parties understand why I did what I did and can see where I'm coming from. The estate agent says the vendor is very reluctant as can be expected but havn't said no yet and it is not yet back on the market. The EA hinted that £10k would be too much of a hit and mean the deal not able to go ahead due to affordability further up the chain. However, it is looking as though they are thinking hard on £175k and wanted to sleep on it to let me know today.

So it is either off or will go ahead at £175k, either way I will have saved myself £6800 or will continue saving for another day.

penguine

mike5678 wrote: »

Well I put the news to them on Monday morning. They still have not decided. The estate agents says that all parties understand why I did what I did and can see where I'm coming from. The estate agent says the vendor is very reluctant as can be expected but havn't said no yet and it is not yet back on the market. The EA hinted that £10k would be too much of a hit and mean the deal not able to go ahead due to affordability further up the chain. However, it is looking as though they are thinking hard on £175k and wanted to sleep on it to let me know today.

So it is either off or will go ahead at £175k, either way I will have saved myself £6800 or will continue saving for another day.

I think you're in a strong position -- if they pull out of the sale now and put it back on the market they're likely to end up in the same situation with any other buyer.

bandofbrothers

I truly hope all parties involved in this chain walk away with what they want.

Although im not holding my breath !

dfh

bandofbrothers wrote: »

When I spoke to the buyer in great detail I advised that even if I was offered a higher price i would not gazump them as I had accepted their initial offer.

If the survey had come back with 'rot' then re negotiation would obviously be tabled.

And to answer your question.
If this had happened and the cost to rectify it was £1000.00 and was supported by several estimates then yes the sale would go ahead. As my word is my bond as you so rightly quote.

In the end if the work needs doing and i want to sell my property what other choice would I have. Walk away and wait for the next buyer hoping the survey would not show the rot up in it. How would I live with myself dumping a buyer with this future issue !!!

And the OP is evil Because he wants to renegotiate on the basis of new information.There is a huge difference between 10,000 and 1000.The sellers did not play fair , so why should the OP?

mike5678

They got back to me eventually saying the lowest that they would go is a reduction of £1750, making the price £178,250.

I stated that I would deal at £175k. That was rejected and they are back on the market. Looks like my parents aren't getting rid of me any time soon!

smckay

can we have a link? I imagine the little bubble will burst and prices will start falling again.

I think they might regret that 5K come winter!