Reduced offer just before exchange of contracts

[nevermovinghouseagain56]

Just wanting to have a rant really.

I accepted an offer on my house a few weeks ago which was 5% below the asking price (despite being advertised as 'offers over'). The buyers weren't in a chain so overall I thought it would be in my interests. I had rejected their first offer which was 8% below. Only one fault came up on the survey - blocked drains - which I got fixed straight away.

Then last week, with exchange of contracts looming, they reduced their offer by a further 2% citing a load of problems which are trivial and easily fixable. I refused the reduced offer but said I was willing to get the problems sorted at my own expense or accept a reduced offer to reflect this. The cost involved would be a fraction of the reduction they wanted. Their reply was that it would take too long despite the fact that they left it about a month themselves.

I refused and the buyers pulled out. We have both paid out for surveys etc so are both out of pocket. I had found a new house to buy but I'm sure others will come up. I'm very disappointed with my EA as they tried to push me to accept the offer or meet halfway as a gesture of goodwill. Doing either meant I couldn't buy the house I wanted anyway. It was clear to me that the EA just wanted a sale for their commission. The difference to them would have been £84 so not much in the big scheme of things. I also think the buyers planned this all along as their reduced offer is suspiciously close to their first offer which I rejected. The buyers have been a nightmare to deal with all along and I can't say I'm unhappy to have got rid of them.

I'm sad that the buyers have tried to be so manipulative and have remained stubborn. They are in a very expensive rented house so will now continue to pay rent etc and lose the money they have paid out. I guess they think I have been stubborn too but I just couldn't afford the drop.

Just wanting to off-load really. Has anyone else had this sort of experience?

They were cheeky, and shouldn’t be surprised that you rejected their lower offer!

I think a lot of this must be happening at the moment in the current market. With predictions of falling house prices and uncertainty around Brexit, a lot of buyers are probably getting cold feet around the point of exchange. It’s no excuse, but I bet you’re not the only seller this has happened to recently!

@never. Think lots of this is going to continue happening to be honest. With brexit, real falling prices & predictions of gloom buyers tend to have the upper hand. Doesn't matter what their rent costs if they Think they can get a similar or better house than yours for much cheaper in a few months.

We got our previous house like this - the purchasers tried to reduce their offer on the day of exchange thinking the seller would have no choice, but she pulled out as a matter of principle and we subsequently bought it.

I think it's a very hard situation if prices are stagnant / sales collapsing near you but unless you're in London, I don't this this phenomenon has reached other parts of the country yet. Just stick it back on the market and see if another buyer will move quickly.

Youve definitely done the right thing. CFers like this really need to be shown they can't have it their own way. And well done you for standing your ground.

A few years ago my mum sold her house to a builder for about £30k less than it was worth, as a building plot. He tried to reduce his offer by £10k a couple of weeks before exchange. I made my mum get it back on the market that day for £20k more than he was paying (,but 10k less than he was worth). That was Friday, she'd sold it for full asking price by the Monday. He called back later that day saying he'd pay the original price, but was told it was too late (HA!)

Sorry that this happened to you! Which part of the country are you in?

With four seperate threads on this page alone about offers being lowered I don't think your EA was actually thinking of the extra £84 but just keeping the sale together at any cost. The fact your listing states offers over doesn't matter a jot if a buyer doesn't think the house is worth it, its an advert, not an order. Again, what you need to achieve to move isn't the buyers problem, if they don't think the house is worth that figure, then you'd better get used to staying put.

I actually think your EA sees the bigger picture here and you don't - chains breaking, a stagnant (if not falling) market, first time buyers like myself uncertain about the future and not willing to pay over the odds just because sellers want us to. An asking price is just someone's best guess, the sooner sellers realise no-one has to buy their house just because they think that guess is gospel, the better for the market overall.

Yes I think it is disgusting when CFs do this

Buyer did this to us too, told them to get stuffed and ended up in better house ourselves in the long run.

@startinggrid you're missing the point - I don't think anyone is disputing a buyer's right to offer what they think its worth or renegotiate. It's the process and the way in which it's done. If you want to renegotiate after the survey then do so, don't wait until the morning of exchange and try to force the sellers hand at the 11th hour. The system in the UK is poor as it allows all parties (buyers / sellers / EAs) to manipulate the others if they don't have any integrity.

Thank you for all your comments and also the supportive messages. That wasn't my reason for posting but it is good to hear. But it is also sad to hear that this is not a rare occurence and I am sorry to hear that it has happened to others. I totally understand that this is a business transaction and emotions and principles should be left out of it. But I do think it's important that sellers stand up to these people, if they are able to of course.

StartingGrid - as it has been mentioned, you missed the point. It was the timing of the reduction that was the problem which then put me in a position not to proceed with my next purchase. I can see the bigger picture quite clearly thank you, and this bigger picture also includes my vendors and those further up the line.

On a more positive note, a guy who viewed my house prior to this offer but hadn't sold his own house at that point, has just had an offer on his. I've put my house back on the market to see what happens with this viewer but trying not to build my hopes up too much. Still not convinced I will be staying with this firm much longer.

I also don't think this is anything to do with Brexit. They planned this all along when their first offer was refused. People have always had this trick up their sleeves. CFs! Good luck OP.

The potential buyers of our house are getting twitchy as we haven't found anything to move to yet. We have now said that we are happy to go into a rental property as soon as they exchange and complete. If they try the trick of reducing their offer before hand we will not sell to them and not move out.

I don't really fancy renting, but we have lost two houses through not being cash buyers, even though we (luckily) dont need a mortgage (because we are old).

People are so silly! How much extra rent are they going to have to pay? They were cheeky fuckers all along.

I know it's really awful and frustrating for you but I'm glad you held firm and I am sure you will find a better house to move to when you get a new sale arranged .

I know I made the right decision.

I am lucky in that my vendors have said they will not re-market their house for a couple of weeks to see if my EA can produce another buyer that they seem so confident about now. I think that is extremely kind of them and just shows how different people can be. On one side I've got money-grabbing f*** and on the other I've got the most generous of vendors.

My house is now back on the market. I hope the buyers have seen it and finally realise they made a huge mistake. I so believe in karma.

Sorry this has happened, OP - it's a bitch. Someone did this to me long before Brexit, so it's hardly a new thing. I called her bluff and she backed down - I was v annoyed at the EA who tried to,pressure me into giving in. But you do need nerves of steel and to be prepared to lose the sale.

Just pointing out to a PP that it's not the system 'in the UK', which is indeed crap, but in Scotland a buyer can't do this thanks to different laws.

Yes of course! Scotland is different.