Selling a house- moral dilemma

[CelticPromise]

I would welcome some advice on this situation, we are really torn. I'm changing a few details just in case.

We are selling a house in outer London. We have relocated and want to sell asap. It went on in December for £380k and after a bit of messing about with people who weren't sure what/if to offer we accepted an offer for £365k. We made it clear we wanted to crack on and ideally compete before end of Jan. Of course that didn't happen but surveys etc were complete by then and we were just waiting on buyers' mortgage offer. EA and mortgage broker both indicated that this was a matter of rubber stamping.

We have now found a place to buy so we want to crack on even more. But our buyers have finally been refused mortgage after weeks of faffing. This happened Friday and we weren't sure what they could do so following recommendation of EA we agreed they could remarket it and they showed 10 people round on Sat. Also on their advice it went back on market for £390k as market is rising. I told EA we would still be willing to sell to original buyers at agreed price if they could salvage things.

Over the weekend and today we have heard that the buyers run their own business and are blaming their accountant for supplying wrong info to lender. They are approaching a new lender.

We have also had two new offers after the Saturday viewings, both at £400K

I just don't know what to do. I feel we have some moral obligation to the original buyers, and we are all ready to exchange when/if they get their mortgage. But are we just handing them £35K? It's so much money to say no to. I was thinking of giving them a short time to salvage things and get to exchange... I'm trying not to just see the £ signs...

Anyone any experience/advice?

[wigglybeezer]

Having recently got a self employed mortgage myself, I would advise that it will probably take ages and may not be for the full amount, we could only progress with our sale because my parents lent us the shortfall. I would go with a buyer on a salary.

[Trooperslane]

As others have said, no dilemma.

You need to take the most secure offer, which WOO HOO for you happens to be the higher.

Good luck OP. Hope it goes through smoothly from now.

Moving house is a nightmare x

[CelticPromise]

I don't want to be a mug, you're right. We don't need the extra to buy the house we want. Moving away from London sure makes life easier in that department!

I'm not sure what the deal is with getting a mortgage in place first. They did have an AIP but anyone can get one of those I suppose. They haven't been in touch either. If it was me I'd be on to my sellers begging and pleading.

I know what the sensible answer is but I can't get it to sit right with me. Has anyone been in the buyer's position?

[MojitoMomonga]

Take the higher offer, it's too much money to lose.

[Hassled]

Your only problem is that you're way too nice :). Take the higher offer.

[OscarWinningActress]

It's the sensible answer and ethically the right thing to do. You have to put your family first here, I'm afraid.

[Glasshammer]

Firstly you were expecting a fast sale which it hasn't been. They should have had mortgages sorted straight off but messed around.

Secondly you will be in effect giving 35k to a complete stranger if you sell to them after very delayed purchase. Why would you give that amount away?

Offer to sell it to them if they can match the other offers. Give them first dabs but then walk away if they can't match.

[Glasshammer]

They chose not to make sorting a mortgage a priority and have wasted your time as a result

[ChippyMinton]

Have been a buyer in the second position, and did everything I could to get our purchase through, as we were delighted to get the chance to buy the house. The sellers' original buyers messed them around for several months, and the chain was going to collapse. They reluctantly remarketed to a select handful of proceedable buyers, everyone offered the asking price, which was £5k above what they'd originally accepted.

we had been gazumped on another house, so that was karma!

[CelticPromise]

Thanks again everyone. Chippy at least one of our new buyers has just lost out on another very similar house.

You are right, we just can't turn down this much extra money. I will find out tomorrow who is in the best position. Both new offers sound in better position to old one. I may suggest a target exchange date in 4-5 weeks and see if they each think they could do it, is that reasonable? I anticipate we'll be ready to exchange on our purchase by then.

[Ilovemydogandmydoglovesme]

You probably shouldn't have told them you'd hold it for them, but I expect you know that.

I'd be tempted to email them or their solicitor again and tell them that you're sorry but you have to proceed and you can't hold the house any longer.

Then go ahead with the highest offer.

[CelticPromise]

I do know that, and maybe I wasn't clear, but I meant if they could salvage the original mortgage and produce an offer. It wasn't very clear from our info on Friday whether they had actually been turned down. In fact we are still not sure.

[walkingdeadmama]

Defo go with the highest most secure offer!
Dont feel bad. Imagine how you would feel if you sold to the original buyers and they sold it straight away for the extra 35k which should have been yours!!!

[Ilovemydogandmydoglovesme]

Sorry yes I know you know that!

I'd still tell them you need to proceed now and can't wait. Do you really want to give them £35,000?

[BrianTheMole]

Sell at the higher price, on the proviso that they are ready to exchange soon.

[BrianTheMole]

How could you turn down £35000? You're a better person than me. Me, I figure I could get my kids a long way through uni on that.

[HootHootTootToot]

I bet the original potential buyers will understand. They might be dissapointed but I can't see that they would be aggrieved.

There is no dilemma.

Good luck.

[50shadesofmeh]

35k is a lot of money to lose, you gave the other buyers a chance and they blew it, they might end up letting you down and cost you money and lose a house you like, I wouldn't hesitate , you will never see these people again, they will likely be sad but they should have moved quicker, not your problem.

[TamerB]

You were messed about so I would go for the higher offer.
It would be a moral dilemma if it was proceeding and you took a higher offer,but you had started again.

[Branleuse]

even if it was a moral issue, which it's not, its 35k, and its business. youre selling.

youd be a complete mug to lose 35k over people that fucked you around already

[christinarossetti]

You're actually doing the original buyers a favour. They must be completely over stretching themselbes, so by going with a higher offer, you're saving them from possible repossession a few years down the line.

Also of course there's no guarantee that another offer will proceed smoothly either but def worth a go.

[Eastpoint]

Lots of people are dodgy, we know of a few house sales which have reached exchange day & then the potential buyer has messed around to try & force the vendor into accepting a lower price.

[CelticPromise]

I know East and we've already said we won't do that- once we are proceeding the price is the price. We won't reduce it and neither will we increase it in this crazy market.

We've decided we have to go with the best placed higher offer. I'm going to find out more about the finances and suggest a target exchange date in about four weeks. Then I can tell our vendors we won't delay the purchase. I hope the original buyers understand- I would. It's too much money to turn down.

Thank you all for your thoughts and advice!

[50shadesofmeh]

Good for you Celtic I hope all moves along smoothly from here.

[CelticPromise]

Thanks 50