Experiences with buy to let/investor buyers

verytired11

I have posted on here about my buyer negotiating over ridiculous things after the survey which has rung alarm bells and is making me consider pulling out and finding a more 'normal' buyer and many here have been helpful.
Despite the agent assuring me at the time of the offer that this buyer was moving to the area for schools, it is becoming increasingly apparent that he may be a property developer/landlord planning to do the property up and rent out.
I am wanting some advice on the pros and cons of continuing with this buyer.
Giving a warts and all assessment of my home, it is in a very sought after area (schools) and is a pretty Victorian terrace, but quite run down and with a previous history of subsidence (underpinned at the back).  The row of four houses were all underpinned in the 1990s but I discovered from my neighbour yesterday that their house was also underpinned at the front at the time, whereas mine wasn't, which is worrying me that it might potentially put off buyers in terms of future risk.
In his favour, the buyer has no chain and has offered asking price so even with a price drop I am very happy with the price.
But he doesn't yet have his mortgage offers in place (7-8 weeks after I accepted the offer) and is definitely playing a game with negotiations.
The chain on the house I am buying is not yet complete so I am not currently under pressure on either side of the chain, and so if this buyer drags his feet a bit it won't matter.
But I am concerned that he may pull out at the last minute or drop the price at the last minute or sue me after completion (he is getting his solicitor to raise ridiculous enquiries).
Going back to market is a risk in that although I got an overwhelming amount of viewings, people might be put off by the amount of work/history of subsidence and also once a property goes back to market it can put buyers off anyway because they wonder why the previous sale fell through.
Should I just stick with this buyer and see how it goes, or should I risk going back to market?  What are people's experiences with investor buyers?

AdrianC

verytired11 said:

Despite the agent assuring me at the time of the offer that this buyer was moving to the area for schools, it is becoming increasingly apparent that he may be a property developer/landlord planning to do the property up and rent out.

Why would the agent lie? There's nothing in it for them.

I am wanting some advice on the pros and cons of continuing with this buyer.

We haven't met this buyer, but we can give you some pros and cons of selling to an investor in general...

They won't get emotional. It's a business deal. That means it's all about the buy price.
They are less likely to muck you about over trivialities, they won't get excited and over-bid (then try to chip you back down at the first thought that the wiring may not have been done last week, ohnoes).

The row of four houses were all underpinned in the 1990s but I discovered from my neighbour yesterday that their house was also underpinned at the front at the time, whereas mine wasn't, which is worrying me that it might potentially put off buyers in terms of future risk.

Or maybe yours simply didn't need it?

But I am concerned that he may ... sue me after completion

What on earth for?

(he is getting his solicitor to raise ridiculous enquiries).

What sort of "ridiculous" enquiries are we talking about?

Going back to market is a risk in that ... once a property goes back to market it can put buyers off anyway because they wonder why the previous sale fell through.

"The buyer was mucking about, so the seller decided to re-market".

This place had two buyers fall through in the two years it was on the market before we bought it.
We understand the first was because their surveyor got scared by the old septic tank.
The second was apparently because the missus thought she saw a rat while on a post-offer measure-up. Outside.

verytired11

@AdrianC thanks for your thoughts.  Why would the agent lie - because he knows I wanted to sell to a family but also wanted me to accept the first offer, so may have been economical with the truth when the first offer wasn't from a family. The agent was very sarcastic with me about wanting a family buyer and resisted my instructions to ask the buyer what his intentions for the property were quite strongly.  He also was careful in the way he phrased his response to me.  I always feel as if the agent is hiding quite a lot from me.  I notice that he is also hiding a lot from the buyer, because in one of the buyer's recent emails he said he had been repeatedly asking for an update on whether i had found anywhere yet.  I found a property ages ago, so why on earth wouldn't the agent pass this on when the buyer asked?
This buyer is mucking about over trivialities eg he seems 'very concerned' that I haven't been getting an electrical check every few years and thinks I should pay for a certificate.  He wants money off for the fact that the rising main might be lead.  He wants money off for the fact that the glass in the front door doesn't meet current building regulations.  His list of requirements all speak to things that a landlord might be concerned about or simply as a tactic to get a price reduction. Surely no good faith buyer (and he's not a first time buyer) is genuinely anxious about these things?
The ridiculous questions through the solicitors are things like - have the neighbours had any problems with the work they have had done to their houses; not, have the works on my neighbours houses caused any problems to MY house (obviously a fair enough question).
So my worry about being sued afterwards relate to things like this.  I feel as if the questions are trying to catch me out.  I mean i genuinely am not aware of any problems but what if my neighbour mentioned once that the plumbing was complicated - is he going to sue me when he runs into the same difficulty when he has his own extension done.  I don't know, perhaps he is just an extremely anxious buyer and his anxiety is making me anxious and my mind is going to the worst case scenario.  

