Getting twitchy - anyone got a crystal ball to hand?!?!

Ms_Piggy_2

We have sold our flat and completed today - hurrah!

We are moving into a reented flat as the property we are buying hasn't completed:
http://www.rightmove.co.uk/viewdetails-14123266.rsp?pa_n=6&tr_t=buy

However, I'm getting increasingly twitchy about the market...... The woman we are buying from has no-where to go now as her property has fallen through. She is now looking for somewhere else. It's a great house in a great area, although it DOES need work doing. this has been reflected in the price (she accepted £240k)

Examples of other houses in the vicinity that have been 'finished' are:
http://www.rightmove.co.uk/viewdetails-8628948.rsp?pa_n=1&tr_t=buy
http://www.rightmove.co.uk/viewdetails-9631914.rsp?pa_n=2&tr_t=buy

However, with the uncertainty in the market I'm now not sure what to do...... The woman we are buying from hasn't been helpful or forthcoming over various things. The survey highlights various things (nothing major) that need attention and she refused to negotiate at all.

I'm tempted to continue (slowly!) with the sale, but stall and look at other properties in the New Year, in the hope the market falls a little and puts us in a better position.

Oh for a crystal ball!

Curv

Ms_Piggy wrote: »

It's a great house in a great area, although it DOES need work doing. this has been reflected in the price (she accepted £240k)
...

The survey highlights various things (nothing major) that need attention and she refused to negotiate at all.

The market aside, she's possibly reluctant to negotiate due to the fact that she's accepting a reduced price in the first place. How much extra discount are you asking for? Is she definitely unwilling to budge?

We were in a similar position to your vendor a couple of weeks ago - the day before we were due to sign contracts the estate agent led us to believe that if we didn't drop our price by a grand to cover the cost of some minor works thrown up by the survey (previously described by our buyer as 'something and nothing') the buyer was going to walk. We got hacked off as we'd already dropped fifteen grand for him and therefore stood firm. Everyones hackles were up and it got very unpleasant. It turned out that all he was looking for was a small gesture on our part and all was resolved. But the estate agent created a lot of bad feeling by leading us and our buyer to think that the other was ready to pull out rather than negotiate.

I'd double check before you make the decision if I were you.

HTH

Ms_Piggy_2

We asked for another £10k and would have met in the middle on £5k.

TBH, I'd not try it days before exchange as that just ins't fair, but this was based on the survey.

smudge33

If it's based on your survey results then that's fair, you're not chancing your arm or anything. The thing to worry about is whether the mortgage on your new property will be a) unpayable if interest rates go up again or b) will get you into negative equity if the values drop - as far as I can see, that's the main worry as you are looking for a home in a nice area, not just an investment opportunity.

Dave_®f©

Sorry, I can't see where the market is going either...

Running_Horse

Ms_Piggy wrote: »

However, I'm getting increasingly twitchy about the market

However, with the uncertainty in the market I'm now not sure what to do

Oh for a crystal ball!

You need to separate the two issues you mentioned.

If you want a home to live in long term then ignore the market.

If you believe the vendor is responsible for items in the survey then stick to your guns.

You don't need a crystal ball to make a wise decision.

nollag2006

Running_Horse wrote: »

If you want a home to live in long term then ignore the market.

...

You don't need a crystal ball to make a wise decision.

Very wise counsel !

Ms_Piggy_2

smudge33 wrote: »

If it's based on your survey results then that's fair, you're not chancing your arm or anything. The thing to worry about is whether the mortgage on your new property will be a) unpayable if interest rates go up again or b) will get you into negative equity if the values drop - as far as I can see, that's the main worry as you are looking for a home in a nice area, not just an investment opportunity.

We're on a fixed rate for 5 years and have a decent deposit (35%). We're in this for the long term - I'm just very risk avaerse. I guess I will always find something to worry about!

nollag2006

So long as you can afford the repayments, there is nothing for you to be concerned about.

Even if house prices wobble (which is looking increasingly unlikely as the BOE is moving towards a loosening bias), they are likely to be substantially higher in five years time.

dolce_vita

nollag2006 wrote: »

Even if house prices wobble (which is looking increasingly unlikely as the BOE is moving towards a loosening bias), they are likely to be substantially higher in five years time.

If you think a poxy 0.25% cut in interest rates is going to mean another round of HPI you are a bigger idiot than I thought you were.

(which is quite an achievment)

reformedEffortMaker_2

why do these threads always have to turn into slanging matches?