AIBU to walk away from this house purchase?

[Quandaries]

Will try to keep this short.

Viewed a house and loved it 6 weeks ago. Ticked all the right boxes and was very good value for what it was. Offered asking price and it was accepted. Survey done, solicitor engaged etc so at the stage where it’s cost us some money.
Booking deposit has been paid but is refundable (not in Scotland).

We have a large deposit and mortgage is ready to draw down. We’re not in a chain.

Our solicitor was chasing theirs for contracts.

On Thursday I got a call from their agent to say they’ve allowed another viewing from a very insistent couple who are cash buyers and offered £8k more.

Agent now wants us to reoffer and increase on the new buyers’ offer so we’ll be paying £12k above what was agreed. He insists that the house will go for even more if it goes back on the market and says that houses are being snapped up before they go on the market as more people are working from home and this village is very popular for those with just an occasional commute.

I’ve had a look at Right Move and can’t see any evidence of anything other than price drops in the area. I accept that there may be houses selling before hitting the market and I don’t have this data.

My heart loves the house. It’s in a stunning village and really ticks all the boxes in terms of schools etc.

My head is saying we’re actually in a better position than the cash buyer as we’re 100% ready to go and can sign this week whereas they will need to have survey done etc.

Head is also telling me that if the sellers are going to screw us for £8k (for context, that’s a bit over 1% of the purchase price we had agreed), they’ll be a nightmare to deal with and it’s only a matter of time until they come back to us either with a new offer from the other bidders, or pushing to put it back on the market.

I’m also guessing that house purchases slow down a bit in winter, and it’s an area where more Covid lockdown measures are likely so putting it back on the market may mean there aren’t many viewings.

For additional context, we can afford to increase our offer. I’m just loathe to get into a bidding war due to how the vendor has sprung this on us.

But I love the house.

YABU- up my offer
YANBU- walk away

I would match the 8k and remind them you can exchange this week. That is worth £thousands. You have proved your commitment by doing a survey and using solicitor. You are up against random buyers who may drop out next week.

I wouldn’t worry about buyer being nightmare to deal with. That’s why you have a solicitor.

(We had this on our dream house. A week before exchange vendor said an investor had offered more and he was dropping us. He can crawling back a week later after the investor started messing him around).

@CakeRequired

Walk away. Likelihood is this cash buyer doesn't exist.

They will no doubt come back to you. At that point, offer 5k less than your original offer. Their fault for being greedy.

It's business. They may have taken a gamble, maybe there is a cash buyer. Either way, I wouldn't be upping my offer at all.

This.

They are probably at it, and even if they aren’t, they have no integrity. You made an offer which they accepted. You have no guarantee that they won’t keep asking for more.

Walk and be prepared to lose this house.

@ZoeTurtle

And I have a feeling those posting saying walk away won't be bidding on those kind of priced houses anytime soon.

Meow.

Meh. It's true.

@Horehound

And I have a feeling those posting saying walk away won't be bidding on those kind of priced houses anytime soon. Walk away if it was £200k not £800k

I'm saying walk away and I've just purchased a house in excess of this.

What a bizarre and bitchy assumption to make.

The agent will not be bluffing

Agree on this point. It would be madness to take that gamble.

If you do buy this place you will always think about the extra you had to pay. And you'll think it wasn't worth it. So walk away.

We walked away from a similar pOsition tho we hadn’t gone that far. After accepting our offer we were told someone had made a higher offer. We said that’s ok we’re sorry but we won’t start in a bidding fight and end up on a price we’re not willing to.

Later we came to know they had only offered £500 more than us. The house ended up being ours (the purchase was done via a guy that he was off when we were outbid and his colleague tried overtaking the purchase and few days later called us apologising saying it shouldn’t have happened and we could have the house if we wanted it )

Tell them the offer is on the table for two weeks. If the others pull out. Then you will go look elsewhere. I’ve a funny feeling it’s going to bite them on the arse. I think the new buyers will bring their offer down back to what you offered and then pull out. It’ll serve them right.

I'm saying walk away and I've just purchased a house in excess of this. Well it's pretty foolish. Easy for you to say sitting on your dream home. It's a few k to the op. Why cut her nose off to spite her face?

