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Threatening agent

We put down an offer around August time for a house in London. The cost was 1m, our offer was 960k and accepted. We’re FTB and the vendor is on a chain waiting to buy another flat.
We were told that searches are about to be quite late, around end of Nov, which turned out to be end of Dec. Our current rent date is on the 20th of every month so we’ve arranged our moving out date sometime in Jan (before the 20th Jan).
Now the EA is saying that the vendor wants to fulfil in the first 10 days of Dec and (our) solicitor arranged for an indemnity policy so that we can exchange faster (without asking us first), because he’s on a chain, otherwise he says that he is going to pull the plug. I can’t say we believe that, especially when we’re FTB, and have come thus far in the process and the vendor is on a chain. We told him what our situation is and that it would cost us another extra rent but he didn’t seem to care much.
Another thing is, when we asked for a reduction based on the survey report (about 10k), we were told by the EA, that he “didn’t even want to have this conversation with the vendor”, so we were just left frustrated and puzzled.
Do we even have to accept the earlier exchange date base on the fact that because the vendor is rushing it? How likely is to pull the plug at this stage as the EA is claiming? Am I right in believing that we’re in a power position being a FTB and having agreed on mortgages etc?
Overall I find the process quite appalling and frustrating, and I am really annoyed by the fact that the EA is abusing the process so much, behaving with threats and apathy, for something that in the end has to do with people’s lives and money.

Comments

  • Simby
    Simby Posts: 240
    Mortgage-free Glee!
    Forumite
    gives you time to move in those days clean the rental etc..I am not seeing the downside other then you pay a mortgage and rent for just over a month,,,

    You can move in anytime as you are in rental

    House buying requires flexibility
  • Skag wrote: »
    We put down an offer around August time for a house in London. The cost was 1m, our offer was 960k and accepted. We’re FTB and the vendor is on a chain waiting to buy another flat.
    We were told that searches are about to be quite late, around end of Nov, which turned out to be end of Dec. Our current rent date is on the 20th of every month so we’ve arranged our moving out date sometime in Jan (before the 20th Jan).
    Now the EA is saying that the vendor wants to fulfil in the first 10 days of Dec and (our) solicitor arranged for an indemnity policy so that we can exchange faster (without asking us first), because he’s on a chain, otherwise he says that he is going to pull the plug. I can’t say we believe that, especially when we’re FTB, and have come thus far in the process and the vendor is on a chain. We told him what our situation is and that it would cost us another extra rent but he didn’t seem to care much.
    Another thing is, when we asked for a reduction based on the survey report (about 10k), we were told by the EA, that he “didn’t even want to have this conversation with the vendor”, so we were just left frustrated and puzzled.
    Do we even have to accept the earlier exchange date base on the fact that because the vendor is rushing it? How likely is to pull the plug at this stage as the EA is claiming? Am I right in believing that we’re in a power position being a FTB and having agreed on mortgages etc?
    Overall I find the process quite appalling and frustrating, and I am really annoyed by the fact that the EA is abusing the process so much, behaving with threats and apathy, for something that in the end has to do with people’s lives and money.


    The agent doesn't work for you, they are employed by and paid by the vendor.


    If you don't like the deal on the table, walk away. Even the serious threat of that may cause the vendor to rethink. Even though you may think you are in a strong position, often FTBers are indecisive, do not understand the process and are prone to changing their mind (in my experience).


    I'd look at the agents current listings and ask them if you can view one of their other properties that is roughly in your budget. That will alert them to the fact you are now considering other options.
    Signature on holiday for two weeks
  • I'd bite their hand off. if there is a large chain above you, you could end up in your rental for 6 months more if only 1 thing goes wrong. It's an absolute nightmare trust me.

    He might have a reason for the fast exchnage. Possibly someone in the chain has a mortgage expiry at that point etc.

    What doesn't make sense is it sounds like the entire chain is ready to exchange except you, and you are these easiest being the bottom. Whats the reasoning here? Why has your solicitor been so slow? That's the person I'd be angry at.
  • Skag
    Skag Posts: 480
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    wesleyad wrote: »
    I'd bite their hand off. if there is a large chain above you, you could end up in your rental for 6 months more if only 1 thing goes wrong. It's an absolute nightmare trust me.

    He might have a reason for the fast exchnage. Possibly someone in the chain has a mortgage expiry at that point etc.

    What doesn't make sense is it sounds like the entire chain is ready to exchange except you, and you are these easiest being the bottom. Whats the reasoning here? Why has your solicitor been so slow? That's the person I'd be angry at.


    The solicitor has been waiting for the searches to come back and they are taking a long time. That's legit I think. However apart of that he's not helpful or doesn't provide guidance. If anything he's been very distant and let us decide on every step. I don't know if that the de facto stance of a solicitor (it's the EA's suggested solicitor).



