Buyer threatening to pull out. Help.

[Suspiciousmind20]

Can any one advise please?

My mum has accepted an offer on her house. Buyers have had a survey etc but because she hasn’t had an offer accepted on a new house for her yet they are threatening to pull out.

Her solicitor has asked if she wants to proceed and she has said no because she hasnt found anywhere yet.

How far can she proceed before finding somewhere? I think she would be better instructing her solicitor to proceed because she will still have control over the exchange date?

I’m wondering now if by not instructing her solicitors to proceed with the sale makes her look indecisive to the buyers?
Yes, it does which is exactly why they are threatening to pull out. They are rightly worried that she is going to pull out and they are might have to find somewhere else. You said her buyers have buyers. They might lose them if things don't proceed.

You said her buyers have buyers. They might lose them if things don't proceed.

exactly

@Porridgeislife

There is no need for the buyers to lose money if they stick with it. She will find somewhere. It’s just a matter of time. If they don’t have faith that this will happen that’s their choice.

But her buyers have lives too. They may be expecting a baby, or a mortgage offer that expires shortly (rates have gone up). If they can’t wait for your mum to sort out her purchase, and it sounds like it’s been a few months now, then they will lose money.

We are heading into month 5 of our purchase & our seller’s seller is dicking about, having not found a house. After 5 months it’s really either not being willing to offer properly, or being too fussy. We have started looking at other, more proceedable houses in the interim.

So what you're actually saying is that someone needs to spend hundreds of thousands on a house they're not 100% on in order to not let their buyers down and cost them money?

The issue here is not necessarily people being fussy, it's the combination of demand and the ridiculous rule you can no longer offer unless you've sold. It's now unfortunately up to the buyer to accept the possibility they may be waiting a long time for their vendor to find and secure a house.

OP I'm not sure how much a solicitor can do from your mum's side really. Generally you instruct and they ask for money to be put on account. Sometimes this is transferable should the original buyer pull out and the process begins again with a new buyer.

No, some sellers treat their onward purchase as an occasional weekend hobby rather than doing things properly.

And yes, everyone makes compromises when they buy a house. If you are being so fussy or not willing to pay asking prices that you have taken many months and are still coming up short, then do the right thing and start communicating with your buyers rather than letting them rack up costs whilst you put everyone’s lives on hold.

Your mum puts her house up for sale and accepts an offer. No one has any legal interest in where she is going once her house is sold. If she pulls out because she hasn't found anything she will have legal fees up to that date. When she puts it back on the market she can continue to accept offers and pull out of sale. Legal fees will be incurred each timevery time she pulls out of a sale.

Also, as a seller I would have given very short thrift to my agents for anyone viewing who wasn’t proceedable as a waste of my time. It’s been an accepted aspect of the market (in London at least) for many years, it’s not a new feature. There’s no point whinging about how unfair it is.

What a terrible way to treat her buyers. And all the people below them in their chain.

Eh? She isn't pulling out She simply hasn't found anywhere yet, despite being keen to move. If the buyers need to pull out, that's their choice. It's crap, but such is the system currently.

So what you're actually saying is that someone needs to spend hundreds of thousands on a house they're not 100% on in order to not let their buyers down and cost them money?

No that poster was replying to the OPs point "There is no need for the buyers to lose money if they stick with it"

I’m wondering now if by not instructing her solicitors to proceed with the sale makes her look indecisive to the buyers?

Well yes, of course it does. I'd think there are very few buyers who would stick around in that scenario. It's all very well saying that's she'd just sell again if she loses her buyers, but she'll be in the same situation of not being able to view anything until she's accepted an offer on her own home, and again there might not be anything around she likes; especially as we're heading into the quietest time of the year in terms of property coming on the market.

If she wants to sell, she needs to get her solicitor to proceed, and have a date she is prepared to move out by, whether that's into a house she's bought, or with you. That's going to be the next stage in this process unless she wants the buyers to pull out.

@ronfa

There is no need for the buyers to lose money if they stick with it. She will find somewhere. It’s just a matter of time. If they don’t have faith that this will happen that’s their choice.

That's not how it works.

