Is seller being fishy / stringing me along?

dawnofthedave

First time buyer with no chain, saved for ages, searched for ages, found a decent flat, finally had offer accepted on it… mortgage offer, survey, searches, queries … all fine and done speedily, got right up to the point where we were nearly at exchange and then seller demands an additional 7k… when I ask why via agent he goes quiet for days. 

Seller is a serial landlord and this is another of his investment properties. Now he’s taking a very long time to come back to correspondence via the agent… eventually transpires that he’s thinking about letting it out again and wants more money because his flat is empty and he’s not getting regular money in… he thinks conveyancing is taking too long but it’s his solicitors that are holding it up with slow responses and delays. Have made a slightly higher offer. Again waiting a long time to hear back with no clear reason as to why. But then he also took a while to come back to me regarding to initial offer.

I don’t want to believe it having invested so much already but my gut instinct is something fishy is going on and I’m starting to wonder if I can trust him… maybe the delays are because he’s stringing me along and keeping me dangling while he does something else… prepare it for rental and secretly list it? Put it back on the market? I can’t work out what. Any ideas? Am I being paranoid or are these red flags? 

Emotionally exhausted!

Hoenir

If the flat is empty. Then it's costing the LL money.  Which gives you leverage. Via the EA say you'll walk away rather than succumb to blackmail. I wouldn't trust the vendor at all. Start looking for alternative properties as well. 

twopenny

Totally agree. If he's selling he shouldn't be making conflicting reasons. Asking for more mney after agreeing is not right.
Start looking for something else and make it known causally to the agent that you're not happy with the way it is going and are looking for alternatives.
View a couple if necessary to try and turn the tables.

Who knows, I had the reverse problem with my buyers who tried to work a number on me. Got mad eventually and took the sold sticker off the board knowing they would see even though it would have cost me. Suddenly they wanted to proceed.
Bought a 'temporary' property to get out of the mess, turned out to be better location than where I preferred. 

dawnofthedave

Thanks. I just wish I knew what the hell is going on. I feel totally unable to read the situation. 

Doozergirl

dawnofthedave said:

Thanks. I just wish I knew what the hell is going on. I feel totally unable to read the situation. 

It's not normal, but these people do exist and it's all about the money. No scruples.  

ThisIsWeird

This is entirely your call to make. Only you can make the judgement on whether to succumb to this 'ole's demands. 
Imo, this is effectively extortion. It doesn't matter what his reasons are - it's effectively extortion. It's perfectly legal, but highly unethical.  
The equivalent of you trying this on - reducing your offer just before exchange - is called 'gazundering'. No idea if there's an equivalent word for what the seller is doing?
DoftheD, from what you say, you haven't caused any unnecessary delays to this process? Cool. So you shouldn't be punished, and the seller is an 'ole.
Had you dragged your feet, then a seller may feel 'justified' in threatening this, but you are innocent, and shouldn't be punished. If the housing market was still soaring, then possibly ditto, if coupled with a delay. But it ain't, and even then it would still be unethical.
If your solicitor has been sluggish and caused unnecessary delays, that is not your fault either, and you shouldn't be punished for this. 
So this all sounds like delays caused by the seller. Don't bother trying to work out why!
What to do? I suggest, try and keep the 'emotive' out of it. This is simply about buying a property, and soon this unpleasant part will just be an annoying memory - one way or another. Act on what best suits you.
Your options will depend on things like how much you still want this property, the chances of you finding a good equivalent, and how well priced it was in the first place.
So, is it one of a few alternatives you could buy? Or a rare beast?
Is it competitively priced? 
What's this flat worth to you?
And can you cope with starting all over again?!
You've already offered a bit more. Ok, fair enough, but I'd have done that with a proviso; "We will increase our offer by £2k (or whatevs you did), on condition that exchange takes place by the Xth". Consult with your solicitor whether you are good to meet this date. From what you say, all the feet-dragging is by this guy.
Just had a thought. Didn't the last budget see a reduction in CGT for multi-property owners like LLs? I wonder if he's stalling to try and catch that?! That's going to be May or something, isn't it? Is this possibly his way of compensating for losing out on this if he exchanges 'early'?! If so, he's more than what I said before, but I don't want to be banned again...
So, your call.
1) Accept his demand, but on condition of a prompt and specified exchange date. It reverts to your original offer if he fails to meet this
2) Offer a compromise figure with ditto. Ie, what you have already done, but I suggest consult with your solicitor, and then ask the EA to include the proviso.
3) Say 'no'. Inform EA you will begin to look at alternative properties until the point of exchange. Obviously, if he pulls out, you'll have lost your expenditure to date. But bear in mind that around a third of property purchases fall through, usually at some cost to the buyers (and sellers). It's an unpleasant fact of life. What have you spent so far - around £600?
4) Gazunder. Only kidding, but it is an option....
Try and ignore that the guy is untrustworthy. Simply continue with what you want. What suits YOU.
Please keep us updated, and best of luck.

RelievedSheff

I would start looking for another property.

Do not give in to the vendors black mail. You have agreed a price already. Hold firm and let them know it is your final offer and you will walk away if it is no longer acceptable.

Flugelhorn

Just gazunder, even just £500  - 2 can play at that game. 

mortgageFTB

Come back and knock £5K off your offer!

nicmyles

Tell him he can exchange by x date at your revised offer and thereafter it will revert to the previously agreed price.

Albermarle

The equivalent of you trying this on - reducing your offer just before exchange - is called 'gazundering'. No idea if there's an equivalent word for what the seller is doing?

Gazumping is the word you are looking for.