PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Pulling out of purchase questions.

Options
Troy_af
Troy_af Posts: 176 Forumite
Sixth Anniversary 100 Posts Name Dropper
edited 14 May 2022 at 8:51AM in House buying, renting & selling
Hello.

So unfortunately it is looking very likely that I will be pulling out of my new home purchase soon. I am 5 month into the conveyancing process now and we are probably quite close to being ready to exchange contracts. Unfortunately certain problems have only just came to light at this stage. My first question is how much does it usually cost in solicitor fees when you pull out and is it going to cost me a lot more considering how far along in the process I am? I’m worried here that I am going to end up having to pay almost the full bill despite the sale not going ahead.


This is the first time I have ever been in this position and my next concern is that my buyer will also pull out, as they are probably going to be facing even more delays waiting for me to find another property to move into. Is this usually what ends up happening in this situation, ie, the entire chain falls through? Or is it more likely that they would usually hold on considering they will be in the same situation having time and solicitor fees invested already?


Thanks for any advice.

 


«1345

Comments

  • Flugelhorn
    Flugelhorn Posts: 7,263 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    re your fees to the solicitor - yes it can cost quite a bit at this stage, sometimes as much as if the whole process has gone through as they charge on an hourly basis

    re your buyers - they may or may not wait, suspect they will be pretty fed up and start looking  elsewhere even if they  don't pull out of the sale straight away
  • TBG01
    TBG01 Posts: 497 Forumite
    Fourth Anniversary 100 Posts Name Dropper
    What did your retainer, terms of business or whatever they call it say regarding abortive fees?


  • K_S
    K_S Posts: 6,875 Forumite
    1,000 Posts Fourth Anniversary Photogenic Name Dropper
    @troy_af Sol fees - depends on what you signed up to. If it's a no-completion no-fee solicitor (mostly the larger firms, and the exact terms might differ across solicitors), then it'll only be the disbursements (searches, etc.). Some solicitors/panels even offer second search insurance which covers the cost of the next property's standard searches.

    But if it's standard t&Cs it's likely to be the bulk of legal fees given that you've come this far.

    I am a Mortgage Adviser - You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. 

    PLEASE DO NOT SEND PMs asking for one-to-one-advice, or representation.

  • youth_leader
    youth_leader Posts: 2,901 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Could you move in with family, or into rented, to keep your buyer? 
    £216 saved 24 October 2014
  • jimbog
    jimbog Posts: 2,250 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Are you able to tell us what problems you've encountered? Folks on here may be able to help
    Gather ye rosebuds while ye may
  • Troy_af
    Troy_af Posts: 176 Forumite
    Sixth Anniversary 100 Posts Name Dropper
    TBG01 said:
    What did your retainer, terms of business or whatever they call it say regarding abortive fees?



    I'll have to have another read over the contract because it was so long ago, but I do remember it saying no sale no legal fee. However on the cost estimate invoice the "legal fee" is for around £600.. I take it this is probably the only amount I won't have to pay and I'll have to pay all other costs.
  • babyblade41
    babyblade41 Posts: 3,962 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Can you say what problems have come to light, it maybe not as bad as you think .Can't see what it could be so far into the process as surveys had been done & pondered over.

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    If your buyer has been waiting 5 months. Dont expect them to hang around. Like you they'll consider all options. 
  • eddddy
    eddddy Posts: 17,933 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Troy_af said:

    Is this usually what ends up happening in this situation, ie, the entire chain falls through? Or is it more likely that they would usually hold on considering they will be in the same situation having time and solicitor fees invested already?



    I'm sure your buyers will review their different options.

    I guess they might decide that if they 'dump' you and find another property, they might not complete the purchase any quicker - because a chain would need to form above that property.  (Unless they decide to only look at 'chain-free' properties.)

    But sometimes buyers walk-away because...
    • They lose trust in the seller - they're not convinced that their seller is serious about finding a new place
    • They're angry with the seller about the delay - so they walk-away to 'punish' the seller

    So it's worth trying to maintain a good relationship with your buyer. It might help reduce the risk of them walking away.


  • simon_or
    simon_or Posts: 890 Forumite
    500 Posts First Anniversary Name Dropper
    Troy_af said:
    TBG01 said:
    What did your retainer, terms of business or whatever they call it say regarding abortive fees?



    I'll have to have another read over the contract because it was so long ago, but I do remember it saying no sale no legal fee. However on the cost estimate invoice the "legal fee" is for around £600.. I take it this is probably the only amount I won't have to pay and I'll have to pay all other costs.

    Aren't all conveyancers no sale no fee? That's always been the case with the ones I've engaged in the past. Given that more than a third of purchases in England fall through, it makes sense.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.6K Banking & Borrowing
  • 253K Reduce Debt & Boost Income
  • 453.4K Spending & Discounts
  • 243.6K Work, Benefits & Business
  • 598.4K Mortgages, Homes & Bills
  • 176.8K Life & Family
  • 256.8K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.