Survey reveals issues- should I renegotiate?

[user1498256712]

Long time lurker, but posting for the first time as I could do with your expert guidance and suggestions. We are presently selling and buying at the same time so its actually been a stressful few weeks.

Today we received the survey results for the house we are buying and there are a few serious things that have been brought into attention. The house is semi built in the 1950s and pretty much lived with little care by the current owners. I was expecting this in a way considering that in my naked eye, I could see many issues with the house, but they were mainly cosmetic to me. However, the survey lists out things that need immediate attention and also gives us ballpark costs.
I am now in two minds on whether we should go to the vendor and ask for a price reduction? They have pretty much lived there for close to 15 years and not done much for the upkeep of the house. The phrase 'make do' comes to mind a lot when you see the house.

A similar house but completely done up in the same area has come up for sale recently at 70k higher to this house. I would need about the same to bring this up to standards but there are a few things that will need immediate attention.

I suppose I am a bit peeved that they haven't maintained the house.
A slightly smaller house with a smaller garden, but very well maintained is on the market for 30K lower than this house.

Honestly, I am so confused and would appreciate fresh perspective.
Even if I asked for a reduction, it would be to the tune of 6-8k and I will list out the estimated costs of the issues the survey has raised. I do not want to hassle the sellers but at the same time do not want to be shortchanged.

What would you people say?

Definitely try and negotiate a reduction. There is always a penalty to be "paid" if you do not maintain a property. Why don't you go and look at the cheaper one? Just to compare. The vendors of the house you want will say it is priced to take into account the repairs but you need to say these are much greater than could be reasonably anticipated when agreeing a price and are substantial. Asking for £10,000 off (at least) possibly would be an opening gambit! You also have added disruption to consider.

I would say yes you can renegotiate but be prepared to walk away from the sale if they refuse. (I refused and put my house back on the market when the buyer tried to reduce the price.)

I may have misunderstood but as it is already £70,000 lower than another house that doesn't need the work haven't they priced it according to its condition?

@poster Maiz7654 Yes, that's what I am confused about. On one hand I think the price is correct but on the other, it feels as if there's loads to be done before we can actually start feeling like home. We do want this house and would be shattered if they refuse to sell it to us.

Thank you for your suggestion. I might have to think and formulate a plan around the renegotiation. I dont want to upset them either.

What did the valuation on the survey say?

The valuation in the suvey is wrong, completely off the mark so I am going to raise this with the valuer. The valuation is so wrong that I was fuming to read it. unfathomable difference with the decided price. And I mean the valuation has come up really really low.

Negotiate - it's absolutely standard practice. You look at the house, you put in a tentative offer, the survey reveals major work (1000s of quid, structural/integrity of roof rather than cosmetic) needing done, you re-negotiate the price. That's how house buying and selling works. Your vendors are naive if they don't realise this - though, as others have said, you should be prepared to walk away (and similarly, the vendors can if they wish turn you down).

In fact, from the sound of it, if the price was off by tens of thousands, you should probably withdraw and start looking for another house if there's a reasonable number on the market where you live. (Round my way, there is a twenty grand difference between the estate agents likely to give the highest valuation and those likely to give the lowest, and people who live in the city know which estate agents are which. Very much "buy from Bloggins and Co, sell through Posh-We-Saw-You-Coming and Co".)

@poster M0stlyBowlingHedgehog

Yes, over the weekend I am planning to draft a message to send the EA/vendor on revising the offer.

It sounds like it's priced according to its condition though?

If you want the house you want it. If you think 8k would add 70k to the value then it sounds like a bargain.

The valuation in the suvey is wrong, completely off the mark so I am going to raise this with the valuer. The valuation is so wrong that I was fuming to read it.

Why would you be "fuming"?! Has it inconvenienced you somehow (like with the mortgage company)?

I'd only be fuming if a house I was SELLING was undervalued. If it was a house I was trying to buy, I'd be worried, and perhaps rethinking buying it at the original price..?

You can't be annoyed that the present owners didn't maintain the house. It was their house, they weren't just caretakers for it until you came along! :) If it's going to be a lot of work, and you don't want to do a lot of work, then either renegotiate the price massively (so you can afford to rent somewhere else while it's being renovated), or walk away.

I realise buying and selling is hideously stressful, but it doesn't have to be emotional. You don't HAVE to buy this overpriced, under-maintained property. If it's beginning to feel like more trouble than it's worth - literally - then why not leave it?

What does your partner think? Are you making decisions together or us most of this landing on your shoulders?

It sounds like you'd be in a good position to renegotiate the price now, with the lower valuation and all the survey stuff. If you showed that tobthe vendors, they'd probably go with a lower offer, knowing that they'll only have to face all this again with the next interested buyers.

This might all end up being good news for you!

Don't be scared of losing this house. There are others.

Actually 6-8 k will be a cosmetic upgrade. A spend of 70k will make this a very good property

poster WhatsGoingOnEh

I think the valuation from the survey is definitely wrong. I called the valuation agent thrice yesterday to understand their trail of thoughts but each time they were unavailable. The valuation has come 200,000 lower than the price of the house. Which is why it left me FUMING and upset. I can't wait until Monday to understand how they arrived at it. The mortgage valuation tallied with the agreed sale price.

£200k less?? Woah. Do they refer to the value in the text of the survey? Otherwise I'd wonder if it was a mistake.

poster WhatsGoingOnEh

Think they might blame the template, it does look an error rather than a down valuation.

We now have a revised valuation from the surveyor who said it was a 'typing error'. The revsied valuation is still about 15 k lower than the agreed price. However we have already asked the vendor to consider our new offer which is 7 k lower than agreed price. Will update if anyone is still interested.

Hi,

Just seen your last update about the surveyor revising the valuation. My first thought was that when we had surveys done the valuation was based on the price of rebuilding the property and not the market value hence why it would be 200k less - ours was half the price on our survey.

As they have updated this value maybe I am mistaken. But was the case for us anyway.

The mistake they had made was on the market value. The rebuild cost was always correct.

Oh good! I thought it must've been a mistake.

Good luck with renegotiating the price.