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Original poster

Is it fair to ask our buyers for more money?

112 replies

MediumOrchid · 08/06/2015 21:30

Bit of a long story :

We sold our house in September. Had an offer accepted on a property in November. Long story short, but all the paperwork went through, then 4 months later the vendors decided they didn't want to sell their house after all and took it off the market Angry. Both us and our buyers were really disappointed.

We are fairly particular about where we want to move to (our buyers know this) and properties don't come up that often. Our buyers have been looking elsewhere but at the moment are still waiting for us. They have been very patient.

But the problem is that the market has risen in the 9 months since we accepted their offer. We've had our house valued again recently at £15k more than they paid. Our house is currently the cheapest of its type in our town. The houses that we want to buy have also risen in value.

Would it be fair to ask the buyers for maybe £7.5k due to the rise the market? Or more?

Half of me feels that's really unfair on them and we should honour our agreement, but the other half thinks that it we don't ask for more money then we might not ever be able to afford to move -then the buyers won't ever have our house!

To complicate matters further, our estate agent says he has a couple who want to buy in our area and would pay the full 15k more. This may not be true, but if it was, I couldn't do that to our buyers. It just feels that it would be so unfair to them.

Or do you just have to be ruthless when buying and selling property?

Why is it all so complicated?!

OP posts:
BeauregardLafontaine · 09/06/2015 11:01

Totally unfair, you should either honor the agreement you made and be thankful that they are still waiting for you, even though they are understandably still looking around.

Knowing that if you see the perfect house you already have your buyers in place is worth its weight in gold and you are lucky that they haven't just walked away.
If you aren't happy with the accepted price then you should put it back on the market at a higher asking price, and if they still want it at the higher price they are free to put in a new offer. But you really can't have your cake and eat it too!

scarlets · 09/06/2015 13:13

It's a tricky situation (not of your making) that requires candour I think. Explain to them that the market has moved against you and that you're now struggling to afford the sort of house you were planning on buying when you accepted their original offer, which means that you're unlikely ever to be able to move out.

Maybe they'll meet you halfway - would an additional £7.5k be sufficient for you to buy the sort of thing you want? They'd still be getting it at £7.5k under current market value!

If they won't increase their offer, they won't get the house because you won't be vacating it - it's that simple, and discussing the moral arguments won't alter these facts. The buyers need to know what's going on.

workingonitagain · 09/06/2015 14:27

Why is your sale taking so long? I think if house prices have gone up and now you can't affor the same type of house as the one that's pulled out, i don't think it's unfair askong for more. If you end up pulling out if you can't find a house, they might rather pay more than start looking for another house

Sunnyshores · 09/06/2015 14:38

Its a horrible situation, as buying/selling is, all you can do is be honest about the situation you have found yourself in. if this really is the truth.

If its only an EA with a mystery buyer telling you they will pay £20k more if you list with them, Id be very suspicious. Id check back with other agents who valued your house originally.

If prices really have increased, you dont have a choice. But you do at least owe your buyers first refusal at a new price, as they will have spent money attempting to buy your house, not to mention the incredible stress youve already caused them with the prolonged sale.

noddyholder · 09/06/2015 15:48

I wouldn't expect a reduction I would honour the offer unless everyone up and down teh chain was re negotiating

CloserToFiftyThanTwenty · 09/06/2015 16:01

But having a buyer lined up and ready to go could well be worth £15k in the crazy world if buying houses

Have you thought about selling and moving into a short term rent so that you are in a great, chain free position to make an offer when something does come up? (Easier said than done, I know)

keepitsimple0 · 09/06/2015 16:02

It sucks, but that's a flaw in the system, not you.

Think about it this way. What if the price went down 15K in that time period. I would expect a buyer to renegotiate, even though that would suck for me. You had no protection for that scenario, and the buyer doesn't either.

blame the game, not the player. give them first crack and move on.

Hughfearnley · 09/06/2015 16:08

We waited over six months to buy our house. Our mortgage offer had run out and had to be redone which was a pain. House prices had gone up in the meantime. Our vendors knocked 2k off the asking price to thank us for waiting. We did view other properties in that time as we had no idea whether this purchase would ever complete.
You are lucky to have decent buyers.
I would have walked away if our vendors came back and asked for more.
They are not unreasonable viewing other properties. They probably have no idea whether they will ever end up buying your house.

