Paying for searches for the new house but my buyer pulled out

macman

OP, get real. No buyer will exchange without an agreed completion date in writing, it's part of the contract. Typically 4 weeks, but it can be less, and can even be the same day.
If you fail to complete and give vacant possession on the nominated day, then you are in breach of contract and can expect to be sued for a very large amount.

bspm1

Why are people saying dont use Purplebricks??

Daughter sold her house last October through Purplebricks, Buyers had a Mortgage in Principle, surely people must know that mortgage in Principle isn't a guaranteed Mortgage and therefore nothing to do with who is selling the property for you??

In fact when the buyers Building Society did the survey on daughters property they down valued it £10.000, buyer still wanted to go ahead but a compromise was reached whereby they put an extra 5,000 down and my daughter took a £5,000 loss, sorted.

It seems that a lot of people have their Mortgage in Principles in place but currently many many banks are down valuing properties to ensure negative equity wont occur.

I really think the problem is with the Banks (brexit?) than an Estate Agent.

OP, I think you do not have any idea how buying and selling works and no one will buy your property and allow you to live in it until you get a new property, dream world.

bspm1

Oh, and to add

Three bricks and mortar Estate Agents all visited the property In July last year and every one of them advised to try the property at £185,000 for one month, then if no interest to drop it to £175,000 to possibly achieve a sale price of £170.000.

purplebricks valued the property at £170.000 during their survey but daughter said she wanted to go with the higher price advised by the bricks and mortar Estate Agents. So it was put up for sale at £180.000, an offer was made for the full asking price 4 weeks later but when the buyers Bank did their valuation they valued it at £170.000 so would only lend the 80% of that leaving the £10.000 shortfall as previously mentioned.

Seems like purplebricks were right doesn't it? She moved out September. Job done and well done pruplebricks, total cost £799.00 instead of between £1700 and £2500 selling fees.

No brainer in our books.

edited as wrong selling fees entered as pointed out, so kindly, below

AdrianC

£3,400 on a £170k sale? No EA would charge 2% with a straight face... And no sane buyer would sign up for that.

bspm1

AdrianC wrote: »

£3,400 on a £170k sale? No EA would charge 2% with a straight face... And no sane buyer would sign up for that.

Yes you are right, I couldnt remember the exact figure from the High Street Estate Agent so went with 2%, I believe it was somewhere in the region of 1-1 1/2% so between £1800 and £2500, I will update my op.

Either way still a lot cheaper dont you agree.

hazyjo

dinerodinero wrote: »

Selling and buying

How did you end up in the property you're currently in? :think: Did you inherit it?

Purple Bricks is fine - but probably not for people who haven't got the foggiest about how the process works.

Skimmed the rest, but got the impression you will say you're not going to buy then tell them last minute you're about to start looking? That's in no way more reliable. I would pull out, as would many others (timescale for one, and the fact I'd not trust you the other). Mortgage offers tend to last 3-6 months for a start, and you'd be making the process last around 6 months instead of 3 months (presuming the property you want is the top of the chain, or that the chain is at least complete).

I am guessing the main prob you have is that your 'buyers' have got small deposits or are FTBs. Lenders are obviously going to be wary. If they're putting say 5% down, it won't take much to put them in negative equity. Even if yours isn't overpriced, it certainly sounds it's been priced towards the higher end. If you try and avoid it again, don't sell to a FTB, and sell to someone with 50% or so to put down. Still no guarantees, and obviously you're massively limiting your market, especially if it's the sort of home that will attract FTBs or single owners.

hb2

We also had a good experience selling via PB, they gave a lower valuation than 2 High St EAs, and we had our buyers within a couple of weeks. I don't think the OP's problem lies with the EA!

Davesnave

I think if you have a bog standard house, PB-type internet agencies may be OK, if you're prepared to do some research yourself and viewings. Of course, some individuals should never do viewings, but they won't be able to identify themselves!

If you're like friends of mine with a developable house and a couple of building plots (i.e. something definitely not bog standard) it probably isn't the best idea to go internet cheapie.....but they have.

bspm1

Davesnave wrote: »

I think if you have a bog standard house, PB-type internet agencies may be OK, if you're prepared to do some research yourself and viewings. Of course, some individuals should never do viewings, but they won't be able to identify themselves!

If you're like friends of mine with a developable house and a couple of building plots (i.e. something definitely not bog standard) it probably isn't the best idea to go internet cheapie.....but they have.

Like High Street Estate agents, purplebricks do viewings for you too, they all do the same and most people selling have a bog standard property anyway surely.

lisyloo

bspm1 wrote: »

Like High Street Estate agents, purplebricks do viewings for you too, they all do the same and most people selling have a bog standard property anyway surely.

I don’t know much about purple bricks but all EAs are not the same.

I had a choice of 2 who were very familiar with the block our property was in.

The high st EA used online portals, newspapers and also had a high st presence close to bus/train/town and the latter is important if your selling to the older generation (not everyone is internet savvy).

The other company specialised in retirement properties so had buyers specifically looking for that type.

No way can you say they are all the same.
A % of the house buying population can’t even use a computer.