Need Immediate Advice! Just had an offer.

housebuyer_3

Best advice is not to panic.

You should accept both offers subject to who can get surveys done, financing in place and exchange contracts first. This will get you a serious offer (may be the lower one) and a SALE, which is what you are looking for. People do offer and pull out and your house is still not sold until contracts are exchanged. This may bother one of the buyers but if they are serious they won't mind and get their act together fast.

Jorgan_2

Before accepting any offer, you need your EA to establish that the interested parties can actually raise the finance required to purchase your property. Just because somebody puts an offer in, doesn't mean they can afford it. Get your EA to check this out with both parties.

icklejulez

second viewer went back to EA to ask them to tell us to wait 24hours whilst they go away and find out what the maximum is they can offer. So hopefullt tommorrow morning Ill know what is happening!!!

I wont be able to sleep. 1st Viewer never increased her offer from 120k so she must not be able to raise anymore as surely she would not risk losing the house for 1k or so!

lilyann1

I know what you mean about not sleeping,as I haven't slept for 7 months while this process has been going on and we're still not sorted out.
Is the second viewer chain free also???
You have consider along with the offers who is in the best postion to move and also agree have to get your agent to check that they can get the funds.

icklejulez

The second buyer is meant to complete any day on her house. She has a mortgage in principle although only at dinner we got the news that she is thinking of possibly around the 122k mark. 2k more than the other. The EA has therefore asked both parties to come in and show there financial status. She advised that we dont want to accept an offer till this was done but are sure the second couple will be using the EA's advisor for a morgage so is she more likely to recieve a back hander. The Bridgfords in Stockport told us if we meet with their advisor she will reccomend me to sellers.

Shrimp_Stu

Sorry if this has already been covered.
But is your house in a Stamp Duty exempt area?

If it isnt then the buyer will have to pay 1% Stamp Duty on the purchase price, so even though you have recently reduced your asking price the buyer will want to avoid paying the 1% Stamp Duty on a purchase over £119,999. So, don't be surprised if you dont get any offers above this "magic" figure as buyers resent paying any extra money into Gordon's coffers when it can be avoided. So, if they offer you £121,000 then Gordon gets £1,210 and the real cost for just the house purchase alone would be 101% of your purchase price (excluding all other fees solicitor, mortgage, searches, etc)

Mrs_Arkwright

Shrimp_Stu wrote:

Sorry if this has already been covered.
But is your house in a Stamp Duty exempt area?

If it isnt then the buyer will have to pay 1% Stamp Duty on the purchase price, so even though you have recently reduced your asking price the buyer will want to avoid paying the 1% Stamp Duty on a purchase over £119,999. So, don't be surprised if you dont get any offers above this "magic" figure as buyers resent paying any extra money into Gordon's coffers when it can be avoided. So, if they offer you £121,000 then Gordon gets £1,210 and the real cost for just the house purchase alone would be 101% of your purchase price (excluding all other fees solicitor, mortgage, searches, etc)

Does stamp duty differ in different areas then - the threshold is £125000 where I live.

Carter_2

I believe the 1% threshold to be between £125,001 - £250,000. I think there may be areas of exemption where it starts at £150,000 though?

icklejulez

It is indeed 125k for the stamp duty threshold and we have had two offers one at 120k and one at 122k. Thanks for your help but wonder if you read the thread correctly.

Carter_2

My posting wasnt directed at you icklejulz, it was to the subsequent poster raising stamp duty as a possible reason for lower offers. I had understood your posting.

So...have you sold then?