Should I delay the exchange of contract beyond 31 Oct

Bacon_Sandwich

Surrey_EA wrote: »

I am confused what has changed over the past month?

cloo

No, I wouldn't delay. Providing you're planning on being there a good few years it shouldn't be a problem and really no one can call the future. I remember working with someone who'd sold a property and moved into rented anticipating a market fall in the early 2000s - and it was another 5 years until one came!

Jox

I lost the buyer to my flat in 2016 due to Brexit, I got another one though

Surrey_EA

Bacon_Sandwich wrote: »

This was a pretty likely scenario 4 weeks ago!

Hardly an almighty shock.

hazyjo

So basically you only want to buy in a guaranteed static market? Yeah good luck with that. There will ALWAYS be something making people say prices are about to drop. Brexit was obviously the big thing, but now it's the whole stamp duty shenanigans. After that, it'll be something else.


In a rising market you'll soon be priced out. In a falling market, you may lose money IF YOU SELL soon after buying. You WILL NOT guarantee that prices will remain static for the 3+ months that it takes you to buy.


IMO I agree with Surrey_EA and others. You're not mentally ready (far more that than 'financially ready').


Which area in E London?

millwalls

OP, uncertainty is as you see it. The price that you are willing to swallow is a function of what YOU feel about the future - the economy, your job security, your future, etc etc.

No one else can say for sure what you need to do as they might be in a very different place in life. So you need to do what feels best for you. Introducing a delay or asking for a price cut is up to you, nothing to do with "morals" etc.

Whatever you decide to do, I hope it works out for you.

Crashy_Time

Any chance of a link? Similar flat in roughly the same area will do if you don`t want to post your one.

Crashy_Time

opteron wrote: »

Hi,

I'm in the process of buying a flat in east London. Asking price is 600k. I made an offer at 550k a month ago, which has been accepted. Currently the solicitors are progressing with the legal stuff. It's still in the stage of ordering searches. Exchange date hasn't been ironed out yet, but a reasonable estimate is September as there's no chain.

However, I'm deeply worried about no-deal Brexit. It is wide consensus that there's going to be a big correction in London housing market under such scenario. If no-deal happens or becomes substantially more likely to happen, I will press the vendor to further lower the price before exchange. If the vendor refuses to do so, I will probably walk away.

I was thinking about delaying the exchange of contract to early November. I feel deeply uncomfortable to exchange before 31 Oct, unless the vendor drops the price to 500k. Am I being unreasonable here? Should I inform the estate agent now, or wait until September for a bit more clarity on Brexit? (also the contract is not ready yet anyway..)

Any suggestions are welcome! Thanks.

How does the vendor feel?

sillyhilly

opteron wrote: »

Hi,Asking price is 600k. I made an offer at 550k a month ago, which has been accepted... I feel deeply uncomfortable to exchange before 31 Oct, unless the vendor drops the price to 500k. Am I being unreasonable here?

Yes. Yes you are.

Penny_Dawson

In early October (if not sooner) there is likely be an emergency budget.


There's talk that stamp duty will be slashed on homes above £500k, and scrapped altogether for homes under that value.



I'm surprised more people aren't yet contemplating this.