Part exchange advice

leh1980

We have recently submitted a part exchange enquiry with Persimmon homes. The property which they have for sale is an existing part exchange property (about four years old) for £229,950.00. We were told when we made the enquiry that there is very little negotiation for part exchange on current part exchange properties (in comparison with part exchange on new build).

Prior to making the part ex enquiry we had our own valuations done on our current property (were also looking at private sale) and they varied between £169,000.00 and £165,000.00. We know that our neighbour’s property sold in Jan 2007 for £163,000.00 and his house is identical (but probably better condition) so we thought our valuations were slightly high.

Persimmon have offered us £155,000.00 for our house and reduced their part ex property to £222,950.00. We are now stuck and not sure what to do. We think that the part ex property is worth £229,950.00 (the orginal price) 0but really wanted more for ours (we paid £162,000.00 for it two years ago). If we part ex then we will save about £2,500.00 in agent’s fees so we have to take this into consideration. We have tried hard to push Persimmon on their offer but they say there is no more room for negotiation.

Any advice/suggestions would be gratefully received (we have a second viewing on property tomorrow and have to reserve then if want to proceed).

Thanks

leh1980

Anyone able to give any advice or suggestions?

silvercar

so you would probably accept £163,000 for yours. less estate agents fees etc of £2,500 leaves you with a tad over £160,000. you then say you would be happy to pay £230,000 for the new place. so the difference you were prepared to consider is £70,000.

They have offered you a difference of £223k-£155k=£68k.

So you pay £2,000 less than you were prepared to and get a guaranteed buyer with no chain hassle. If it is the house you are sure you want, rather than the deal being attractive, I would bite off their hand to secure this.

mrs_deadline

So they have come down £7,000 from their asking price and you are being asked to drop £10,000 from your lowest valuation, but offset by the £2,500 you would save on fees, that's equivalent to a drop of £7,500, so only £500 in it. And don't you all save a bit of stamp duty by working with the reduced prices?

From past experience, there's little point arguing with Persimmon once they've decided on their bottom line, they just say 'take it or leave it'. Good luck making your mind up!

leh1980

Thanks for your replies. It helps having other peoples' views on the deal offered.

We paid well over the odds for our current property so are keen not to get ripped off again!! I think we will view the house again tommorrow and will probably go for the deal offered.

Thanks again.