All this Nonsense about the seller’s integrity

£8k!

Who knows their financial situation. They could be heavily in debt and desperate for every penny.

A more straightforward transaction? They could need the money ASAP.

Walk away, there will be other dream houses. No integrity and I wouldn’t give anyone my money to someone like that 🤷🏻‍♀️

I’d call their bluff and tell them they either proceed with your offer and exchange by a set date (in the near future) or you walk away. There’s no way I’d get into a bidding war.

The agent will not be bluffing

Agree on this point. It would be madness to take that gamble.

If they actually had a cash buyer with an extra 8k to give them, they'd just back out of the sale with op and take the cash buyers hand off. Cash buyers are easier to deal with than mortgage ones, you don't know if the mortgage will get refused or other issues occur etc.

I would also say walk away, if they are not willing to honour their acceptance knowing you have paid out for survey and solicitor they will not hesitate to play further games relying on you not wanting to lose the money already paid.
If they do then come back to you I would offer less based on them messing you around.

I think this is dishonourable as the process is so far along.

The EA is very poor to facilitate this.
Decent one's don't.
Especially in a small area where your reputation is important.

Their EA's name would be mud if they did this to me, and I'd tell them so.

If you meet them at the school gate, they are the ones who should be embarrassed.
It's very shabby behaviour.

Most people wouldn't do this and judge those that would.

However, I think a cool head IS important.

If it really is the house you absolutely want, then get it.

When everything is signed I'd be very clear to them about my narrative about doing business with them both.

Good luck.

You had an agreement and they have changed the rules. I would walk away. You're either being played or they are greedy.

We had a similar thing happened, walked away and when the same house in the cul de sac behind (but better decorated and bigger conservatory) came up for 10k more we then had a bidding war with the same people that had gazumped us. They bid asking price and were first time buyers so they got the other house and we got out original house but it cost us a few grand as seller now felt he could ask for more. I see them quite often and have always wanted to tell them what cunts they are and the hassle they caused us.

If you go for it, It will annoy you the whole time you own the house. Or it could be like ours and work out in your favour but also still annoy you. Ha!

If you still love the house, don't match the offer, but stand firm with your current offer.

If the other bidders are "very insistent" and persuaded the sellers to allow them to view after they'd accepted your offer then chances are they'll come back again with another higher offer. Or come back at some point further along the line.

I'd walk away.

I'd also bet these new buyers drop their offer by 8k last minute.

Walk away.

Similar happened to us in the house we’re in now, although slightly different. We offered asking price but they decided to carry on with viewings the following week and EA said it would go to sealed bids. We were a bit grumpy about it but thought it through and in the end bid what we were prepared to pay, which won. Sellers hadn’t found anywhere so we did stipulate we’d wait something like 8 weeks for them to find somewhere but that’s it. Haven’t regretted it.

If you want the house go for it. Agree you could meet halfway as you’re ready to go or pay them what they want but with stipulations. Good luck!

We had this.
I said, without thinking or discussing it with my dh, "crack on, sell to them, we will find something else".

Surprise, surprise, we ended up buying and nothing was said of these mysterious last minute buyers.

@HollowTalk

And say to the estate agents, "Let me know what else comes on the market. As you know, we're cash buyers and ready to go."

The OP is not a cash buyer.

They will have a mortgage on the new property.

this is why i wish he we had the scottish system-they let someone view it after the surveys had been done

thats just cheeky

Tell them the offer is on the table for two weeks. If the others pull out. Then you will go look elsewhere. I’ve a funny feeling it’s going to bite them on the arse. I think the new buyers will bring their offer down back to what you offered and then pull out. It’ll serve them right.

I second this. Set down your own terms and stick to them; I'd be inclined to say you have 48 hours to make up your mind or the offer is withdrawn.

Strictly speaking, gazumping isn't illegal. It is, however, strictly and rightly frowned upon as the kind of immoral behaviour only facilitated by cowboy estate agents. Any bad publicity over this kind of thing won't look particularly good for their business.

NB. If you've already paid for the surveys I'd be requesting a refund.