    There is a reason for the fast exchange and that's the person on the top of the chain we've been told.
  • G_M
    G_M Posts: 51,977
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    Skag wrote: »
    We put down an offer around August time for a house in London. The cost was 1m, our offer was 960k and accepted. We’re FTB and the vendor is on a chain waiting to buy another flat.
    We were told that searches are about to be quite late, around end of Nov, which turned out to be end of Dec.

    These dates are never guaranteed, only estimates

    Our current rent date is on the 20th of every month
    Your 'rent date' is irrelevant.
    If you have a periodic tenancy, it is your tenancy period dates that matter - see link below.

    so we’ve arranged our moving out date sometime in Jan (before the 20th Jan).

    Giving notice on your rental before you have 'Exchanged Contracts' is never wise - your purchase dates may change, or the purchase may fall through.

    Now the EA is saying that the vendor wants to fulfil (Exchange? Complete?) in the first 10 days of Dec and (our) solicitor arranged for an indemnity policy so that we can exchange faster (without asking us first),
    Indemnity policy on the searches? Unwise. If the search shows a probem you may not want to buy!

    because he’s on a chain, otherwise he says that he is going to pull the plug. I can’t say we believe that, especially when we’re FTB, and have come thus far in the process and the vendor is on a chain.
    I agree. Just refuse. Call his bluff.

    We told him what our situation is and that it would cost us another extra rent but he didn’t seem to care much. No - that is your concern, not his.

    Another thing is, when we asked for a reduction based on the survey report (about 10k), we were told by the EA, that he “didn’t even want to have this conversation with the vendor”, so we were just left frustrated and puzzled.
    You could have simply said: "We are reducing our offer by £10K". No discussion needed! Just state the fact!

    Do we even have to accept the earlier exchange date base on the fact that because the vendor is rushing it?
    You donot have to accept. The Exchange date will be whatever date the buyer and seller agree.

    How likely is to pull the plug at this stage as the EA is claiming?

    We have never met the seller so how can we know??????

    Am I right in believing that we’re in a power position being a FTB and having agreed on mortgages etc?

    No but you are in a stronger position because you have progressed further. If he pulls out, he will have to find a new buyer, wait for searches and survey etc and it will take him another 2 months



    Overall I find the process quite appalling and frustrating,

    Buying property is always frustrating. It's a major commitment and very stressful.

    and I am really annoyed by the fact that the EA is abusing the process so much, behaving with threats and apathy, for something that in the end has to do with people’s lives and money.
    Ignore the EA. What he says and does is irrelevant. Just state

    * what you will or will not pay
    * what date you will or will not exchange on


    Start being firm!



    * Ending/renewing an AST: what happens when a fixed term ends? How can a LL or tenant end a tenancy? What is a periodic tenancy?
  • Lokolo
    Lokolo Posts: 20,861
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    wesleyad wrote: »
    I'd bite their hand off. if there is a large chain above you, you could end up in your rental for 6 months more if only 1 thing goes wrong. It's an absolute nightmare trust me.

    He might have a reason for the fast exchnage. Possibly someone in the chain has a mortgage expiry at that point etc.

    What doesn't make sense is it sounds like the entire chain is ready to exchange except you, and you are these easiest being the bottom. Whats the reasoning here? Why has your solicitor been so slow? That's the person I'd be angry at.

    If anything its the OP that has the advantage. They are chain free. They pull out, a lot of estate agents lose out on commission. The seller needs to find a new buyer, start the process again, new searches. I doubt there are many buyers for £1mil+ properties in this climate.
    Skag wrote: »
    I don't know if that the de facto stance of a solicitor (it's the EA's suggested solicitor).

    That was a mistake. And also the likely cause of the delay. I'd tell the EA this.
  • eddddy
    eddddy Posts: 16,288
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    It's all just standard negotiation.

    You have a chain of people who may all want different things. Some people will be more flexible (or more easily bullied) than others. Ultimately, you have to find a compromise that everyone will accept.


    But... in this specific case. Bear in mind that Dec 31st will be the EA's end-of-quarter - it may even be their end-of-financial year.

    So it's conceivable that none of the buyers/sellers are really pushing for a December completion, it's just the EA(s) that want it.

    (So that this sale boosts the EA's annual bonus for this year, and helps pay the deposit on the Range Rover Evoque that's on order.)
  • wesleyad
    wesleyad Posts: 754
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    Lokolo wrote: »
    If anything its the OP that has the advantage. They are chain free. They pull out, a lot of estate agents lose out on commission. The seller needs to find a new buyer, start the process again, new searches. I doubt there are many buyers for £1mil+ properties in this climate..

    Oh no doubt in terms of the negotiation the OP has the upper hand, but even so if the sale falls through the OP now has to rent until the next sale completes which is likely to be at least 6 months if not a lot longer.

    What I dont really understand is why having an earlier exchange would mean more rent is paid? "We told him what our situation is and that it would cost us another extra rent but he didn’t seem to care much." Can't work this one out.
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