Buying a probate house

KSS1991

Hi all, we are buying a probate house, currently in week 17/ 18 whilst waiting for probate to be granted. Looks like seller was told by the probate office that it will be 'escalated' and will be granted within 3 weeks. However how reliable is that? It has not even been looked at yet. Can people who dealt with probate houses share their experiences of buying/selling in the last year or two? How long is too long?

Are we better off looking for another house? Bearing in mind the offer we made was based on December's 2022 prices and now prices are decreasing and with every month we keep paying rent whilst the other house is stood empty! I wonder if we should give seller a month and then start negotiating the 'cost of waiting'? At the end of the day, why on earth are people allowed to sell a house that is not even yet theirs! This is madness in itself but we really really love the house... it ticks all the boxes and more (we are FTB) so unsure what to do. (We sorted all the docs, mortgage, surveys within the first 4 weeks and have been ready to move since; the only outstanding query left is probate)

CalJo99

They may be selling as fast as they can to raise the money to pay inheritance tax, and the HMRC is charging them interest on what they owe?

It's frustrating for you, though, especially if you're paying rent yourself while waiting to get possession.

I take it you haven't exchanged yet, so you could try 'gazundering' - ie, offering less than you originally did, to take account of the waiting time, and the extra rent you're paying? But that might antagonise them substantially, and buying a house from someone who resents you is neither pleasant nor easy (as in, they may and try and get their own back!)

On the other hand if you are honest and upfront and say it is on account of the prolonged extra rent you're having to pay, that might not be so antagonistic. 

As ever with buying and selling, it's about being 'fair' on both sides. No use you being fair, and them not, nor the other way around.

Are there any other 'sweeteners' they can throw into the pot to keep you a bit happier while you wait (eg, contents or whatever)? (Even if you don't like the contents, if you are FTB and don't have much furniture of your own yet, having a house that comes with 'stuff' can be helpful financially, allowing you to gradually replace their stuff with yours as your budget allows.)  

Probate properties, when the previous owner was old, can be good, though, (assuming it was kept in good structural condition), as you can then put your own stamp (your decorative tastes are unlikely to be those of an elderly person!), and update things, and therefore add value.

Whatever the current state of the house, would it be a good idea, at this stage, to get in your own agent (not the current selling agent, who is motivated to say anything to get the sale!) to do a recce, and give you a ballpark figure for what 'value add' you might get from an updating reno (and for you to cost out the reno of course), because that would maybe reassure you that you were going to make an 'extra' profit on the house as and when you come to sell.

Also, assuming you are going to update/renovate, then, providing it doesn't cost you anything, could you ask the vendors, during this frustrating waiting-for-probate time, to let you bring in kitchen and bathroom fitters (the most likely places you'll be renovating), and maybe decorators too (builders, if you're going to knock down walls etc), so that you can start drawing up an accurate budget plus, potentially, book in the trades you'll be needing for when you get possession? Again, that way you won't feel quite so much you are twiddling your thumbs impatiently.

Good luck with it all.

EndlessStruggle

I pulled out of a house in November, probate was applied for in August.

It still hasn't been granted and it's supposed to be a very simple probate..

I pulled out as the house was in a dire state and every month would lead to further deterioration.

JM68

I think properties should not be marketed until probate is actually granted, as they can not of course complete until then and it all too often leads to delays (and often additional costs) for the buyer and anyone else in the chain.

My brother and I waited when it was us a couple of years back.

The 'escalated' thing is probably just something to string you along.  Probate does not have the same kind of formal 'expedited' request system that the Land Registry do where a property sale is at risk (for obvious reasons as everyone would all be trying to do it).

If you walk, you will obviously incur some costs.  If you stay with it, you continue to pay rent (but not a mortgage), and it could even be your mortgage offer expires in time, which is more hassle and potentially cost.  There is no 'right answer' as such, just what you think is the best thing to do.

As the other reply said, I think if you do ask for a reduction then frame it along the lines of 'this is taking much longer than anticipated/we are paying much more in rent than we budgeted for/this is reducing our overall planned budget for this particular purchase/we now need to offer x less).

On an different aspect of this, is there much needs doing to the house and are you planning to do any work yourselves?  I ask as there are many threads on various forums about the trade costs of doing up properties currently being astronomical.  This could be something else to factor in to your decision to stay with it or not.

KSS1991

@EndlessStruggle have you found another house though? My worry is if we pull out , we might end up yet with another probate house or (even worse) a chain which can also take ages.. It seems there is no easy way to buy a house in England. The house is perfect for us, very good condition as well, very well looked after etc.

km1500

My sister has just pulled out of a probate house having waited so long her mortgage offer and valuation have expired.

On the positive side she thinks house prices have fallen over the period and is looking now for somewhere better.

KSS1991

@JM68 property itself is in a very good condition (as in you could live in it today). It is a bit dated (we will need new carpets etc) but nothing major. We are in two minds about it - on one side the unknown on the delay is killing me but on the other side maybe it is worth the wait as we would buy this house for long term (10years+) Also the question is - who can guarantee the 'next' house would not have a long delay. It took us 9months to find the current house. Arghhh why is it so difficult to buy a chain free house (it is literally just this house and no chain either side)

KSS1991

@km1500 but can you not extend your mortgage offer/just take a new one? Ours 'expiring' in June but I assume we could just take it out again?

KSS1991

@CalJo99 thank you, a lot of good points to think about

EndlessStruggle

KSS1991 said:

@EndlessStruggle have you found another house though? My worry is if we pull out , we might end up yet with another probate house or (even worse) a chain which can also take ages.. It seems there is no easy way to buy a house in England. The house is perfect for us, very good condition as well, very well looked after etc.

Yes, I found one a month later, exchanged last week and complete in 2 weeks.

The probate house needed a lot of work, even without the major problems it was going to be a money pit.

The new house underwent a total renovation back to brick so in excellent condition and was less money. 

I've been ready to exchange/complete since end of February. It is me, them and an empty house so a simple chain. 

p00hsticks

KSS1991 said:

@EndlessStruggle have you found another house though? My worry is if we pull out , we might end up yet with another probate house 

It's extremely easy to check if probate has been granted if you know the name of the deceased and the year they died. 
Search probate records for documents and wills (England and Wales) - GOV.UK (www.gov.uk)

Personally I wouldn't be making an offer on a probate property unless I knew probate had already been obtained, and when I've been executor I didn't put the property on the market until it had.