Buyers arranging survey 10 weeks after offer accepted

niceguyed

Hi everyone, would really value some perspective on this.  We accepted an offer on our property on 10th March.  It's a 1930s build and buyers (FTBs) aware we still needed to secure an onward purchase. Three weeks in the buyers had a valuation survey completed and so in the first week of April we received the news that the valuation had come back OK.  In the weeks since I know searches have been conducted and we've responded to solicitor enquiries the last of which was in early May.

Last week we had an offer accepted on a property but unfortunately we spotted an issue early on so had to withdraw the offer yesterday.  I kept our agent and solicitor updated.  Today I get a call from a surveyor for the buyers wanting to arrange their L3 building survey.  As so much time has elapsed, I'd just thought as the house isn't a 'doer upper' they weren't bothering.  I'm not new to the house buying/selling game so I'm slightly perplexed why the buyers would wait 10 weeks to set the wheels in motion?  I'm guessing they were waiting for the chain to complete although that's out of the window!  I've always been of the persuasion to get the survey completed asap so as to not rack up search and solicitor costs and to also 'move on' or renegotiate if needs be, depending on the results.  

As they are FTBs I know the survey could well make them paranoid.  We had a L2 completed when we purchased it over 10 years ago and inevitably it will pick stuff up.  I feel the property is priced accordingly but I can second guess they may well use this to renegotiate as the original negotiations were quite protracted and I'm if honest irritating (spread over a week, small incremental rises, we give our best and final price and they still wanted to negotiate).  We've also had them ask twice via the agent and solicitor if we'd be willing to break chain which would be fair enough if we hadn't told them twice on viewings when they asked that we absolutely would not and could not entertain this.

I would have thought the agent would have kept an eye on progression but perhaps I'm making this out to be more than it is.  Thoughts most welcome! 

RAS

As the chain isn't even complete yet, because you haven't found your onward purchase, the buyer are taking a huge risk paying for searches and a survey.  They may not even realise the possible sunk cost.

They seem very keen and it might be a good idea to find out why? Ask the EA. It will help all concerned if the communications channels are good rather than speculating.

TheJP

It could be realisation that perhaps they should, could have been triggered by you pulling out of your purchase due to an issue that has made them think its a good idea to do a survey.

I wouldn't worry too much as it inevitably will pick up some issues but you can manage this accordingly.

youth_leader

It wasn't until I came onto this forum that I learnt it is best to wait for the chain to complete before spending on a survey, and I will be advising my young daughter to do this when she buys as a FTB.  As you've now withdrawn from your purchase, the FTB might withdraw their survey request.

niceguyed

youth_leader said:

It wasn't until I came onto this forum that I learnt it is best to wait for the chain to complete before spending on a survey, and I will be advising my young daughter to do this when she buys as a FTB.  As you've now withdrawn from your purchase, the FTB might withdraw their survey request.

I can certainly understand that view.  But then there is already the sunk cost of legal and search fees.  I suppose it comes down to how much you can try and mitigate expenses.  Yes, if the chain isn't complete and there's a time limit on how long you will wait then throwing £700+ at a L3 is a large cost.  But I'd also want to get to the point as quickly as possible that the house has no unexpected nasties as to warrant a renegotiation/pull out and I've then lost months (plus legal/search fees) and other properties if the vendor disagrees.  

GDB2222

I feel really sorry for your buyers. That’s not a criticism of you, but they are in an invidious position. 

They should really have spent nothing on your property, left their offer in place, and continued looking.

aoleks

GDB2222 said:

I feel really sorry for your buyers. That’s not a criticism of you, but they are in an invidious position. 

They should really have spent nothing on your property, left their offer in place, and continued looking.

this...

of course they will get a survey done and timing is everything in conveyancing. I wouldn't pay for a L3 survey not knowing if the deal is still on, it's one of the last things I would do. as for your fear that the survey will be used against you, you clearly know the house has some issues, otherwise it wouldn't matter.

at the same time, prices have gone up considerably since March so if your current buyers get cold feet (unlikely), you can re-market and get more for the house. this "inconvenience" could mean £10k+ in your pocket.

niceguyed

I'm wondering how many vendors would accept a buyer unwilling to progress the purchase or spend a penny in fees until a chain was complete?  Equally, is the vendor not also in such an invidious position should they take their house off the market whilst the buyers continue to look elsewhere? Or is the solution you are proposing that for all parties to ameliorate any losses, that in the case of an incomplete chain buyers spend nothing, leave their offer in place, and continued looking whilst the vendor continues to allow viewings and seeks better offers?  

niceguyed

aoleks said:

GDB2222 said:

I feel really sorry for your buyers. That’s not a criticism of you, but they are in an invidious position. 

They should really have spent nothing on your property, left their offer in place, and continued looking.

this...

of course they will get a survey done and timing is everything in conveyancing. I wouldn't pay for a L3 survey not knowing if the deal is still on, it's one of the last things I would do. as for your fear that the survey will be used against you, you clearly know the house has some issues, otherwise it wouldn't matter.

at the same time, prices have gone up considerably since March so if your current buyers get cold feet (unlikely), you can re-market and get more for the house. this "inconvenience" could mean £10k+ in your pocket.

What 1930s house won't flag issues on a backside covering survey! My concern is more how FTBs interpret that.  You're right to flag up the the other side of this coin.  Where we live prices continue to rise but our buyers have locked in their price and I wouldn't dream of going back to renegotiate that up.  Thank you everyone for your thoughts so far.  

SunsetLover08

Can I ask why you put your home on the market when you hadn't found anywhere? (No judgement, purely curious!)

Its a difficult situation and I feel for both of you. Personally if I was your buyer I may have delayed because I knew you hadn't found anywhere, I may have then booked a survey when you had offered. They may still cancel it. Yes 10 weeks is a long time, but why risk paying for it when you haven't found anywhere yet, and you could easily decide not to sell, leaving them out of pocket. Bearing in mind they are FTBs and probably saved for their deposit and fees for a fair amount of time, so they will be penny pinching where they can, i'd imagine anyway!

Really they shouldn't have offered on your house if they were in somewhat of a rush, but then equally, perhaps it would have made the most sense for you to market your home once you had found an onward purchase. 

CardiffCrank

SunsetLover08 said:

Can I ask why you put your home on the market when you hadn't found anywhere? (No judgement, purely curious!)

Its a difficult situation and I feel for both of you. Personally if I was your buyer I may have delayed because I knew you hadn't found anywhere, I may have then booked a survey when you had offered. They may still cancel it. Yes 10 weeks is a long time, but why risk paying for it when you haven't found anywhere yet, and you could easily decide not to sell, leaving them out of pocket. Bearing in mind they are FTBs and probably saved for their deposit and fees for a fair amount of time, so they will be penny pinching where they can, i'd imagine anyway!

Really they shouldn't have offered on your house if they were in somewhat of a rush, but then equally, perhaps it would have made the most sense for you to market your home once you had found an onward purchase. 

You'd find it hard to get in the door most places if you weren't proceedable, ie, chain free or accepted an offer.