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Ask seller to cover some of our losses

36 replies

Mumof2bears · 21/03/2021 18:20

Hello, we're hoping to finally exchange on our BTL house purchase this week after the sellers ('the Smiths') pushed back the completion date for the second time - bearing in mind that our solicitor indicated we were ready to exchange back in mid-January. The Smiths are buying a house from the Joneses, and the Joneses' agent/legal team have been extremely slow dealing with straightforward issues, hence the delay, and it's taken a lot of emails and calls from me over the last month to get us to the stage we're at today.
However, because everything looked like it was sorted back in January, and we were oblivious to these issues, we withdrew our six figure deposit from a high interest savings account ready to exchange and have therefore lost out on earning a sizeable amount of interest- probably around £500. The two months delay means we've also lost out on 2 months of rent - say £2,000.
Would we be unreasonable to ask the sellers to compensate us for some of our most earnings, say £2,000? Although the rental income isn't the Smiths' responsibility, they accepted our offer on the basis of us being BTL landlords and thus having the advantage of no mortgage issues, no need to give notice, no chain etc. We realise that some of the delays were further up the chain but feel that they could have put pressure on the parties they were buying from, earlier in the process. I certainly shouldn't have had to put pressure on to get the top end of the chain moving. The Smiths could therefore ask for the Joneses to reimburse them for some of the compensation they pay us.

We're not aware of any other arrangements of this nature, though, so wondered if anyone else had any experience of other parties in a chain compensating the bottom of the chain for loss of income resulting from avoidable delays?

OP posts:
Xyzzzzz · 21/03/2021 18:23

You can always ask, they may very well say no. I doubt they would reimburse for the rent to be fair. Probably the intrest as it’s a tangible loss but the rent isn’t guarenteed

insancerre · 21/03/2021 18:23

I think you just have to suck it up and accept that buying and selling is stressful and expensive for everyone involved

ragtimeloves · 21/03/2021 18:27

No. .that's unreasonable.

Silkies · 21/03/2021 18:30

We had similar but other way round, bottom of chain in our case, a btl causing the issues, but we just accepted the losses - annoying but at least it went through. It's just part of the process if you accept a chain deal.

Purplewithred · 21/03/2021 18:31

I'm not a legal expert but why on earth would they? I wouldn't if I was selling to you. You could have walked away at any stage, or dropped your offer. How can you prove those delays were preventable anyway? I suspect this is a non starter.

Unfortunately house buying and selling is a risky, frustrating business. Delays in the chain are pretty common.

Sprockerdilerock · 21/03/2021 18:37

You can ask but why would anybody agree to that? I certainly wouldn't.

There are massive backlogs with solicitors at the moment due to the stamp duty holiday (which I assume you're benefiting from??) so things are understandably taking longer.

HelpMeh · 21/03/2021 18:40

You can ask but I certainly wouldn't agree to this.

Coolerthanapolarbearstoenails · 21/03/2021 18:43

You can ask but I would laugh and say no if I was the seller.

CovidCorvid · 21/03/2021 18:46

Totally unreasonable. You haven’t actually incurred any losses, you just haven’t made a profit. Not like you’re currently paying the mortgage.

CovidCorvid · 21/03/2021 18:48

And I’d love to know how you get £500 interest in 2 months in any U.K. account. Though I admit I’m assuming the deposit is nearer £100,000 than £900,000.

Africa2go · 21/03/2021 18:59

Your fault for drawing down money before you needed to and you have nothing to demonstrate that you'd have got tenants in even if you can lay the blame on the vendors. If you're going into this as a business (buy to let) then you really need to recognise that its not without risk and there will be delays / costs involved that you can't recoup.

LividLiving · 21/03/2021 19:03

Our buyer’s incompetent solicitor cost us approx £2k in extra removal fees and emergency air bnb.

It wouldn’t occur to me to try and bill our buyer, and we’ve no legal recourse to invoice his shitty solicitor.

It did rankle a little when I cleaned the filter on the lovely dishwasher I’d agreed to leave them for free, though.

NinePremium · 21/03/2021 19:12

This reply has been deleted

Withdrawn at the user's request

KaptainKaveman · 21/03/2021 19:12

You are taking the mick, surely? I've never heard anything so entitled and grabby.

OppsUpsSide · 21/03/2021 19:15

Don’t be ridiculous

Mumof2bears · 21/03/2021 19:16

Thank you all. I appreciate the comments as we genuinely wanted to find out whether this arrangement has been made in the past. We appreciate we haven't lost any actual money, which is why I was careful to say our complaint was over the loss of earnings instead.

As for the amount of interest - our money had been in a long term fixed rate account, set up in the dim and distant past when we still had good interest rates, and the account was closed early which meant we also had to take a penalty ... Notwithstanding this, we will take this as a reluctant loss of earnings and just cross our fingers that we're able to exchange and complete by the end of the month (hoping to complete next week).

OP posts:
tisuldenrep · 21/03/2021 19:17

£500 interest in 2 months. I'd love to know the name of this savings account.

Africa2go · 21/03/2021 19:27

But it's not a loss of earnings OP, that's the point. You might have completed earlier, you might have found tenants quickly, they might have been reliable and paid rent...... can't you see you have absolutely no certainty that you'd have made any earnings at all?

Trumplosttheelection · 21/03/2021 19:30

You have a six figure deposit and you will be profiteering as a landlord and you want MORE money? If I was you seller I would be taking all the lightbulbs and every other bannister rail to teach you not to be cheeky.

KaptainKaveman · 21/03/2021 19:31

My heart bleeds for your hardship, OP. Are you tapping the food banks yet?

Mmn654123 · 21/03/2021 19:37

How you manage your finances are your business. Of course your vendor shouldn’t ‘compensate’ you for decisions you have made unilaterally. Why didn’t you wait until your solicitor said you were ready to exchange before drawing down the money? You decided to do it before the chain was ready to exchange. Entirely your own lookout if you lost out.

GU24Mum · 21/03/2021 19:58

I would be completely amazed if anyone would give you any money ..... I wouldn't even bother asking in the risk that you actually irritate the seller rather than just letting them have a story to dine out in after completion. Sorry, but you did ask!

OnceUponARainbow · 21/03/2021 20:05

Utterly ridiculous.

LolaButt · 21/03/2021 20:17

Also here for the details of the high interest savings account...

Hwory · 21/03/2021 20:17

Tell me your a landlord without telling me your a landlord.