Is there any inherent problem with buying from divorcing couples?

[Deleted User]

We found a nice house (but hadn't set our heart on it) that was being sold by a couple going through a divorce (they weren't divorced yet). They'd put it on the market for £379k but we thought it was only worth £360, based on similar properties in the same street on the market at the time.

We put an offer in and it was rejected (£344) but - slightly unusually - they said they would come back to us (last week) with a price that they felt was their 'lowest' they could drop to.

Anyway, we didn't hear anything from either the EA (who we thought was inept) or the owners. The house has been on the market for six months as we were the first and only offer they've received.

I called the EA today to ask what was going on: either they want to sell their house or they don't. We're now proceedable with an offer on ours, but they didn't seem to be in any sort of hurry.

Anway, they've now called today to say that they're taking the house off the market and that they can't afford to move. Basically, because they've divorcing, they're getting half each but neither can afford to buy a property with what they'll get, because they don't know a further mortgage at their age. So, they're going to wait for 'prices to increase' when they can get more.

It seems so stupid to me. They're assuming the prices will increase and they're fannying about in the meantime. They've massively overvalued the property and they've wasted our time.

So, my question is - and I hope it doesn't cause offence - is it a 'risky' business buying property from divorcing couples? I only ask because another house we've seen is being sold by a divorcing pair. Is it no different to other sales? Or are there more considerations because you have - effectively - two individual sellers rather than one party (so to speak)?

pie81

Yes it's more risky, as you have found out. Both parties have to want to sell - and often in a divorce this is not the case. If you have a reluctant seller they may well change their minds half way through (whether this makes financial sense or not).

We also liked the look of a property being sold by a divorcinig couple - on our first viewing the husband was there and sold the place well, on our second viewing the wife was there and said she didn't want to sell and was hoping husband would buy her out... Alarm bells rang and guess what, property was off the market a week later.

Person_one

I think there are inherent problems buying from human beings in general! We're all prone to being a bit irrational, greedy, unrealistic and flaky at times.

A lot of divorcing couples will be desperate to get their hands on the equity so will be after a quick sale and won't cause any problems, some will still be squabbling and will be a nightmare but then all sorts of issues crop up with all sorts of house sales.

Good luck!

poppysarah

If they have both moved out - no, if one of them is still there yes.

Running_Horse

We weren't told our house was a divorce sale. First the husband became uncontactable for document signatures, then the wife (who didn't want to leave her home) took forever to return every document required, and generally delayed everything she could.

Jowo_2

Deleted_User wrote: »

Basically, because they've divorcing, they're getting half each but neither can afford to buy a property with what they'll get..So, they're going to wait for 'prices to increase' when they can get more.

It seems so stupid to me

It is stupid - the price rise that they are waiting for to 'lift' the value of their property will mean other properties will rise in value to a similar degree and means they will not enjoy any greater affordability since onward properties will simply cost more, too.

Deleted_User wrote: »

So, my question is - and I hope it doesn't cause offence - is it a 'risky' business buying property from divorcing couples

Probably.

My sister had a couple who insisted they were were cash buyers for her property, only to then be told when she'd taken it off the market that there was a dependency on the lady's former marital home being sold. It then transpired that her ex-husband, a joint owner of that property, was refusing to sell it and she has to take him to court. They were neither cash buyers, nor was her actual property even in the process of being sold because of the obstructive joint owner.

mlz1413

The only difference with a divorcing couple as you found is the funds are being split rather than going on to next purchase.

Buyers have experienced problems with sellers and vice versa since money was made, you have just got a couple who can't actually afford to sell this maybe because they have a mortgage higher than house current value or just because they won't clear enough to live in the style they have acustomed to.

Either way your offer made them actually make a decision and that was not to continue, you may well find this couple are still living together as divorced in 5 yrs time marketing the house above current value.

claireac

My house had to be sold when I divorced xh and it was a bloomin' nightmare!!

I'd already moved out and into rented, but there was no way on this planet that he was going to leave without a fight, and a big one at that. He took the for sale sign regularly, didn't turn up for viewings, made parts of the house inaccessible by leaving the dog there when ea did viewings. In the end I had to take him to court and it was taken out of his hands........Luckily our buyer wasn't in a huge rush, and hung on in there.

I have to say it would put me off buying from a divorcing/seperating couple :eek:.

[Deleted User]

It's just a shame really. I'm tempted to go back with a final 'look, we offer £160k if you sell - but don't mess us around' offer, to pressurise them into making a decision and selling, but I'm worried it's better to stop now and look elsewhere (which we're doing anyway) because there's a risk they'll only mess us about later on down the line.

princeofpounds

They change their minds all the time... I lost out on a letting thanks to them deciding they couldn't even cope with jointly managing it once.

Nixer

Only an issue if they are numpties. The two in your case have to accept that when you divorce you only have one salary going towards accommodation, therefore you cut your cloth... If that means buy a shoebox, rent, or move into a houseshare, so be it. A shame they wasted your time but that's housebuying and selling. I suspect they'll be waiting a long time before the house increases in value such that it will fund two houses.