Vendors asking for more money for their rental... SOS!

JulietNovember

Hello,  

I’m new to MSE forums but just wondered if anyone has been in a similar predicament and could offer some advice. 

For reference, my partner and I are FTBs. 

Had a 99% offer (on asking price) accepted 2 weeks ago, and since we have commissioned the searches, Homebuyers Report etc. A few days ago we received an email from the estate agent, informing us that the vendors’ onward purchase had fallen through as a result of findings from the survey. They assured us they wanted us to purchase the property and gave us the following options:

1. Wait for them to find a suitable property 
2. Pay them an extra £10,000 to cover their rent for a year, in order to complete as planned before the end of March.

Everyone we have spoken to is quite shocked at the request, and out of principle we are not keen to agree any further increase in price. It’s a small house that attracts the price it does because of its location. A house like this would be very rare, particularly within our budget, so walking away is by no means the easy way out. 

Equally, if we wait, we will inevitably be paying SDLT (around £8,000, so not insignificant). The time it takes for the vendors to find another property could be days, weeks or even months. We are not prepared to wait for any period over 6 months as this is our first property together and the first time we will be living together. We’re also due to marry in the spring so any delay to the house purchase has a knock-on effect. 

Does anyone have any advice please? We’re at our wit’s end and feel completely backed into a corner. We can’t understand why they are coming to us for their rent - has anyone had this kind of issue before? 

tink_1983

I'd personally wait, ths SD might be extended although unlikely.
I'd not cough up 10k for them to buy a house in 4 months time potentially!! 
Or walk away and let them start again 

Stubod

....personally I would tell them to shove it.....?? 

...and I assume they would not expect you to pay any money "up front"?

caprikid1

I guess the important question is what is the house price, £10,000 on a £1M house is not a lot £10K on a £100K house is.
Whilst the request is a **** take, ultimately this is a business decision and you need to put that to one side and decide what the outcome you would like it.

Marvel1

Stuff that, they can pay their own bloody rent.

lookstraightahead

Tell them to do one! 

You are buying their house, they are not doing you a favour. 
If it were me, I would withdraw my offer and look for something else.
People often offer to move out in order to help sell their property - that attitude is the right one.

elsien

Ha ha ha ha ha ha ha....
The rent request is taking the proverbial.  Unless you think that a) the house is worth 10K more and b)you can afford it. 
Your option would seem to be to keep this one on the back burner but carry on looking at other houses in the interim or just walk away.  There is no guarantee that they will find somewhere they like or they  may find another reason not to sell - don't forget there are no guarantees until you have exchanged. They can withdraw at any point up till then.
 Can you put a hold on the searches and the other expenses until they are in a position to proceed? 

princeofpounds

Just say no, in my opinion. The worth of the property does not change for you (or any buyer for that matter) because of inconvenience to the vendors. You have to draw the line somewhere. 

They are just pushing it, probably because you are FTBs and they think you're in love with the property and they can twist your arm before the stamp duty rise. Of course if the vendors don't complete before the stamp duty holiday ends, their property immediately becomes less valuable as any new buyer would have to pay it, and they would have to pay more stamp duty on their own onwards purchase (I suppose they are facing the latter anyway). You can almost guarantee that you will not be moving within 6 months if they really are starting a new property search 

I know it seems like a great property and as an FTB you always think it's great that you've managed to find one in your budget. But there will be other houses, there always are.

anselld

Wait.  Then reduce your offer by £10k to cover your stamp duty costs.

caprikid1

Personally from my experience every time there is a race to a deadline like this it creates a temporary price bubble, when that deadline passes the heat comes out of the market and everyone worries about overpaying.
Personally whilst annoying I would offer them 5K paid on completion subject to it being inside the CURRENT Stamp duty deadline.
The big question is how over priced could the house look in June 2020 when the stamp duty holiday ends, brexit bites and the furlough scheme is well over......

theartfullodger

Tell them you want £10k for your new mistress/toy-boy (or both).  Cheeky b++stards