Being gazundered

AdrianC

gettingtheresometime wrote: »

I have no advice but I think a lot of people are blaming Brexit for a lot of things, surprising really given we haven't evoked article 50 yet

Nice handy excuse to try and badger a discount. No more than that.

smile88egc

Or conscientious FTBers that don't want to start out property ownership in negative equity........
At the end of the day they offer what they offer, they are free to drop the offer, a vendor is free to decline. To an extent the reasoning behind the offer/reduction is irrelevant.....
UNLESS you think their reason for reduction is not unique to their circumstance, and that reason may affect possible future offers in the event this chain collapses.

konark

Just how much are these 'first-time buyers' paying 'cos 15 grand is a large percentage reduction in ftb territory?

peter_we

Depends where its is, because 15K is peanuts for London, its less than 3% on a bottom of the ladder small flat.

Based on the few hundred asking prices reductions I've seen 6% is more of an average (25-75K range) Brexit discount.

I agree the FTB should pull out rather than ask for a discount. Let everyone in the chain get clarity on the true valuations, and allow the FTB to make a fair offer which can be reject or negotiated anew.

Mickygg

I'm hearing this a fair bit round my way.

No one knows what is going to happen to house prices. If you do call their bluff and they pull out, then how would you feel, only You know that.

What I would do is calculate a value to you, what would be a value of not selling for say 3 or 4 months - so chuck in mortgage costs, council tax (I assume you will have to keep paying), bills, abortive costs etc and then I'd offer that to them as a reduction to show willing. Make it clear though that it's a one off and no more reductions or you will re market.

That's what I'd do as I would not want the hassle of reselling in this uncertain market.

I'd be tempted to stick to my guns and say no, but it all comes down to your preference or risk to potentially having to start the selling process over again.

sheff6107

Even if everything went smoothly and you moved into your own place they'd be that constant niggle that someone had shafted me.

£15k / £7k is a large discount, but will seem even larger when there is absolutely no justification for it being demanded in the first place.

DRP

It entirely depends on context - if you value speed over cash, then proceed.

always_sunny

you really have two options:
a) You give them the discount and sell quickly
b) You find another buyer

If you're confident the property can achieve the price you could always wait.
It depends on factors where and how expensive is the property. I would be cautious to buy anything that is hugely overpriced now.

lydriver

I appreciate how it works but asking you to put money in to help a stranger buy a house just sounds dodgy to me!

would it not be more normal to ask you to reduce the price of your flat???

cloo

I had this when I sold my former home that I had been renting (I mean the gazundering, not the Brexit excuse!). In the end I met them in the middle as I wanted to get on with selling it, even though I had no mortgage, and it was still for lots more than I had expected to get for it.