Cash buyer- fair price reduction?

[Lily15]

What would you consider a fair price reduction on a house when the buyer is paying in cash? What would you flat out decline/consider/accept?

It wouldn't be a factor. Maybe I'm missing something but what benefit is it to me? I don't care if a buyer's money is in the shape of cash or a mortgage.

Do you mean if there is a benefit of being chain free? Because people with a mortgage can be chain free as well.

I'd give priority to a buyer not in a chain. Would I give them a discount.....it would depend on how long I'd been on the market and how keen I was to sell. And how realistic I thought my selling price was. Too many variables to say a figure/percentage.

I might be willing to take a slightly lower offer from a cash buyer than from a buyer in a chain, but only very slightly lower. It would depend how much of a hurry I was in to sell.

sometimes people say they are cash buyers so can complete quickly... then don't

It might be worth saying "the price is £xxx but we can put in the contract that if you exchange by 1st June and complete by 15 July there will be a £x reduction." I expect the solicitor could word it. Unless the buyer is extremely serious I bet they woin't agree.

Otherwise you'll find you have agreed to a low price for a quick sale, and not got it.

Agree with PigletJohn. It doesn't always mean the sale process is more swift.

Also make sure to check they really are cash buyers. Our buyer was 'sold' (as in we were encouraged to take her offer on this basis) to us as being a cash buyer. Technically she was, in that she didn't get a mortgage for our property. But then it transpired that she needed to remortgage an existing property to get the cash to buy ours. So it took a fair while and had all the uncertainty of a non-cash buyer. Course our EA should have checked this out, but that's a different story (about rubbish EAs).

So no, I wouldn't give a discount.

I think PigletJohn's suggestion is a good one. Bear in mind that whilst they may not need to sell, some of their cash could be tied up in stocks & shares which may decrease in value before completion leaving them with a hole in their finances.
When we bought our present house, we offered the asking price (as another two people had) but made it clear we'd be in a chain or offered £10k less chain free. The vendors went for the chain free offer.

Personally, i would always rather favour those in a chain. The way I see it cash buyers and first time buyers are less reliable as they are likely to get tempted elsewhere or get cold feet.

Cash buyers can be flighty but I have bought cash several times and it does secure a largish discount esp if someone is desperate and you are chain free. We are renting atm looking to buy and all the agents are sending us things which are well over budget as they know we have cash and cash generally means the transaction will complete which atm and in the coming months with mortgages as they are is valuable. Offer what it is worth to you

Cash is king followed closely by chain free. Personally, I would give either of those a bigger discount than I would a chain buyer but it's not a likely scenario is it? If you had the luxury of multiple offers at the same time, you'll probably get close to asking price if not asking price anyway. BTW, I didn't have the luxury of a chain free offer and it took my buyer 9 mths to complete with the chain below them breaking down twice! (we were already in rented)