First time buyer - baby on the way

MrChips

Thanks you have been really helpful.

Chinkle

MrChips as soon as you see a solicitor they will tell you, you'll never get away with that list/price for a load of dodgy old junk, some of which shouldn't even be on the list - wires in the wall and light fixtures, carpet fall part of fixtures and fittings.

What's this finders fee? Is it going to the EA or being passed on the vendor? Whichever way, don't get involved, your solicitor should tell you such too.

As I said previously, the vendors are extremely lucky to have a FTB at that level of asking price and have got their heads completely buried in the sand if they think they can get anything over £500k for the property.

I would go back to the EA and say you've seen a solicitor and been advised not to attempt to try any of these stamp duty avoidance tactics. Therefore your offer is £500k take it or leave it.

These vendors aren't gonna get a better deal elsewhere despite the lines you've been fed by this distinctly dodgy EA. Go into rented and keep a watchful eye on what happens with the property. Who knows in six months time you may get it for £475 or less!!

Catatonia

I would go for a local solicitor (local to where you're buying) as they may have better knowledge of potential issues.

But I really really would stick to £500k.

Oh, and I imagine HMRC would be looking at properties just over the £250k or £500k mark like this one closely to see if they can discover tax fiddles.

MrChips

Some relatively good news this morning After my wife has got involved and basically been a bit less polite than I am (I am too English ) they have offered to meet us half way.

Final suggestion from them - £500k for the house, £2.5k for chattels and we pay £5k to the agent as some sort of "finder's fee" or something like this - my wife didn't quite get that bit and I'll call to clarify. I guess the implication is that this will be passed onto the vendors...

We are prepared to spend £507.5k cos we do love the house and we can afford this. I think the chattels are now at a more believeable price based on previous comments!

My only concern is with the additional £5k.

Catatonia

That's good that you're happy with the price. The £5k to the EA sounds very dodgy if they will pass it on to the vendor, and I would not want to be giving an EA like this £5k for nothing!

I hope it all works out for you.

hazyjo

If you're happy, I suppose that's all that matters. Dunno about legally though - the £5k still sounds very dodgy to me too! They'd never have got anyone else to pay it, so it is a bit of a case of £5k down the toilet. I'd rather be spending that on my baby than lining some greedy [bleep]'s pockets. Have you discussed it with a solicitor yet? Hope the offer was made subject to survey. Think they all have to be anyway, tbh. Fingers crossed.

Good luck.

Jx

MrChips

We haven't agreed yet - still mulling over the finder's fee. From a quick google search tt does seem that some agents/buyers agree such an arrangement in exchange for the agent doing the legwork to find somewhere that ticks the buyers boxes. I'm just not sure if I am comfortable with the idea...

hazyjo

If you'd have walked in there saying you didn't have time to look but would they do the searching through other agents, or whatever, yep, I could understand it. But you found this property yourself and approached them, didn't you? Sounds like a very underhand way to fleece another £5k out of you. Are you sure the vendors are even aware, or are the EAs the greedy ones here behind the vendors' backs?

Jx

MrChips

That's a good point - perhaps we should have a word with the vendors in due course!

AMILLIONDOLLARS

Finder Fee - basically you are paying the Vendor's Estate Agents fees. So they get you to pay their asking price, plus the fee they would have paid to the Estate Agents. Nice little earner for the vendors I think! What I think the Agents will do is to refund the money to them once the sale has gone through.

There are schemes where the vendors offer to pay the buyers stamp duties, this is the reverse of this you are paying the vendors costs to the Estate Agent, if you are happy doing this fine, if not....

I'll say this time and time again. Run like hell!!!! You're a First Time Buyer = easy prey.

AMD