Please or to access all these features

Add post

Watch this thread

Save thread

Start a new thread

Flip thread

Hide thread

My feed

Active Unanswered threads

Getting started FAQ's

Unanswered threads Acronyms Talk guidelines

Hide shortcut buttons

Talk

Property/DIY

Join our Property forum for renovation, DIY, and house selling advice.

Flip

1 2 3

Original poster

Risk breaching completion to satisfy my --bastard-- buyer?

64 replies

evilpopstar · 24/03/2016 15:20

I'm due to move house next week. My buyer wants to keep his London flat and buy my house so has to complete by 31 March to avoid £27000 stamp duty on a second home. We have moved heaven and earth to comply but Due to numerous hold ups and his timeline we are being asked to take the risk of exchanging and completing on same day - which will be a heavy banking day due to all these pre 1st April sales going through at last minute - which could leave us ( not him as his purchase will go through first ) having exchanged but not completed. We could then move into the empty place we are buying on vendors say so but we are formally in breach of completion and charged £200 a day until sorted , most likely the next day. I think our buyer should pay us full removal
Costs and even then am wondering if we should take this risk. I have no timeline and it suits me to move in a couple of weeks when the moving frenzy had died down. I like where we are moving to but I don't love it. Am frozen with indecision. Help.

OP posts:

MrsSteptoe · 24/03/2016 16:58

Baroness, I think the point is that she doesn't want to exchange and complete on her purchase on the 31st because it's going to be meltdown day with all the transactions going through to avoid the stamp duty changes, and thus there is a risk that she'll exchange but completion won't go through. Normally, I see exactly what you mean, but she's being coerced into a normally doable transaction on a day when it may land her with completion breach fines, so that her buyer can save £27,000.

SquinkiesRule · 24/03/2016 17:01

What about exchange on 30th as thats when you mortgage funds (isn't that what you said) and complete 31st, that way you should be top of the queue as you already exchanged. Also have him give you until 4th or something to move out so you can arrange the move properly.

Original poster

evilpopstar · 24/03/2016 18:15

Thanks everyone. Yes, you smelled the right rat. I'm bitter ! Wanted him to cover non refundable removal deposit in case doesn't complete in time and had to cancel or put everything back. Thought appropriate as its his deadline but maybe twisted thinking. Think EA undersold my property ( bitter) .. Got to move by october ( high schools , hand me my own arse now MN-ers). Leaving beloved home for one I'm not in love with. Ditto area. Plus my buyer is a twat ( eg ringing my solicitor illegally to try and find out what I'm doing!).

OP posts:

Original poster

evilpopstar · 24/03/2016 18:17

Apparently you can't move out late after completion or you're in breach And this leaves me liable for his bastarding stamp duty !!

OP posts:

Original poster

evilpopstar · 24/03/2016 18:17

.... You must have all had agreements to do that drawn up by sols, those that did!

OP posts:

AStreetcarNamedBob · 24/03/2016 18:20

Your buyer wants to save £27,000 and you're calling him a tight arse!!

That's a HUGE sum of money - how wealthy are YOU that you wouldn't even bother to save £27k if you could?

It must be small change to you if you think it's hardly worth the hassle and he's just being a tight arse.

Original poster

evilpopstar · 24/03/2016 18:24

Oi! The fact is he saving £27 k ( I could never afford to lose that either) but he expects ME to foot the bill for him to do it eg pay to expedite reports , surveys and removers ! Making HIM the tight arse.

OP posts:

Original poster

evilpopstar · 24/03/2016 18:26

Anyway , thanks for all the sensible friendly comments

OP posts:

DrWhy · 24/03/2016 18:33

Sorry, as someone completing on the 30th to avoid the extra stamp duty (my existing flat is in the process of going on the market but I'm waiting for others in the block to agree to roof repairs to make it saleable if that makes the situation somehow more acceptable?!) I'd have to either pull out of the sale or rely on FIL being able to give us a loan until we had saved up sufficient extra to repay it. I'd also be beyond furious with the seller for screwing me over. If you thought the deadline was too tight you should have said no, not be arsing about the week before. I'm not surprised he's been trying to get onto your solicitor, he's probably scared stupid of getting an unplanned £27k bill!!
Right now I can't tell you how glad I am that I live in Scotland. The missives were concluded 6 days after we made the offer setting the completion date and no-one is getting out of anything now on either side.

Original poster

evilpopstar · 24/03/2016 18:37

You don't know all the facts but I'm tempted not even to defend myself! We said weeks ago it may not happen on time he said fine I'll sell my flat I still want your house whatever. He is going to buy to let his flat at massive London rent. He can also afford a 5 bed house. As well. He is not broke!

