Buying without selling..

Gru14

Hi all,

I've been following the waiting for a buyer thread for ages as our property has been for sale for 9 months but still no offers despite big reduction in price..
I'm now considering all other available options as we are desperate to move, so wanted to get other peoples ideas/thoughts..

We own our current property outright. I was a cash buyer from day 1 so have never had a mortgage and am lacking in knowledge of this area although have a good broker courtesy of a friends recommendation.
Current property is worth in the region of £400k and I am looking to buy somewhere for around £600k. Is there any way to raise this money without first selling property A? I'm aware there are now additional second home stamp duty fees so trying to weight up my options, which I see as the following:

a) Continue to be patient, leave property A on market and wait it out until a buyer comes along, sell, top up with mortgage and buy dream house B

b) Take A off the market, stop being a petulant child and wait until next spring and relist to see if a fresh market helps and start this miserable process all over again.

c) Keep property A, rent it out. Mortgage it for a deposit on dream house B and raise rest of cash with another mortgage for said dream house. Possibly die of landlord stress.

d) Start looking for dream house B without being immediately proceedable in the hopes I'll find it, and can afford it with property A selling for a total steal so I can slash the price for a quick sale.

I can't think of any other options? My Dad is convinced option d is a good one but I'm loathed to even look for a property without being under offer incase I end up falling in love with somewhere and losing it..

Really welcome any advice as not moving is preventing us from doing other things in our lives now. We are in the most fortunate of positions and there are no real pressures for us to move other than what we are putting on ourselves but I've just got in far too deep with the idea and it's taking over every waking minute. :rotfl:

marksoton

Chances are property A is still overpriced despite your reduction.

Bluebirdman_of_Alcathays

Whatever you are basing your value on for property A is unrealistic.

Hoploz

It's perfectly do-able to buy another property before you've sold the other one. I did it when my sale fell through at 11th hour once, also have done it and kept the first property and let it.

However, these figures are quite high. Have you spoken to the broker yet? You need to know what level of mortgage you're likely to get, which will be based on your income of course. So if you're looking to buy a house at say £600k, you will need a cash deposit (absolute minimum 10%) plus an income to support a mortgage of the remaining £540k.

Cakeguts

Work out what it is about property A that makes people think it is overpriced. Every property has its price. A property is only worth what someone will pay you for it and as no one has paid you your asking price for your property then this price is wrong. If you want to sell it you have got to work out what the actual price is that someone will offer you for your property. What you think it is worth and what your estate agent valued it at doesn't mean that this is what someone will pay you for it.

Candyapple

Do you have a RM link for your property?

What area are you selling in? Have you had many viewings/feedback from buyers?

If your property has been on sale for 9 months, assuming there is nothing drastically wrong with the property, 9 times out of 10 it will be price that is the issue.

Don't forget if you've made lots of price cuts in those 9 months that some buyers may be put off by that and wonder if there is some underlying problem with the property.

phoebe1989seb

What part of the UK are you in, OP? I know that where we live currently (West Midlands), some houses are taking years to sell, something we struggle to understand coming as we do from the South East We are planning on selling soon (also have no mortgage) and are not prepared to wait that long, so will do as we've done previously in slower moving locations and price realistically.

For example in our last location - rural Wiltshire - we were advised that our type of house (mid price range, period property, sympathetically restored - but on a busy A road) would take up to twelve months to find a buyer. Like yourself, we wanted to move desperately so we marketed at a price lower than the lowest of the five EAs had quoted.

When it had only had two viewings and no offers after one month we dropped the price to just above the minimum we'd accept - enough to get our money back and make a small profit - and immediately we received three offers, one at asking price.......we went SSTC after a total of five weeks on the market

Be brave, post up a RM (or Zoopla!) link and let the good folk of MSE advise!