Offer on our house - should we accept?

mitchaa

SuzySu wrote: »

The problem is the offer of £260K would, in fact, cover our outstanding mortgage (£198K) and secured loan (£57K) but will not leave enough left for us to pay our EA (£2,600), solicitor (£1000), HIP (£500), moving expenses (£??) plus a month and a half's rent up-front (approx £2500).

£198k +£57k = £255,000. You still have £5k left over to pay...

£2600...EA
£1000..Solicitor
£500...HIP

Leaving you with £900 for removal costs.

So you'll just have to find the rent from somewhere....
1.5x rent = £2500:eek: (Is this actually 1.5x rent as a deposit + 1 months rent) so rental of £1000pm

Or is rent £1670pm (1.5 x £1670 = £2505)

Kez100

mitchaa wrote: »

£198k +£57k = £255,000. You still have £5k left over to pay...

£2600...EA
£1000..Solicitor
£500...HIP

Leaving you with £900 for removal costs.

quote]

She says she has morgage arrears to pay as well.

SuzySu

Thanks Mitchaa and Kez. Yes, we still owe £3000 odd in mortgage arrears and I'm only guessing at the redemption figure as DLine would not discuss it with me last night. Due to the arrears this has now been passed to their solicitors so we must instruct our sols to deal with theirs hence the extra costs that will be incurred.

The rent round here for a 3 bed is around £1250 per month so 1.5 x £1250 = £1875 so maybe I was overestimating. I don't know what they will expect as a deposit. Can we negotiate rental prices or are they generally fixed?

Once a settlement figure has been given in writing, do I still need to pay the mortgage and secured loan next month? If not, we could put that towards the rent.

Don't know how much to budget for removal costs either. We are hoping to do most of it ourselves if we can.

ontheslide

...personally i think i'd accept the offer... but... don't take the house off the market until exchange of contracts...

..if the buyer is upset by this i'd explain that due to the current climate and the fact that up to a third of all deals are falling through that's your condition for accepting the offer under your asking price...

..best of luck..

Jorgan_2

I'd certainly take the offer. Can you borrow the money needed to cover the fees from another source, friends, family, bank? Its not something I would normally suggest, but its better than being repossessed.

mitchaa

May i ask why you are selling and then planning on renting?

I assume mortgage vs rent payments are going to be very similar taking into account £1250 rent?

SuzySu

Thanks again guys for your interest.

Ontheslide: how do we keep it on the market? Sorry if it's a daft question but surely a Sold board will go up and the EA will stop actively marketing it (and I don't now about RightMove).

Jorgan: can't borrow any more from official lenders and certainly not from family (they have no idea of our financial mess and, without going into details, would be of the 'told you so' type).

Mitchaa: We are selling because our combined mortgage and secured loan repayments each month are £1880 :eek: so we should be saving about £630 per month by renting.