Relocated - house for sale - no viewers

carpmaster

The longer you delay the sale the less money you will get for the property. You're already in negative equity and if you hold off thinking prices will receover you'll get a nasty shock. You need to knock a large amount off the price to attract a quick sale. There really is no other way.

neilsc99

carpmaster wrote: »

The longer you delay the sale the less money you will get for the property. You're already in negative equity and if you hold off thinking prices will receover you'll get a nasty shock. You need to knock a large amount off the price to attract a quick sale. There really is no other way.

is it that simple tho ? Myself and my girlfriend went to see our finacial advisor at the weekend about our flat which is up for sale, on the bases we take an offer at 175K we can afford the mortgage we want but any lower then we would struggle, unless the house we want to buy, the seller drops there price

elona

I was joking to my husband yesterday that as we had just done three things we did not want to do before we were moved- applied for renewal passorts- got new oven - and new washing machine on order as ours has just conked out- we might get a viewer.;)

An hour later the phone rang - 1 o'clock this Saturday- buyer in a position to proceed - viewing other houses as well that day.

Moaning on the forum seems to work!!!

Not getting my hopes up but wanted to whizz around the house anyway as student daughter (fanatically tidy) gets back soon.

Good luck to everyone else and fingers crossed.

Pete0926

So.....If I owe 100K on a house and take peoples advice such as the dreaded Squat Now, and sell it for say...80K having dropped it 5K a week until it sold, I now still owe 20K to bank. Anyone know how the bank would react to this, would they even let me sell at that price?.If I didn't have another house for them to secure the 20K on, how would they chase this?.

Pinky_Ponk

I'm in the same position - I've lowered the price and just waiting to see if that makes a difference - i had one viewer but they couldn't get a big enough mortgage. Anyway, I would say the same as already has been said which is to knock some off the price just to get rid even if it's at a loss - that's what I'm planning to do if there's no interest in mine in a week's time. It's all well and good saying "hang on to it until the prices recover" but it's very likely that they won't recover for a long time and even then it won't be quick. In the mean time who's to say interest rates won't zoom up making mortgage repayments nigh on impossible when people come off their current fixed rates into that market. Sorry to be the voice of doom but it's a very strong possibility that this will happen. My OH works in investment banking in credit and he's very much of the same opinion - he refuses to take out a mortgage so that's why we're renting and (trying to) sell my place.

neas

Sell at a loss, rent while down in new area.... while prices drop.

Buy in 2 years time... voila... saved yourself a good 20-30% of the new property price..so you would still win in the end .

carpmaster

neilsc99 wrote: »

is it that simple tho ? Myself and my girlfriend went to see our finacial advisor at the weekend about our flat which is up for sale, on the bases we take an offer at 175K we can afford the mortgage we want but any lower then we would struggle, unless the house we want to buy, the seller drops there price

You're making a common mistake in your thinking here. It's not about how much money you "need" from the sale of your house, it's about how much the market is willing to pay. Holding out because you "need" £175k isn't going to change the fact that nobody will pay more than £120k. (example figures used).

anitap

Hi all - sorry for the delay in responding, had asked to be notified of additions to my thread but all the while I was thinking no one could help or cared i didn't realise so many of you had until i finally got 5 mins to check just now !!

Firstly thank you sooo much to all who have sent good luck and the same applies to others in our situation. Thanks to all for taking the time to read and reply - both positive or negative ; )

I will try to sum up to the comments on dropping the price further.... and might add that last week we dropped it yet again to £99,950. The value outstanding on the mortgage is £78,514.21, we have a loan which has to be paid off when we sell the house which is £15,814.00 and sale fees will be approx 1.5% (£1500 + vat = £262.50) therefore bearing in mind we don't have a stash in the bank we need £96,090.71 to break even. I have never been one to work to the pence when solicitors are involved therefore I am working on an absolute minimum of £97,000 to be on the safe side as a cost.

With this in mind and bearing in mind also that to make up any shortfall in what we owe on the mortgage/loan/fees would mean taking out an unsecured loan which will be an absolute last resort we have only £2,000 left to play with and by that I don't mean to pay for a holiday I mean to cover any viewers asking for another reduction to secure a deal or by any unforseen legal costs.

Selling at a loss really isn't an option as to be quite honest we have a lot of credit commitments and so putting to one side the fact that we wouldn't want to take out a loan we don't think we would be able to get a loan at this moment in time.

I do however feel compelled to reply to "Squatnow" personally: we are not saying we are right and the market is wrong - what we are actually saying is the market may be right but we are committed to our mortgage lender and have no option but to work towards the level we have committed to - I wish we had £40k in the bank cos then I would gladly reduce the house and sell it at a loss, pay of the building society and spend our evenings doing something more satisfying than losing sleep, replying to people like you and driving ourselves round the bend trying to find a solution !!!!!

I might add that prior to married life I sold my previous house at a £10k loss as after 7 years of living in my property the area became rather dangerous, as I was on my own at the time I needed to get out for my sanity and luckily Barclays bank came to my rescue (the loan took 5 years to pay off and in the meantime I rented somewhere for myself as I was too scared to buy again) 8 years later to be facing a similar prospect in terms of losing money or should I say having to borrow money to get out you might be able to understand how much of a bitter taste this leaves !

(deep breaths !!!) Am going to go and sit in a dark corner now and rock !! I know there are people worse off than us am sure there is a solution just around the corner. Will have to keep working on it - the concensous at the moment is to keep it on until October when we have to pay £400 for the HIPS which we defered until we sold and then make a decision - until then we think its better to keep it on the market in the slight hope we can sell it and get shot once and for all. Fingers crossed !

anitap

Pete0926 wrote: »

So.....If I owe 100K on a house and take peoples advice such as the dreaded Squat Now, and sell it for say...80K having dropped it 5K a week until it sold, I now still owe 20K to bank. Anyone know how the bank would react to this, would they even let me sell at that price?.If I didn't have another house for them to secure the 20K on, how would they chase this?.

They won't release the deeds until the whole of the loan has been transfered, therefore the sale wont complete !!! They aren't daft - they won't let you go anywhere unless they have a hold on your property or you clear what you owe them in full !!!

anitap

kunekune wrote: »

Idea 1: How tied are you to your new location? Could you move back?

Idea 2: We were in a similar position some years ago (we ended up borrowing money to pay the EA). One thing we worked out was that it was not such a massive problem that the rent didn't pay the mortgage ... so long as it paid OUR rent. Thinking of it like that was quite helpful.

Hi I suppose I could move back and leave hubby in south but having just spent 2 years in that situation, secured a new job down here and hubby off to Iraq for 6 months next year would like to hope it will work out and we can enjoy the time together before he goes. Its would be a last resort.

Your aspect of looking at it as rent paying our rent is good I don't have much knowledge about renting a house out and as we came out of our fixed rate in August last year the first thing we would need to do is get a new mortgage hopefully at a lower rate but should we look at a buy to let mortgage and would that even be available to a current mortgage or just new mortgages ?

Also what sort of fees are we looking at on a £450 per month rent as with the distance it would be difficult to manage from 200 miles away if anything goes wrong ?

Are there any checks we have to have done before we can rent it out and if so how much do they cost ?

Any advice on this is helpful : )