negotiating around £250000

Debt_Free_Chick

jyonda wrote:

Asking price 265. If we offer just above 250 to get an offer accepted and the property taken off the market then after the survey offer 249,950 will the vendors accept or put it back on the market? Probate sale, relative wants cash fast IMO. We are chain free.

This is just plain silly. Why waste £500-£1000 on a survey simply to get a discount of £50!!!!!!!!?????

If the seller refuses, you've shelled out the money on the survey for sweet FA.

You've not thought this through ... have you?

Dan29

DFC it's because if the house sells for £250,000 the stamp duty payable by the buyer is £2,500, but if it sells for £250,001 the stamp duty is £7,500.

Dan29

mandi wrote:

but why do you think the vendors are " trying to screw you" its the EA that sets the price.

Eh? Since when?

Dan29

jyonda wrote:

Asking price 265. If we offer just above 250 to get an offer accepted and the property taken off the market then after the survey offer 249,950 will the vendors accept or put it back on the market?

If you offer exactly £250,000 you will pay £2,500 stamp duty - see http://www.hmrc.gov.uk/so/current_sdlt_rates.htm

Psychologically, they might accept this rather than £249,000?

Of course they may be hoping to get over £250,000 but I think many people would be put off for exactly the same reasons as you.

nmiah786

Stating the obvious maybe, but does the poster realise that by paying £250k for the house the stamp duty will be 1% not 3%, so I dont see the point of reducing it from £250 to £249950 after survey.

1% of £250k = £2500
1% of £249950 = £2499.50

if you go above £250k only then is the stamp duty 3%!!!

jyonda

I thought it was everything 250 and over that is liable for 3% so thanks for that.
I am not offering 250 before survey, I'm offering 253 so I will have saved 8 grand if they go for it.
The mortgage valuation will be separate to my own survey and will highlight work needed so from that stance I can look to negotiate.

Thanks

nmiah786

jyonda wrote:

I thought it was everything 250 and over that is liable for 3% so thanks for that.
I am not offering 250 before survey, I'm offering 253 so I will have saved 8 grand if they go for it.
The mortgage valuation will be separate to my own survey and will highlight work needed so from that stance I can look to negotiate.

Thanks

If the mortgage valuation says that it is worth your purchase price of £253k in its current state then you will have no chances of negotiations IMHO.