advice please

georgem

Hi all

Need a bit of advice? We recently viewed a property which is up for sale privately at 265k. We liked the house (3 bed detached on a main rd)but is not worth anything like that amount. We put in an offer for 248k and whilst it was not instantly accepted,nor was it rejected. The Vendor has stated that he would help us out by accepting 250k and that he would like a substantial sum for fixtures and fittings? what to do? help

Mrs_Optimist

If you don't think it is worth what the vendor wants for it, then don't buy it.

jamminjamaica

if you are happy to pay £250k go for it. but tell him you dont want to pay extra for the fixtures and fittings

Doozergirl

georgem wrote:

The Vendor has stated that he would help us out by accepting 250k

I hope he didn't use the same phrase! Who's he helping?

Fact is with properties at this mark, it is only worth £250k because of the stamp duty threshold and it will also take a hefty rise in house prices to push the house over that mark.

He's either not aware of the fact that you can only pay for f&f at their current used value which most likely will not add up to a 'hefty' amount OR he's asking for a brown envelope. Solicitors will most likely not have anything to do with a 'hefty' amount for f&F as they too will be implicated if tax evasion is occuring (which, let's face it, your vendor wants you to do).

Your vendor will be very, very lucky to get an offer over £250k so stick at that. The only benefit of the £250k stamp duty threshold is that you get a higher than average number of houses in that price bracket, so there's plenty to choose from. I personally would steer well clear of houses at that price point because my equity wouldn't be likely to increase for quite some time. Depends on how long you plan to stay there though.

david29dpo

putting a house on the market for £265k means it will go for no more than £250k. simple!

Vincenzo

david29dpo wrote:

putting a house on the market for £265k means it will go for no more than £250k. simple!

Sorry David29dpo but I have to disagree.

After working as estate agent and now a surveyor I can think of many examples where properties have sold between the £250k-£265k mark. Yes, even at £255k.

The simple fact of the matter is that where there is sufficient demand the stamp duty becomes much less of an issue. Sure, no one wants to pay the extra £5k or so but if you have to to get the house of your dreams, you will.

I am not saying it is not a barrier because it is and it is a ridiculous system. However in today's market (my experience is of London and Surrey) the jump to 3% has become far less of an issue due to lack of housing stock and a strong demand for property.

Doozergirl

Vincenzo wrote:

I am not saying it is not a barrier because it is and it is a ridiculous system. However in today's market (my experience is of London and Surrey) the jump to 3% has become far less of an issue due to lack of housing stock and a strong demand for property.

We'll assume the 3 bed detached house on at £265k isn't in London, shall we?;)

Vincenzo

Perhaps it is - although I am in the process of buying a three double bedroom detached house in Surrey for £265k. Albeit it probate and in need of a great deal of work.

I highlighted the area I am involved in as it is not always possible to relate your experiences in one part of the country to another.

johnofhertford

georgem wrote:

Hi all

We recently viewed a property which is up for sale privately at 265k. We liked the house (3 bed detached on a main rd)but is not worth anything like that amount.

It's worth as much or as little as someone is willing to pay for it.

david29dpo

Vincenzo wrote:

Sorry David29dpo but I have to disagree.

After working as estate agent and now a surveyor I can think of many examples where properties have sold between the £250k-£265k mark. Yes, even at £255k.

The simple fact of the matter is that where there is sufficient demand the stamp duty becomes much less of an issue. Sure, no one wants to pay the extra £5k or so but if you have to to get the house of your dreams, you will.

I am not saying it is not a barrier because it is and it is a ridiculous system. However in today's market (my experience is of London and Surrey) the jump to 3% has become far less of an issue due to lack of housing stock and a strong demand for property.

very good comment. i live in the midlands!! but the first thing in my mind, and many others i think, is when a house gos on the market for£265k, up to to about £270k iss is the stamp duty. the vendors must think the same.