To think that the property buying process in Scotland is a joke?

[Creambun2]

Just this. I despair of actually buying a place.

It's a darn sight better than England (experience of both); at least you have a survey before you make a bid and incur legal fees and once you've had your offer accepted you are locked in. The English system is ridiculous.

I prefer it, although yes the offers over is frustrating. Our first property was in Scotland, house was offers over 90k we kept getting rejected, ended up buying for 110300, sold it 4 years later for 120,000, which was what our offers over prove was and our first offer but it was what we needed and were happy not to push our luck!

Buying in Wales has been so More complicated. I guess we have been lucky really but so many people have people pull out at the last minute. It’s terrifying.

So have I, lottie, probably in the same areas as you, given the numbers you quoted. We have just bought and sold and your example is typical, or even a pretty 'good' deal, in the areas we were/are in.

But this really is one of those "check your privilege" situations. I am aware that the areas we've been buying and selling are not typical of the entire Scottish market. Most people, elsewhere, who are selling hope for HR value.

Yeah, I’ve both bought and sold in Scotland. I think the average is about 15 percent over the offers only price that properties go for.

If you keep losing out, you’re going too low, I’d expect a local solicitor to be able to advise you on what the market is in that particular area and what it will likely go for.

Having just paid for three full homebuyer surveys and partial solicitor fees on properties in England, only to discover massive structural issues, I would much prefer the Scottish system!

Advice I was given when trying to buy a house in Scotland -

Don't offer an amount you think you might get away with. Offer what you can afford and would be happy to pay.

In other words, Give it your best shot.

Actually, the English and Scottish legal systems are more similar than people realise, but cultural expectations are different.

In Scotland, it is POSSIBLE to make an offer but be gazumped by a higher offer. However, it doesn't tend to happen, because (1) solicitors would withdraw from acting on behalf of the seller, to show their disapproval, or at least they used to, and (2) in Scotland we conclude missives as quickly as possible so everyone is committed to the transaction

On the other hand, in England, (1) people exchange contracts at quite a late stage (I think) which gives more flexibility to both sides to withdraw and (2) culturally, people seem to accept that the transaction isn't definite and either party might pull out

I bought earlier this year. Couldn't have been easier. Viewed my house. Fell in love with it offered 10% over asking price. Offer accepted within 48 hours. No hassle with surveys etc because of the home report.

It’s a much better system than England.

Offer the absolute max you will pay, first time, and let the agent know if there are any factors that make you an attractive buyer (cash, no chain etc.)

Everyone I know who sold a place in Edinburgh has had offers over that made my jaw drop. There’s a lot of money kicking about some places, so bid the absolute maximum you can afford, first time. Friends sold a tiny flat in bruntsfield for 80k over asking.

Where I live it’s all done by text - you can watch the bidding in real time :)

I think it’s far better. Make your best offer and hope for the best. My jaw drops at the threads on here where buyers in England put in a cheeky offer at below the price.

What I don't understand here though, is in areas where houses always go for 25-50k over the HR value, almost without fail, then why are the properties "undervalued" by the surveyor? If everyone knows a 300k (HRV) HOUSE will sell for 335k, then why don't the HR values ever seem to catch up? Why is the identical house on the same street yet again valued at 300k, and then sold for 335?

Is it a way of keeping a grip on the house prices in these in-demand areas? As if people could get a mortgage for the full amount (less deposit), they'd just throw another 20k on top of that too, to win at closing date?

I do find that strange.

We've bought recently in Scotland - the days of property going for over the home report value are mostly over but in our area houses sell close to it. I found it best to ignore offers over as it's just part of getting people over the door to see a property & be realistic about what houses are selling for in that area in relation to the HRV.

It's worth requesting surveys for houses for sale now and even if you don't bid it'll give you an idea of what people are paying in your area in relation to the survey price in a few months time when the sold price is available on rightmove.

If you think it's bad in Scotland, try coming o England. It's crap here too, but in different ways

Good luck OP

I think Edinburgh must be the exception to the rule hearing so many people say houses generally go for around Home report value. In Edinburgh this is definitely not the case sadly!

We recently bought in the Scottish borders for below the asking price (not by much). It does really depend on the area you are buying in, as PP have said. I found the whole system much better as everyone was locked in quickly and we could make plans knowing the sale couldn't collapse. It made finding new schools and moving large animals much less stressful! I wish the whole of the UK would adopt the Scottish system!

Interesting, we've just bought in a not so desirable area of Scotland and we paid more than the HR. The HR and the offers over price were the same incidentally.

I miss the Scottish system now we live in England! The uncertainty is enough to drive you crazy.

house buying is always horribly stressful, OP. Hope you get one soon.

It’s a better system - did your lawyer tell you that you were unlikely to win the bids? we got ours for 4% over HR in Edinburgh - property market has cooled off a lot the last few years. I’m not sure if the problem is the advice you’re getting or bidding for things that aren’t really in budget - I can sympathise, you’ve got to keep on keeping on - all the people I know with lovely flats made many offers until they got the one.

You do need to find a solicitor that you get on with, who returns calls quickly. We found our solicitor had much more involvement up in Scotland that when buying a house in England and you need good advice you can trust, especially when it comes to bidding.

Good report on this in ?Money Matters? ?You & Yours? on R4 today. England and Wales complain about gazundering and gazumping - one prime example of gazundering was a retired gent trying to sell his mother's seaside home (she needed the money for nursing home ASAP) and the buyer met the price, demanded it was taken off the market and then two weeks before exchange demanded £36000 off the price. Retired gent refused on principle but is left funding his ma's fees until he can find another buyer.

I believe the Scots system demands a deposit once the bid has been accepted? Which would stop some gazundering. But does it stop gazumping?

It does also help that everything is all in place (deeds, local search, survey, land registration) in Scotland. That was sort of the HIP scheme Labour introduced in England/Wales but it failed because people didn't want to accept other people's surveys and because it was expensive to get in place and needed regular updates if the house didn't sell.
The other problem has been in England and Wales that estate agents have been increasingly tied in to conveyancers/conveyancing solicitors who are miles away, have no sense of urgency and don't know the area/chain.

I gather there's also a mortgage investigation in the UK which is also buggering up smooth deals.