Deposit for house I am currently buying

erind

Im just going through the house buying process. Had the survey done on my new property, and everything is being processed quite speedily through the solicitors. However, I asked the estate agent if the vendor would be willing to take the house off the market, now that he knows we are committed to buying. He has agreed, but then said he wanted us to pay a deposit. From what I can gather he needs this in order to put a deposit down for rented accomodation.His estate agent told him its not normal practice and will look into the matter for him. He has only had one other viewing on his property and no offers, so I cant understand it. I also ran this by my solicitor (not the friendliest person in the world!) who advised us not to pay (not that I intended to anyway), but she did say that its quite common , and that she sees nothing wrong in it. She also said that occasionally she has recommended a seller requests a deposit. Has anyone ever heard of this before?

izoomzoom

Hi,

I always understood that you gave your deposit (if you have one) to your own solicitor, who would only pass it up the chain on exchange.

Surely by then the vendor will know you are serious ?

jamminjamaica

i think this maybe fairly common. i have heard people of this forum talking about having to pay deposits.

Doozergirl

If he's really that skint, there must be someone out who can lend him the holding deposit on a flat in the time between exchange and completion? Or even just put him up for a few days while he's got the cash in the bank to then use as a deposit?

The reason he's asking for a deposit is for him to spend, not for someone independent to hold (which I have done before) and I therefore wouldn't be happy for him to have my money before completion, even if we'd exchanged contracts.

erind

I think your right Doozergirl. He's just trying it on. I wont be paying him a penny. He can wait. Thanks for your replies.

ABN

Think about it. You have not even exchanged and he has a wad of your money. What happens if he or you pull out?
You then have to try to chase him to get that monies back which he has already spent. Now that don't sound a very easy thing to do

david29dpo

any holding deposit before exchange should always go to the solicitor. you MAY agree to lose it if you do not exchange for a good reason but this is rare. dont bother.