YonicScrewdriver · 09/06/2015 16:10

"They are not unreasonable viewing other properties. They probably have no idea whether they will ever end up buying your house"

Totally agree with this. They are keeping their options open in case things change whilst retaining an option which they have acquired at some sunk cost. Everyone is behaving in an economically rational fashion.

sweetheart · 09/06/2015 16:16

We had a similar situation to this last year when we moved house. Our chain collapsed 3 times, none of which were our fault. Buying and selling houses is shitty and you are not always in control of what is happening - just like you have not been in control here. To stay unstressed about the whole thing I had to view it all as a business transaction - remove the emotional attachment. In your position I would explain the situation to your buyers and if they can't meet the increase re-market the property. I've been the buyer who was asked for the price increase and I've also been the person re-marketing my property after a long wait in the last 12 months - neither is desirable but anyone with their head screwed on should understand that nothing is certain with buying and selling until you've signed on the dotted line!

Mintyy · 09/06/2015 16:23

Up £25,000 since the election? Goodness! Is this in your usual town Noddy?

oranges · 09/06/2015 16:31

I think when otherwise decent people (which I am assuming the OP is) is doing this, the bubble is likely to burst. Our sellers did this to us in 2008: asked us to wait about 6 months to sell, promising to honour the original deal, then changed their minds and asked for 20 k more. It was out of character for them. We pulled out. Turned out to be the best thing we could have done as the financial crisis hit a few months later and we narrowly avoided buying at the top of the market

noddyholder · 09/06/2015 16:34

Yes minty it has gone mad here again after a slowing pre election. Its the main reason I haven't pulled out tbh as I may not even need to renovate it at this rate!

scarlets · 09/06/2015 18:06

The market has picked up significantly in my parents' town and my city, post election. The market was jittery about hung parliament / mansion tax before May, I suppose. I can see why the OP is in this predicament.

TheoriginalLEM · 09/06/2015 18:12

it isn't fair, but what can you do? its awkward because one of you is going to miss out. You risk losing your buyer though.

QuiteLikely5 · 09/06/2015 18:13

Also something else to note the agents have sold your house and if you lose these buyers I suspect they will still try to enforce the contract.

QuiteLikely5 · 09/06/2015 18:13

Or partial payment from it

Strictly1 · 09/06/2015 18:14

If the prices had fallen would you offer them a discount?

GertrudeBell · 09/06/2015 18:26

The £15k is the price you pay for being picky. You have made an agreement and you should honour it.

YonicScrewdriver · 09/06/2015 19:27

Gertrude, there is no evidence she is being picky. OP has lost her own purchase after 4 months of her own efforts.

" Also something else to note the agents have sold your house and if you lose these buyers I suspect they will still try to enforce the contract."

I don't think it works like this. She may well lose the buyers at some point anyway as she currently has no property to buy.

"

Apatite1 · 09/06/2015 19:27

Market has picked up again, house prices are on the up, plan your strategy accordingly.

Squeegle · 09/06/2015 19:28

gertrude- what - just like their vendors did? I don't get all the comments advising OP just to suck it up for honour? If the chain has broken then it's broken. She can now be completely open with her buyers and say "look- prices have moved, we need the extra cash otherwise we will be forced to stay". And yes, I know it's a crap system - but the problem is that because there is no binding agreement at point of offer acceptance, the ripples of one vendor pulling out are felt all the way down the chain. Not ideal, but that's how it is.

YonicScrewdriver · 09/06/2015 19:28

Strictly, if prices had fallen the buyers might well withdraw their offer and submit a lower one.

Squeegle · 09/06/2015 19:29

If prices had fallen I suspect her purchasers would be asking for a discount!

GertrudeBell · 09/06/2015 19:35

Yonic, OP said: "We are fairly particular about where we want to move to (our buyers know this) and properties don't come up that often."

So she could have chosen to move before, but didn't because she is picky "fairly particular". And she has strung her buyers along for the ride. Rather shitty behaviour IMHO.