Viewers hinting at reducing asking price due to wanting to make changes

Julieg

Just wondering if anyone had had this. We've had some people viewing our house today. They said that they would be in touch with the EA to make an offer but that it wouldn't be the asking price as they wanted to use some money to make changes to the house, ie knock down internal walls,put a different type of boiler in for the central heating etc

Now I can understand buyers giving less if they need money to put things right if there is anything wrong with the house but not because they don't like where a wall is.

Also he mentioned about offering us some cash (in addition to what he would pay officially through the estate agent) as a sweetener so we would be more amenable to accepting a lower offer.

Anyone have any thoughts please?

Snippa

A buyer can put in any offer they want, but you don't have to accept it. It's entirely between the two of you, whether you think the offer is good enough.

The "cash sweetner" sounds dodgy. Would it, for example, take the official price paid below a stamp duty threshold? If so, that would almost certainly not be legal. Also, it would understate the price in the land registry. I personally wouldn't touch that - why would he be doing it? You get the money anyway.

Julieg

The house is on at offer over 400k so unless he was offering extremely low then it can't be anything to do with the stamp duty. I did wonder if he was thinking of the percentage of the selling price you pay the EA. I would rather do everything officially especially as the house is being sold as part of a divorce settlement. Just wondering if there was something he could be thinking of that I'd not thought of.

Patr100

As you the seller , pay the EA and the buyer doesn't I also can't see what this is about.
I would explicity ask them what they mean - but it sounds dodgy and I would take advice from your solicitor.
On a 400k home it sounds like a lot of money could be involved.
I'd be very wary.
-

WestonDave

Only incentive for them to pay something in cash is to lower the listed selling price so when its declared to their mortgage lender, their deposit would be a higher percentage.

Not something to get involved with - as it would all be outside the legal process, if they turned round on completion and laughed in your face you'd have no means of recovering the cash amount as it wouldn't be documented anywhere.

Julieg

Thanks for all your replies. I thought it sounded dodgy but as the only time I've been involved in buying a house was 15 years ago with my now ex-husband I thought I'd see what other thought.


Cheers

Julie

G_M

It would be illegal for you to give the HMRC the wrong sale price for SDLT purposes.
It would also be illegal for you to give the Land registry the wrong sale price.

david29dpo

Have no part in it, but ask why, we all want to know!

Julieg

david29dpo wrote: »

Have no part in it, but ask why, we all want to know!

Wasn't going to touch it with a bargepole!! But will keep you posted if I ever find out.

PasturesNew

WestonDave wrote: »

Only incentive for them to pay something in cash is

Money laundering.

gauly

Julieg wrote: »

The house is on at offer over 400k so unless he was offering extremely low then it can't be anything to do with the stamp duty. I did wonder if he was thinking of the percentage of the selling price you pay the EA. I would rather do everything officially especially as the house is being sold as part of a divorce settlement. Just wondering if there was something he could be thinking of that I'd not thought of.

Since it is being sold as part of a divorce settlement, I wonder if the cash was meant to be a bribe to you (ie. not declared to your ex-spouse)?