Cash buyer discount

hazyjo

N79 wrote: »

Cash buyers have no chain so they can anchor chains without a long string back to a FTB. This can be important for larger properties in the current market as it allows people to move!

Richard_Webster wrote: »

Remember however that some people say they are "cash buyers" when they are not getting a mortgage but still have a property to sell!

Our last buyer was a so called 'cash buyer' (ie selling but didn't need a mortgage) and had a first time buyer buying hers. She pulled out! We'd taken quite a while to get to that stage. Certainly no guarantees.

The only time it saves is that they don't need to fix a mortgage. But that's usually done alongside other things (it certainly hasn't slowed us down) so I don't really get the rush, unless you're selling up and desperately need the cash. They still need a survey (and probably valuation - am sure they'd want to get it valued in case they were overpaying). Chances are the person a cash buyer's buying from won't be a cash buyer and will be buying something else (not always the case, obviously) which is likely to take up to 3 months anyway.

Not sure I'd actually want a cash buyer snapping at my heels after 3 weeks or so! Not if in a chain. If going to rent or selling for the money, might be a different story.

Selling to an Investor (not cash buyer) at the mo and he wanted to exchange within 3-4 weeks. Think we're now in week 9! He's luckily not chased - he's mainly the one who slowed us down anyway as he didn't even get his survey done until a week or so before Christmas.

Anyway, let us know how you get on. Might be that they don't need the full price and would be happy to take a hit - but I'd suspect that would apply to an offer from someone needing a mortgage too...

Jx

Catatonia

Thanks, some good points made. It sounds like it's not worth going in with a low offer unless it is one that has just had a sale fallen through or something.

Doozergirl

I have a lower point that I'm prepared to accept. Someone without chain is someone who is likely to see me accept that figure. I would not treat a cash buyer favourably to someone without chain who needed a mortgage, in fact I'd probably be more wary of them if they were pushing their position on me.

What I don't like is chains. I am incredibly wary of selling at a price which is going to compromise me when I'm sat for six months waiting for it all to go through.

Catatonia

I'm chain-free anyway, so perhaps I should just concentrate on putting that across.

I know what you mean about chains. I accepted an offer on my property that was lower than I'd have liked in July from a couple who were 'chain-free'. It then emerged that they actually did have something to sell, so it didn't end up being the quick sale I was promised. They were near exchange when they offered on mine so it didn't delay things too much, but it did annoy me that they couldn't just be honest.

azkaban420

Being chain-free will definitely work in your favour as people are so wary of chains breaking down (I know I am) so this is something you should absolutely use as a leverage point.

Good luck

Az