Found a buyer before instructing agents. Now what?

greenstick

Through word of mouth I think I have found a buyer for my house before instructing agents.

They have seen the house and are very interested. If they offer an acceptable amount, what do I need to do next?

Do we just need to instruct solicitors? Would it make things easier if I went with the same firm they are using?

Cheers

kazd

Instruct the solicitor and save yourself a couple of thousand. The solicitor should be able to advise you. The estate agents don't really get involved after the offer is made. Unless of course there is a problem in the chain and then they might mediate.

courtjester

Yes, you don't need an estate agent, they only provide the marketing, you just instruct a conveyancing solicitor to handle the sale once you have agreed price with you rbuyer.

Don't even think of using the same solicitor as your buyer, this is a conflict of interest, although selling (only) is less risky than buying from a legal point of view.

Happy_saver_4

If they make an acceptable offer you need to know the following before accepting the offer:-

Have they a mortgage already agreed in principal or haven't they even tried getting a mortgage? Or, are they cash buyers etc. etc.

So, now you should know how they're going to pay for your home.

Their existing home. Do they need to sell a property before buying yours? If not, are they in rented property etc. If they own a property have they 'sold' it ie contacts exchanged? Is it on the market? How long has it been on the market? If there is a potential buyer how far has the sale proceeded, has their buyer got their mortgage? Has that buyer got a property to sell? If so, how long is the chain? Etc. etc.

So, now you should know how complicated their purchase will be and whether it's likely to ever reach completion.

The subject to's. Whilst the whole deal is 'subject to contract,
' you need to know if there's any other subject to's. Does any other family member, friend etc need to see the property. Is it subject to their children getting into the local school. Is it subject to getting a local job, etc etc etc

So , now you know if there's any unrealistic conditions.

You now can decide if the offer is of substance and then decide whether you wish to accept it ' subject to contract'.

OR

You may wish to suggest that , when they have a mortgage in principle or when their sale has progressed a little further or when some of the 'subject to's' have been sorted you would be more inclined to accept their offer.

Unfortunately private sellers often get carried away with enthusiasm, saying " I've sold my house" when actually someone has only viewed and made an offer. Always remember your property is not sold till contracts are exchanged. You must keep your feet firmly on the ground and work out the if the offers you receive are from a genuine purchasers or are 'dreamers'.

If you accept their offer you need to take their name address and tel no. Also the name of their solicitors. You then pass these details to your solicitor who can then start processing the sale for you. Good luck

greenstick

Excellent advice, thank you all.

I'll establish their position, "subject to's" and the timescales involved. It may be worth paying out for the agents fees afterall.

Thanks again

Happy_saver_4

greenstick wrote: »

Excellent advice, thank you all.

I'll establish their position, "subject to's" and the timescales involved. It may be worth paying out for the agents fees afterall.

Thanks again

Save yourself a few thousand £'s , if you can.

If you ask the previous questions and have anything you're not sure about, just PM me.

Probably it's obvious, but for many years I used to be an EA. :eek:

rjm2k1

Can we assume that you have had valuations from agents?

steb4life

greenstick wrote: »

Excellent advice, thank you all.

I'll establish their position, "subject to's" and the timescales involved. It may be worth paying out for the agents fees afterall.

Thanks again

Save yourself the money!!! Find out their position as described above, if you are happy get them to write to you with an official offer and the details of their solicitor. Then send them an official acceptance with your solicitors details to pass on.

The solicitors will do the hard work. Feel free to PM me also for any advice along the way. If the sale is complicated an Estate Agent is only going to do so much and you will be paying a premium for it when you can most of the advice on here for free.

Happy_saver_4

steb4life wrote: »

.........Then send them an official acceptance with your solicitors details to pass on.................

I definitely would not do this. !!!!!!!!!!!!

I suggest you put nothing in writing to accept their offer. You may find you've totally committed yourself to a legally binding contract without a get out clause. If they do not proceed with their purchase in a reasonable and timely manner you may wish to withdraw from the sale etc.. Any acceptence offer contract should be worded by your solicitor and will contain 'subject to contract' and perhaps an expected completion date etc etc.

Please do not commit yourself to anything in writing without consulting your solicitor.

As I said previously, get the purchasers name etc and solicitors. Pass this info to your solicitor for him to deal with.

Afterthought:-

If the purchasers give you an offer in writing and you accept that offer in writing - why bother with solicitors Please don't write any offer acceptence !!!!

greenstick

rjm2k1 wrote: »

Can we assume that you have had valuations from agents?

To give a little more detail on this.

This house is one which I have inherited (luck me!) and is in dire need of modernisation. It was valued by 3 agents both as it stands at the moment, and an estimated figure was given for it in a renovated state (all three gave the same amount for it renovated).

The figure I have asked for is the expected renovated price, less the approximate cost of renovation. This way, there is no hassle of doing the work (done it once on my own house, not sure I could cope doing it again), no outlay for materials and labour, and no risk of it not meeting the price the agents estimated.

I understand they have a house to sell, but I am in no hurry so I think I'll ask for an offer in writing and agree a timescale for them to sell theirs.

Thank you all for your advice, and the kind offers of help should I get stuck.

Greenstick

steb4life

Happy_saver wrote: »

I definitely would not do this. !!!!!!!!!!!!

I suggest you put nothing in writing to accept their offer. You may find you've totally committed yourself to a legally binding contract without a get out clause. If they do not proceed with their purchase in a reasonable and timely manner you may wish to withdraw from the sale etc.. Any acceptence offer contract should be worded by your solicitor and will contain 'subject to contract' and perhaps an expected completion date etc etc.

Please do not commit yourself to anything in writing without consulting your solicitor.

As I said previously, get the purchasers name etc and solicitors. Pass this info to your solicitor for him to deal with.

Afterthought:-

If the purchasers give you an offer in writing and you accept that offer in writing - why bother with solicitors Please don't write any offer acceptence !!!!

I think you're scaremongering a little here. Putting an offer in verbally can attract the same legal ramifications. There are template letters for making and accepting offers:

http://www.lawpack.co.uk/sell_your_own_home_downloads.asp

Why bother with solicitors?
They need a solicitor for conveyancing - though it's possible to do this DIY as well.:cool: