How do we play this one?

feesh

We've just finished doing up our flat, which is an immaculate 1-bed with a garden, with good train links into London. It will go up on the market around June 24th with housenetwork.co.uk (they're coming to take photos next Wednesday and it will go on Rightmove within 48 hours of that).
I think it should sell quickly, as it really would be perfect for a FTB or BTL.

We're moving to a new County and have been househunting for a few weeks now.

We viewed a house last night and fell in love with it. We didn't hang around as the market there moves quickly - we rang the EA this morning and made an offer of £15k below asking price.

We've since upped the offer a little, but it was also rejected. We can't afford to go much higher because it needs money spending on it (re-wiring, new kitchen, windows and carpets ASAP).

We don't think the EA is taking us seriously because our flat is still for sale and we don't have a Agreement in Principle (the Bank of Ireland, our existing lender, don't do them). We have already made arrangements for our new Bank of Ireland mortgage though, through the broker. We need a 15% deposit, and we know that as long as we get a 95% offer for my OH's flat this will be OK.

Figures are quite tight and we can't really afford to pay EA fees to sell the flat because the extra £1k in costs would mean we couldn't afford to raise a 15% deposit.

BUT the EA who valued the flat for us last week has just phoned to say he has a potential buyer, and could show them round for us without us going under contract, unless the buyer makes an offer.

I am thinking that maybe we should say yes to this. If the flat sells, OK we will have to pay the EA over £1,000, but then I think that puts us in a better position for the house we want to buy - we might get the house for less money than we would without a buyer - therby spending money to save money.

I'd love to know what everyone thinks of this theory. Do you think we would save money on the new house if we sell the flat this weekend by paying EA fees? I am sure that because we're not in a very good position otherwise, the vendor won't be interested in anything less than a full asking price offer from us.

silvercar

Your broker should be able to write you an AIP, not that there worth anything.

Personally I would let the EA show this buyer the flat as a one off. That way you'll flush out if he is just talk or if he really has a buyer for you.

If that doesn't work then wait for housenetwork.

If you don't get this house, there will be others.

To be honest I wouldn't stop showing my home if the offer came from someone without a buyer for there own place.

david29dpo

the agent is using the oldest trick in the book. how do you know if its a buyer or his brother?

feesh

david29dpo wrote:

the agent is using the oldest trick in the book. how do you know if its a buyer or his brother?

That's what I said at first, but it seems like there's nothing to lose, as he's willing to show the viewer round without us having to go under contract.

david29dpo

and then what? he gets you to sign and the "buyer" drops out!

silvercar

Don't be so cynical, I got my first buyer this way.

What have you got to lose, you've not signed anything.

Debt_Free_Chick

To be fair, if feesh were the seller, posting about the buyer, we would all say that a potential buyer who had sold their existing property would be a better prospect.

The simple fact is that ... unless your buyer has unrestricted funds i.e. not dependant on selling an existing property, they are not so appealing as one who can proceed to buy, with no property to sell.

Jorgan_2

Feesh, sign up with your agent for a one of viewing, with the name of this viewer on the contract. That way your options are left open. If the agent comes back with another 'one off', do the same again.

Also do not expect the seller of the property you are interested in to withdraw the property from the market, you are currently in a weak position to negotiate. No harm in asking the agent to find out if, you had agreed a sale on your property, would the offer be acceptable then?