AdrianC

Why do you care who buys it, so long as they pay?

The agent works for you. If you don't like or trust him, why did you hire him? Why do you continue to employ him, and not change to another one?

And if this buyer IS mucking about, why are you sticking with them? From what you say, I don't think they do sound like an investor - they sound much more like an FTB.

JonMitchell

OP - I think you are just being over sensitive and a bit paranoid. It is normal to be sensitive and paranoid when selling/buying a property, but take it easy.
If you do think your buyer might be developers etc, just do a search on Companies House to find out. Is there a need though?
But to be honest, why are you really concerned about who buys your house as long the money is in your bank end of the day?

verytired11

JonMitchell said:

OP - I think you are just being over sensitive and a bit paranoid. It is normal to be sensitive and paranoid when selling/buying a property, but take it easy.
If you do think your buyer might be developers etc, just do a search on Companies House to find out. Is there a need though?
But to be honest, why are you really concerned about who buys your house as long the money is in your bank end of the day?

I think you are right.  It's because i went through some horrendous legal proceedings a few years ago and the current situation is triggering the memories of that.  Is there a way to close the thread so that I don't take up everyone's time and energy in answering?

user1977

verytired11 said:

JonMitchell said:

OP - I think you are just being over sensitive and a bit paranoid. It is normal to be sensitive and paranoid when selling/buying a property, but take it easy.
If you do think your buyer might be developers etc, just do a search on Companies House to find out. Is there a need though?
But to be honest, why are you really concerned about who buys your house as long the money is in your bank end of the day?

Is there a way to close the thread so that I don't take up everyone's time and energy in answering?

Not really. Hopefully they'll read your comment and it will die a death.

dimbo61

No need to close the thread.
Most Solicitors and Surveyors are now asking for a Gas Safe Certificate, EICR and of course EPC.
Now you don't actually need a GSC or EICR as they are only a legal requirement for a Landlord when renting but they tell you that the Gas in the property was Safe on the day of inspection and the same for the electrics.
If this buyer ??? wants to rent out your house he will need an EICR !
The survey will highlight any issues if the buyer has a survey !
The whole process of buying a home is taking months at the moment and of the buyer is buying with a BTL mortgage the lender will do due diligence with EVERY box being ticked !
Make it clear that you will not be reducing the price and if he wants to walk away Do It Now or you will remarket the property

dimbo61

It sounds like your home needs a complete refurb with total rewire ? New kitchen/bathroom etc so he either has a development mortgage or a BTL mortgage which requires the property to be ready to rent and have a working kitchen/bathroom and safe electrics, gas heating and EPC which is E or better !

JonMitchell

verytired11 said:

JonMitchell said:

OP - I think you are just being over sensitive and a bit paranoid. It is normal to be sensitive and paranoid when selling/buying a property, but take it easy.
If you do think your buyer might be developers etc, just do a search on Companies House to find out. Is there a need though?
But to be honest, why are you really concerned about who buys your house as long the money is in your bank end of the day?

I think you are right.  It's because i went through some horrendous legal proceedings a few years ago and the current situation is triggering the memories of that.  Is there a way to close the thread so that I don't take up everyone's time and energy in answering?

Nah, dont think you are taking up bandwidth and time of others. That is why the need for such forums.
Can completely understand your concerns, I have had bad experiences with EA, solicitors, buyer, seller before but just take it on the chin.

LAD917

verytired11 said:

@AdrianC thanks for your thoughts.  Why would the agent lie - because he knows I wanted to sell to a family but also wanted me to accept the first offer, so may have been economical with the truth when the first offer wasn't from a family. The agent was very sarcastic with me about wanting a family buyer and resisted my instructions to ask the buyer what his intentions for the property were quite strongly.  He also was careful in the way he phrased his response to me.  I always feel as if the agent is hiding quite a lot from me.  

Why do you feel it's acceptable or ethical to discriminate on the basis of familial status?  If I were the agent, I'd have been more than sarcastic with you.  He's probably being careful in his wording because HE'S afraid of getting sued.  Sadly, protections against discrimination based on marital / familial status are more limited in the UK than in some other places, but such "preferences" are often used as veils for other forms of discrimination that are illegal in the UK.  I think you ought to revisit your "preferences" and think about how they sound to other people.