WWYD - putting an offer in before selling(5 Posts)
I am delurking for the second time!
We have 1 DC with number 2 on the way. We are currently in a 2 bed flat which has been on the market for 3 weeks, most likely a first time buyer or buy to let property. We are in Scotland.
We have found a 3 bed property much closer to our families. This house needs a bit of work to make it habitable, nothing too drastic - a massive scrub and then lots and lots of decorating including some plastering,etc, which has been reflected in the price. We have viewed it twice and would really like to make an offer. The vendors are not relying on the sale of this home to purchase the one they are after and seemed keen for a family to move into theirs and we were very upfront about our situation. The house is likely to be sold very quickly.
Cost wise the mortgage balance would roughly stay the same. If we managed to sell and buy at the same time we could port our current mortgage which currently has a good variable rate. If we needed a new mortgage we would be looking at higher rates.
The bank are happy to go ahead with the agreement in principle but our purchase could not go through until we have sold up.
It feels like a big risk in case our place doesn't sell quickly but it also feels such a shame to let the ideal property disappear without making an effort.
So my questions are - what would you do? Has anyone recently been in this situation? Do we really have anything to lose by putting in an offer and being clear about our situation? Any suggestions?
Thanks for reading and I hope this makes sense.
No harm in trying, especially if they are in no hurry for the sale to go through, and are up front with them about your situation. We put in an offer on a house we really liked and at first they turned us down in favour of people not in a chain. But they came back to us when that fell through and accepted our offer on the condition we sold quickly. Houses do sell fast here so we had no trouble but you could always suggest that if they are a bit unsure, like make an offer and suggest they accept it if you sell within 8 weeks or something (if they don't just accept it outright).
Thanks Jayne, it's good to get some reassurance and a good news story.
I think we are going to bite the bullet and put an offer in. There is now a closing date on Friday so need to get a move on!
I did this recently, so I can give you some insight into our experience.
First thing I would say is that I think if it is going to a closing date and there are other offers which are more proceedable than you, then it's unlikely your offer would be accepted over those, especially if the amounts are roughly the same. Even if you do offer way more than other folk, it's somewhat meaningless because you are not in a position to go ahead. It creates a risk for the sellers since obviously if you don't manage to sell in a reasonable time frame, they have lost out on the other offers. They will also incur costs for updating their Home Report if the property is off the market for more than 28 days and then they have to market it again as a result of your not selling.
Personally if it would me there is no way I would accept an offer so conditional on someone selling unless there were very firm indications that a sale of your property would be achieved. The whole Scottish system is underpinned by the relative certainty of having missives concluded quickly-and for good reason.
All that said, you do have nothing to lose by making an offer. What I should point out too though is if your offer is accepted on the basis of your selling, it is very, very stressful. Selling is stressful enough, selling under extreme pressure just about gave me a nervous breakdown. You may be made of sterner stuff than me, though! How much flexibility do you have to accept a lower price on your property just to make sure you can conclude on the one you want to buy?
I did this recently.
Our house wasn't on the market when we made our offer. It went to best and final offer so we explained the situation and the fact that properties like ours where I live were selling very quickly. Our offer was accepted provided we sold quickly.
We had margin to sell our property for 20percent under asking but managed to sell for 98percent of asking price to the first people who viewed it. However until we got that offer the vendors continued to market 'our' property it was very stressful. Our buyers then dropped out at last minute and we thought it was all going to fall through. Luckily they changed their mind again and we got our dream house.
Was very stressful but if you are confident your house would sell I'd say go for it. We would do it all again for that house.
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