Advice Needed RE: Offer

Munk3h

Hi there all,

Me and the OH are FTBs and have put in an offer on a lovely apartment on Monday of this week. The apartment had been reposessed and is now owned by a management company. We were told that it should take 24 hours to get a response, but its now Friday and we're still waiting. Looking for ideas of what to do next?

We contacted the estate agent yesterday to try and get the ball moving, but no response as of yet.

We're on quite a tight timescale but will be purchasing cash, so no mortgages to organise etc. The apartment was on at £145k and we offered £140k. I'm thinking we should revise our offer down further as we are running out of time to complete and might need to rent.

Any help much appreciated!

boinging_2

Was there much interest in the apartment?

Seems a high offer to go in with, especially a reposessed apartment.

Munk3h

http://www.rightmove.co.uk/viewdetails-16531279.rsp?pa_n=2&tr_t=buy

Information from when it was originally built:
http://www.off-plan.co.uk/brochure.php?id=77

neverdespairgirl

The rightmove link said that it was close to Preston station.

Within 1/2 mile of Preston station, there are loads of 2/3 bed flats and houses on for less, 6 pages on for less than £125k.

Is this flat worth so much more?

http://www.rightmove.co.uk/viewdetails-17057893.rsp?pa_n=1&tr_t=buy

This has 3 beds, 2 receptions, and a lot cheaper!

Munk3h

Whilst there is alot around cheaper, the flat is finished to a very high spec. Has great views, in a great location etc etc.

Problem is the vendors don't seem keen to respond to our offer. I think we should probably revise our offer down but I have no experience in this and its suprisingly stressful waiting for a reponse.

silvercar

The apartment had been reposessed and is now owned by a management company.

You've not been told the whole story. Lenders repossess not management companies. Has the management company bought it from the lender? Or is the management company acting for the lender?

If the latter the management company will need to convey your offer back to the lender for a decision.

Munk3h

We're not sure who owns it. The management company is acting on behalf of a client, as you mention, most likely the original lender on the property. Can we ask the estate agent and find out who actually owns it, whether this is the case? What benefit does it get us to know who the management company is acting on behalf of?

We are worried that if it takes a week+ to get an offer response, how long will it take to exchange.

silvercar

What benefit does it get us to know who the management company is acting on behalf of?

It just helps explain why you don't get a quick decision.

We are worried that if it takes a week+ to get an offer response, how long will it take to exchange

4-6 weeks is generally the case if there are no complications.

Munk3h

So you do you think? Should we just wait it out, or try and lean on them a bit by one of several options:
1)Reduce our offer
2)Give a deadline
3)Retract our offer

We want to buy as there is a relocation allowance involved which we would loose if we don't buy.

silvercar

(1) and (3) make you look like messers. You want to be showing that you can and wish to move quickly for a repossession.

(2) is reasonable, though I always reckon you should only threaten if you are prepared to follow through.

Munk3h

Thanks for your help Silvercar. Guess we should just sit and wait, I think they would just disregard a deadline and we would have to pull out or look very foolish, not really what we want to do.