House chain collapse/Gazundering

[Summertime85]

Not sure if anyone can offer any advice but I need to get this off my chest as beyond stressed.

We are 4th in a chain of 5. Due to exchange on Tuesday coming and complete the follow Tuesday. On Friday our EA informed us the first people in chain are now wanting a £7k reduction in the purchase price for our buyers property. Our buyers don’t have a spare £7k and wouldn’t have time to get a mortgage increase approved in time anyway.

Ive not been able to sleep since we got the news so stressed as our mortgage offer (also up with a newborn) expires at the end of this month, as does our buyers. My gut feel is our seller won’t want to sell to us if we need to re list as it’s been dragging on for 6 months. In hindsight we should have picked up signals that buyers at bottom of the chain were going to be difficult but by the time we cottoned on was too late.

I suggested to my husband we just pay the £7k to get it through but he’s dead set against this, and I’m not sure how practically this would work as we don’t have enough time to revised contracts etc if sale prices are changing.

Our buyers have informed their seller they pay the agreed price or it’s going back on the market on Monday. They’ve already said they will pull out if now - might they just be bluffing?

You won’t be blacklisted from the local agents. They’ll want you to purchase one of their vendors houses, not a house listed with one of their competitors.

Pull out. I say this as someone currently house searching.
In the several months since the start of the transaction things have changed massively. Interest rates have risen, we’re due for a recession, more and more formerly overpriced houses are starting to come back on the market.
You’d be daft to pay a price agreed 6 months ago.

Also adding while mortgage affordability requirements will be removed in August people are unlikely to risk it in this climate. Costs are spiralling.
Agents won’t be in a position to blacklist people. Not if they want to a Cyually sell houses

Oh you poor things.

I would reassess things now too. Western world has changed this year.
We are all in for a bumpy ride, one way and another.

Agree don't move if you can now afford to live in current area. It will be an upheaval and you won't come at it with the right attitude. Only thing is are you sure prices have actually dropped or is it just he listed prices?

When we looked in October time there were no properties that met our requirements. They were selling within a day or going on or not being advertised before. Now ones and sitting on rightmove for 3-4 weeks and lots being reduced with new prices.

we know we still might not be able to find anything.

DH wants to get ours back on market and start looking now but as my previous post I’m ashamed to talk to agents as sure we’ll have to say we pulled out at the last minute and they might no deal with us and ask the stress of buying and selling in a chain I found to be awful.

We moved into our dream house in Dec21 after a 15 month nightmare of several chain collapses. Mid of it I got pregnant with DD2 and we had her 2 weeks after completion.

Never once did I feel sick of the prospect of moving, if anything I couldn't wait as fell in love with the house, area and everything and even though it was beyond painful when we finally got in I knew I was home.

Trust your instincts and don't worry about anyone else. We had 2 buyers pull out and no one batted an eyelid just "these things happen".

Do what's right for you!

Thanks for sharing, I think being in post natal period having heightened emotions and doubting my own instincts.

I think the estate agents will understand that it’s a changing market.

You may get a cheaper house in your area, but at the same time you may struggle to find a new buyer for your house.

There are pros and cons of both, so you have to figure out what’s best for you and your family. It isn’t easy!