Vendors demands - considering pulling out

KatieDee

Slinky wrote: »

My guess here is that the family member has taken money out of a 2019 ISA to lend to the vendor and has now discovered that they cannot put it back into the ISA using this years allowance, if it isn't back in before 5th April, hence the rush to complete before the end of March.



Once 5th April has gone, the 2019 ISA boat has sailed away and it won't be an issue anybody can do something about.

The amount they lent was £130,000 and the EA mentioned something about it being linked to a business, so I assume it's something to do with the end of the financial year.

Slinky

KatieDee wrote: »

The amount they lent was £130,000 and the EA mentioned something about it being linked to a business, so I assume it's something to do with the end of the financial year.

Then I can imagine why the family lender is stressing about it!

LandyAndy

KatieDee wrote: »

The amount they lent was £130,000 and the EA mentioned something about it being linked to a business, so I assume it's something to do with the end of the financial year.

Hmm, director's loan? £42,250 of corporation tax to cough up if it isn't repaid in time. Could be.

Mr.Generous

I would definitely book a viewing on several of the other properties to get perspective, If you like them put an offer in a couple of £k below asking price - you'll be looking at a nice holiday and a house rather than a load of work, cost and stress.

Then I'd tell EA to pass on your regards to the vendors and say that as you have already said you cannot complete until April and do not accept any changes to the agreed process at this stage so it is with some regret that you withdraw your offer.

KatieDee

Slinky wrote: »

Then I can imagine why the family lender is stressing about it!

Well then, they probably should have returned the paperwork rather than waiting three weeks, then having their solicitor go on holiday. I have sympathy for their situation, but not for the way they handled it.

LandyAndy wrote: »

Hmm, director's loan? £42,250 of corporation tax to cough up if it isn't repaid in time. Could be.

I imagine, given the attitude of the family member, that this is more likely.

greenbee

Given that their solicitor is on holiday and no progress can be made, you've got a bit of time anyway. I'd suggest going and looking at some other houses and then deciding whether you'd rather put an offer in on one of those. No need to withdraw the offer on this place before you look - in fact technically there is no need to withdraw it until you have an offer accepted elsewhere.

While it may feel morally wrong, with the vendors behaving as they are, you need to put yourselves first.

I had a very clear window for moving, and apparently my vendors were in a hurry (a previous sale having fallen through) but must have neglected to tell their solicitor who had to be chased for everything! As a result I had to give an ultimatum stating that completion needed to be on/before a given date or it would be after a date several months later.

Slinky

KatieDee wrote: »

Well then, they probably should have returned the paperwork rather than waiting three weeks, then having their solicitor go on holiday. I have sympathy for their situation, but not for the way they handled it.

Oh I agree with you.

KatieDee

Mr.Generous wrote: »

I would definitely book a viewing on several of the other properties to get perspective, If you like them put an offer in a couple of £k below asking price - you'll be looking at a nice holiday and a house rather than a load of work, cost and stress.

Then I'd tell EA to pass on your regards to the vendors and say that as you have already said you cannot complete until April and do not accept any changes to the agreed process at this stage so it is with some regret that you withdraw your offer.

This is now our plan. The EA was really pushing us to tell him everything was okay and give a definite date for when we would like to complete (which is pointless, given the outstanding paperwork) but we explained we needed time to consider the purchase. I am fully expecting another call this morning where I will reiterate that this has really made us consider whether it's the right thing for us, and that we need the weekend to truly think about it.

We have two other properties lined up to view in the area which will hopefully give us some perspective, as you said. We loved the house, it needs a lot of work, these other two don't but are more expensive. It's whether or not we get the same feeling we got for the original house when viewing.

So frustrating when we are so close to the end with no hiccups. I really wish they could see the potential damage they've done by not being more reasonable with their requests.

I don't tolerate bullies, never mind on such a huge purchase. :mad:

greenbee wrote: »

Given that their solicitor is on holiday and no progress can be made, you've got a bit of time anyway. I'd suggest going and looking at some other houses and then deciding whether you'd rather put an offer in on one of those. No need to withdraw the offer on this place before you look - in fact technically there is no need to withdraw it until you have an offer accepted elsewhere.

While it may feel morally wrong, with the vendors behaving as they are, you need to put yourselves first.

I had a very clear window for moving, and apparently my vendors were in a hurry (a previous sale having fallen through) but must have neglected to tell their solicitor who had to be chased for everything! As a result I had to give an ultimatum stating that completion needed to be on/before a given date or it would be after a date several months later.

I do feel quite bad, especially as ultimately it will be the mum who suffers, and it's likely to cause a lot of grief within the family (money always does!). However, I said from the very beginning that I wouldn't buy a house if I didn't feel confident about everything. This has just knocked me a bit, so I no longer have the same enthusiasm about the house.

We explained when we put the offer on that we could do things as slowly or as quickly as they wanted, but specified that we couldn't complete before April due to work commitments. They advised they wanted ASAP. I should add this is a leasehold property as well, and things are still required from the freeholder, so it isn't just that we couldn't do pre-April - it's that we're not even close to exchange!

iammumtoone

KatieDee wrote: »

The amount they lent was £130,000 and the EA mentioned something about it being linked to a business, so I assume it's something to do with the end of the financial year.

LandyAndy wrote: »

Hmm, director's loan? £42,250 of corporation tax to cough up if it isn't repaid in time. Could be.

If the above guesses are right then what a strange way of going about things.


With that amount of money involved they should have approached OP asking if they could move forward the date and suggest that they would compensate any extra rental they would need to pay to help with this. Surely a payment of 1-2K at the most which could be taken off the house would be much cheaper than the amount speculated above.

iammumtoone

OP don't be afraid to ask to have another viewing of this house to re-look at it to see how you feel now along side the new potential property.


If the house is empty this should be easy enough for the EA to arrange.