buyers trying to knock down price

soolin

Thanks again for more things I can have a think about.

Just to answer some of the questions, I do not own the house and the proceeds will not be mine but I am legally responsible for its sale, I do not however have to sell and I could hold the property or renovate it instead. The buyers have had no survey nor any independent valuation done, all they have is a mortgage offer after a man who didn't know the area and who spent 12 and a half minutes or thereabouts in the property came and had a look. I doubt if it is a 100% mortgage as the house is a wreck and I didn't think mortgage companies loaned 100% of a restoration project up front..but that is really completely out of my field so I am probably wrong. The house is also not the first the buyer will own, he has at least 3 others already as some of the post has been redirected to him at the house address already..and some was opened in error and contains details of other properties. Sorry if this is sounding mysterious it is all quite complicated and nothing is quite what it seems. However I do know that the buyers are desperate for this property and no other will fit the criteria.

Lastly, I do potentially have the opportunity to refurbish the house myself as a last resort, I don't want to as it is a big job to get it up to letting standards. However if it is refurbed then the market price finished will be approximately £80k higher for a possible £40-£60k spend. I also have a virtually guaranteed source of professional people to rent it.

However I really really don't want to develop this myself as it is not something I would be in the slightest bit interested in doing, or would know where to start.

All this is really immaterial though as my preference is to sell and be done with it.

Trollfever

P.S.

Having read your signature, put it on eBay to test the market!

EdInvestor

soolin wrote: »

The house is also not the first the buyer will own, he has at least 3 others already .... I do know that the buyers are desperate for this property and no other will fit the criteria.

Sounds to me they are trying it on.This is typical of some buyers in normal times - it's one of the major irritations of being a vendor - and of course all sorts of people are trying it on at the moment because of all the hype and spin doomster stuff about falling markets in the newspapers.:rolleyes:

I suggest you just say no.You have a very reasonable fallback position and quite possibly the buyer will just cave in - they normally do..

CYBERCIDERSAVER

I would threaten to put the house on the market if they refuse to pay close to full asking price, to see what th true "market value" is. Chances are a builder will snap your arm off.

david29dpo

In this case, i agree with the above.

soolin

I've had a think on this overnight and decided that as they haven't actually asked for a reduction yet I will leave things as they are for a week. Then I'll chase my solicitor to chase the buyers on the basis that this has been dragging on now for several months and I would like to be in a position to either talk contract dates or re market the property.

Then if the buyers come back with a lower offer I can decide what to do and make a final decision at that point. I still want to sell but I think that other family members may consider that I should be renovating it and letting it out (as long as they don't have to list a finger!) but I will have to see what the buyer comes back with.

Thank you everyone for giving me some things to think about, I'm going to try looking at other properties in the area online and see whether I am correct in thinking that house prices in that part of North London are holding firm.

david29dpo

Well said. Let us know how you get on.

lynzpower

I definately dont recommend letting it out. there are SCORES of legillations youll need to comply with. Its not worth it, you havent even worked out if itsmore profitable to sell ( i bet it is)

soolin

lynzpower wrote: »

I definately dont recommend letting it out. there are SCORES of legillations youll need to comply with. Its not worth it, you havent even worked out if itsmore profitable to sell ( i bet it is)

I don't particularly want to rent it out but I will if I have to. I already have a part share of a let house so am aware of the procedures as well as the pitfalls and benefits.

macaque_2

CYBERCIDERSAVER wrote: »

I would threaten to put the house on the market if they refuse to pay close to full asking price, to see what th true "market value" is. Chances are a builder will snap your arm off.

I think this foolish advice.

Builders may snap your arm off but they are unlikely to buy the house. Property developers are reducing their exposure as fast as possible at the moment. If they buy, it will be at a deeply discounted price. More than anyone they appreciate the implications of the credit crunch and many are sitting on unsold property.

What the buyers are doing in this case is 'gazundering'. It is a distasful practice but I would prevail on you to be pragmatic.