First Time Buyer - deposit to secure offer

eggwater

Hi folks

Here's my/our problem (i'm totally sick of house buying by the way the whole system is ludicrous).

weeks ago we offered on a house and got rejected.

We then found another house for a lot more money and got accepted.

We instruceted solicitors and sorted out mortgage only for the first house to get back to us and accept.

This seemed like a more affordable option so we canx everything that was going ahead and went with the cheaper house option.

today i get a phone call from the estate agents saying that the house has an offer the same on it and that if we pay 500 quid (non refundable) deposit the vendor will stick with us.

what the hell shall i do?

My reaction at first was shock, then i thought i'll pay it. My dad then siad don't. I'm now thinking i'll offer to pay 250 quid deposit.

I hate playing these games.

please help.

fabbers

eggwater wrote:

500 quid (non refundable) deposit

What on earth is that about, what happens if there's loads of dodgy stuff on the survey that the seller refuses to sort they'd have you over a barrel.

Sounds too dodgy to me but it depends on how much you like the house i suppose.

Just get everything in writing i.e. if sellers backs out it's refunded and if you back out due to unsuccesful negotiation following survey/fixtures + fittings etc. it's refundable.

If they've been messed about by a previous buyer you can kind of understand it but still weird.

eggwater

fabbers wrote:

What on earth is that about, what happens if there's loads of dodgy stuff on the survey that the seller refuses to sort they'd have you over a barrel.

My thinking exactly.

My mate reckons that we should ask the vendor to pay a 500 quid non refundable deposit too.

Will.Power_2

You should agree and establish in writing, exactly the terms of the deposit and when it would/wouldn't be refunded. eg. what if vendor backs out? or delays exchange beyond that which is reasonable.
Suggest you talk to your solicitor before parting with any money.
Bear in mind though how you would feel if they backed out of the deal, as you appear to have done with the second house you were after...

eggwater

Will.Power wrote:

Bear in mind though how you would feel if they backed out of the deal, as you appear to have done with the second house you were after...

Yes understandable - however we knew that the other house was still on the market until our valuation survey would take place. We pulled out just before this happened. The vendor here lost absolutely nothing. They were still allowing viewings and the house had been on the market for ages.

We had some unexpected salary news that may have affected the mortgage too so it made sense to go for the cheaper option.

Mrs_pbradley936

I would only pay a deposit “subject to contract”. Meaning I would pay it but if no contract came about I would want a full refund. It used to be common to show that you were a serious buyer rather than a day dreamer who could mess up the whole chain. It is non-returnable in that the deposit comes off the purchase price.

eggwater

But what would happen in the likelihood of the survey highlighting certain problems?

I've made my decision now anyway. I'm sure I'm being played therefore I don't wanna buy off someone i don't trust.