Currently, this is exactly how it works. If they can't wait, they pull out and unfortunately lose money.

No @CellophaneFlower the OP can't guarantee that the buyers won't lose money if they stick with it 🤦🏻‍♀️

Well obviously. But it isn't her mum's fault necessarily if this happens. It's the system. And she appears to have had many rude comments with people making assumptions.

Well obviously.

So you agree? not sure why you are highlighting my posts 😆

at least you got there in the end!

Part of me thinks these types of problems would be solved in part by more people being allowed to view and offer before selling.

I have just done it myself and touch wood it’s working out absolutely no differently to had I done it the ‘right’ way round.

This thread shows how fragile a sale is until it’s fully complete all round. People who have offers on their own property really aren’t that much more concrete than someone who doesn’t at this point.

If houses are selling well and there is local evidence of interest in the type of property a prospective buyer has then there’s really no harm. An estate agent will know if their house would sell quickly or not.

So many sneery people on these threads about refusing non-proceedable buyers but very few people are truly proceedable until the stars have aligned and the gods have sung.

These aforementioned sellers aren’t so sneery when their buyer isn’t happy that they can’t find anywhere to move onto.

@ronfa

at least you got there in the end!

Yes, marvellous isn't it

So, seeing as you seem to have all the answers, what is it you think OP's mum should do in this situation - if indeed she truly can't find or secure a property anytime soon?

Why mustn't she exchange before exchanging on onward purchase? People sell without buying every day?

@CellophaneFlower what are you not understanding?!

Where have I claimed to have all the answers?

I & others just pointed out it was wrong for the OP to state There is no need for the buyers to lose money if they stick with it. because that isn't necessarily the case. You also agreed with this point so I'm unsure what it is you want me to say?

The issue here is not necessarily people being fussy, it's the combination of demand and the ridiculous rule you can no longer offer unless you've sold. It's now unfortunately up to the buyer to accept the possibility they may be waiting a long time for their vendor to find and secure a house.

This is why I think it should be flipped. The higher up the chain you get the longer its going to take to find a house. Because obviously no one is going to sell their house to move into a lesser house; and obviously the more money you have - the less compromises you are going to make.

Why mustn't she exchange before exchanging on onward purchase? People sell without buying every day?

Because why should she. Its not her fault they flipped the system and made it non-sensical.

If the mid chain sellers continue with the no non-proceedable buyers trope then this is the price they pay. They too have to offer on properties with non-proceedable sellers; because someone, somewhere in the chain has to be non-proceedable at some point until the chain is complete.

Thank you so much to all who have read and understood my posts and not blamed my mum for something over which she has no control.

Thanks to those who have answered my actual question too.

So it looks like;
The buyers may be thinking my mum isn’t certain about selling so proceeding might help with that but could incur costs if they do pull out.
She’s doing everything she can. We look several times a day and I’m in touch with local EAs to check what’s coming in. She has lowered her expectations and compromised on a couple of things.
We had Covid so I wasn’t able to view anything for three weeks so that hasn’t helped.
She viewed one and put an offer in before it was even listed so very proactive.
When the buyers put in the offer they knew she hadn’t found anywhere yet. If they don’t wish to wait and want to find somewhere else that’s their choice. There isn’t anything we can do.

I’ll get her to find out how much changing the buyer will cost if they do pull out. If it’s minimal she may as well instruct to proceed knowing the buyers are threatening to pull out. Hopefully they will be reassured that she’s put an offer in on somewhere and continue.

And to the poster that said she is ‘dithering’ - that’s unkind and inaccurate. If you would like to point out exactly where the dithering is, please do. The only thing she wasn’t sure about was asking the solicitor to proceed. She was under the impression the buyers could then force her out before she had somewhere to go. That’s a lack of understanding of the system. Not dithering.

There shouldn't be any cost to change buyer. Unless your mum already instructed a solicitor who's done some work on the sale?

The EA for sure can't charge anything. They get their cut only at the point of completion

I meant cost if she proceeds with these buyers and then has to change. On the one hand instructing to proceed my show the buyers she is sure about selling and they might hang in there. On the other hand if they then do pull out she’ll need to change the names which, according to PPs would incur some costs.