OP posts:

Twinkie1 · 24/03/2016 18:48

You just sound incredibly jealous. You have no idea how he came into his money and it's probably likely he's either inherited it or worked fucking hard for it.

You should have held out for another buyer if you seriously thought his timescale was too ambitious.

snowspider · 24/03/2016 19:12

the cost of a licence to occupy which is a pretty standard document was not great - we paid £75 to our solicitor as it was an extra and £1 nominal licence cost for our extended occupation

the document has in our case up to 8 weeks so we are flexible now for organising whatever we do next

it might be worth you seeing if he is amenable tho of course rather late now unfortunately as next business day isn't till tuesday

MyKingdomForBrie · 24/03/2016 19:18

If you do it simultaneously there's no risk - they don't exchange til they're ready to complete. Only risk then is nothing happens at all and you have moving costs to pay - he should cover any loss for that.

Icklepickle101 · 24/03/2016 19:36

Another here completing on the 30th to save £15k stamp duty!!

I can understand why you are twitchy but the majority of the time these things work out and if for whatever reason you don't complete it wouldn't be unreasonable to ask your buyer to pay the removal fee you wasted.

Now I'm twitching there will be a problem with ours going through due to large volumes of money flying around to get in before April!

Original poster

evilpopstar · 24/03/2016 19:51

Good luck ickle and all the rest with your completions.

OP posts:

lily219 · 26/03/2016 06:19

That sounds like a brilliant solution! I'll remember that for the future. Thanks.

Believeitornot · 26/03/2016 06:57

You're mentioning the fact he has a second home etc and getting far too emotionally involved.

We moved and were in breach of contract as our buyers delayed the funds (on the day of move itself which was very stressful 😱. It was no issue - the cost was very low because we charged our buyers for also being in breach).

If you can complete by the 31st then why not? If you were in his situation you'd do the same. You might well be in his position one day.

errorofjudgement · 26/03/2016 07:23

I think you need to separate out the different emotions.

It sounds like you don't want to leave your current home, you don't want to move to the new house, you believe your current home has been undervalued, and your buyer is putting you under a lot of pressure to meet his deadline.

If true, which of those can you change?
And focus on your needs, not your buyers.

We moved a year ago to a house which on paper is everything we wanted, DH was driving the move, & I wish we had stayed in our smaller house in a less desirable neighbourhood but agreed to move (in fairness DH would have called off the whole thing if I had said all this, but logically the move was absolutely the right thing to do)
Not sure what the moral is here, but I do sympathise totally.

snowspider · 26/03/2016 07:31

"It sounds like you don't want to leave your current home, you don't want to move to the new house, you believe your current home has been undervalued, and your buyer is putting you under a lot of pressure to meet his deadline.

If true, which of those can you change?
And focus on your needs, not your buyers. "

this absolutely

Original poster

evilpopstar · 26/03/2016 08:18

You are both right. The factors I could change are remarket ing house for more money and not agreeing to complete by the deadline. I would then have to go through it all again 🙄 From scratch, may not even get a better house ( catchment v small for high school we want) and my head will roll off. Also have October deadline and if get caught in even bigger chain may not be enough time. You are right about taking the emotion out. I need to get my big girl pants on and complete by Thursday. Thank you ladies.

OP posts:

Mitfordhons · 26/03/2016 08:29

I don't understand how the EA can possibly have undersold your house. You are the only person who accepts an offer the EA can't do it for you.

lily219 · 26/03/2016 09:22

I agree with Mitfordhons. The EA suggests a price/ price range, but it's the owner who decides what to ask for. Sometimes you gave to balance getting a good price against getting a quick sale. Depends on the state of the market too. Anyway, things will sort themselves out one way or another. Some time in the future you might laugh about all this!

OVienna · 26/03/2016 10:32

OP I am very curious if you're trying to
move to Herts

MrsSteptoe · 26/03/2016 10:54

Think EA undersold my property
Understand what you're saying, Mitfordhons, but I imagine the OP means undervalued, not undersold.

OP, I wouldn't be too certain that the EA undervalued your house. What often happens is that EAs have people on their books looking for a house of exactly the type that you're selling. They show the house to their client and often it'll go under offer before it even goes on the website because the EA had the right buyer lined up, waiting. If you hadn't taken their offer, you have no idea how long you'd have waited for another offer. It's generally not in the EA's interest to undervalue; they're far more interested in keeping prices inflated across the board (and hence collecting greater commissions, plural) than one easy commission from one soft sale.

Original poster

evilpopstar · 26/03/2016 11:03

Yes I see steptoe that is exactly what they did though! House never went live in market. My fault for accepting asking price which was too low. Should have said no let's go on market but felt too greedy.

OP posts:

Flip

1 2 3