To ask buyers to cover costs of delayed house sale?

[AbuelaGetTheUmbrellas]

Would really appreciate advice on this. My husband and I sold our house STC at the end of last year. The house was up for auction. We sold it before the auction- buyers requested an extension on the exchange and completion date, which we agreed to. We exchanged a few weeks ago, and are due to complete tomorrow.

Buyers are now requesting a further 3 weeks extension on completion date as they have not secured their mortgage yet?! I think this is madness - they shouldn’t have looked at auction properties if they didn’t have the funds in place. They have risked their deposit by behaving this way. I’m not a Dick, so I’m happy to give them an extension rather than run off into the sunset with their deposit BUT I think they should cover the additional interest payments on our mortgage for the 3 week delay (it’s just under £2000). Is this a reasonable request? My husband is saying we should just absorb the cost ourselves!

- they shouldn’t have looked at auction properties

you really do need to stop thinking of this as an “auction property”

it patently isn’t. You sold it before it went to auction

Even after exchange?

It's worth a shot OP. They've really messed you about here and you've been accommodating.

I'd probably not engage with @Whatislove82 - I rarely notice a username but I have theirs as they pop up everywhere with antagonistic or wrong comments. Ignore!

Umm yes, of course they can. Some right idiots on this thread. I’d get your solicitor to serve notice on them.

I thought you couldn't go to an auction without proof of funds, surely the same applies to a purchase, you don't exchange if you don't have the money! That's madness!
What if they don't get a mortgage now?

How did their solicitors allow exchange without their mortgage finance being in place?

@MelissaGoodgame yes, it was my fault for engaging initially, even though I could see their comprehension skills were poor. I’ve stopped now.

I’ve had some good advice and this thread has confirmed I need to stand my ground with my husband and at lest ask them if they would be willing to cover the costs.

Not on the basis of a 3 week extension FGS! 😂

@AbuelaGetTheUmbrellas you absolutely do. It's not acceptable to ask for this extension the day before completion.

I don't understand how you exchanged without them having their mortgage set up and ready to go? I'd be asking your solicitor about that...

Ok so your husband has also not fully comprehended the situation?

And I remember your name from another thread regarding you and your dh having a major disagreement about this property and so bad you were being urged to leave him. Waving a mumsnet thread at him saying you’re right, rather than, you know, seeking the advice of your agent and solicitor, is unlikely to go down well.

You thought contacting the agent about this was a “good idea”. Had this honestly . Not occurred to you beforehand?

@strawberry2017 i have no idea how it happened or if they have broken any rules by not having the mortgage in place prior to exchange. I’ve never sold at auction before.

Like I said @AbuelaGetTheUmbrellas ignore!! It'll go away eventually

Trying to ignore some of the brouhaha in this thread.

Yes of course you can ask them to cover the £2k and if it genuinely is what it's going to cost you (but sounds extreme) then it's not even 'in your hands'.

It's a simple choice for the buyers - complete as agreed or cover the extra.

What is Love - I am wondering if you understand what is going on here.... Buyers almost always meet the completion date! Otherwise they lose ££££

You didn’t sell at auction!!!!

No they don’t. There is very often delays.

and the op is repeatedly referring to the property as an auction property

it wasn’t. It was sold before it went to auction

3 week delay results in £2k extra interest? WTF?

If you are unclear on this, I am baffled why you haven’t dropped the agent a line to ask.

@MaggieFS yes that’s roughly what it will cost - we’re on a standard variable rate, the interest is greater than the capital repayment. I want going to ask for any of the capital repayment back - it was literally just the interest and council tax (pro rata).

Thanks for all the good advice, I’m waiting to hear back from the auction house and solicitor- I intend to ask the buyers to cover my costs. Leaving now for school run - but will update later for anyone interested.

Exactly this! I suspect they did have a mortgage offer in place but are hoping to take advantage of the more recent slightly lower fixed rates hence the delaying tactics.

I would offer to accept the delay and they pay your costs on the understanding that any further delay will result in your solicitor serving notice and you keep their deposit and walk away.

How much is the depost they would be forfeiting compared to your costs?

E.g. if the deposit was £10K and you're losing £2K a month on interest etc then how sure are you that you'll find another buyer and complete before the costs outweigh the deposit they have forfeitted?

* A o arty’s failure to complete on the agreed date does not give rise to an automatic right for the other party to terminate the contract and walk away without completing. Rather, the conditions of the standard contract allow the non-defaulting party to terminate the contract only where:*

the other party has failed to complete on the specified date; and
“time is of the essence”.
The standard conditions make clear that time will not be of the essence until a “notice to complete” is served.

@Whatislove82 she's confirmed that the auction house still handled the sale.
You seem very angry over this.