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Original poster

WWYD? Buyer asking for price reduction or threatens to pull out.

56 replies

MoHunter · 03/08/2022 18:56

Sorry this is long, I'm just so angry. We accepted an offer of 4k over asking price on our house back in March. Our buyer had already sold theirs to a FTB.

We found a house and agreed our purchase within a week, but our vendors couldn't find an onwards purchase. We gave them a couple of months, then we started looking again. Throughout this time we regularly kept in touch with our buyers via Estate agent and asked if they were OK to wait - they assured us there was no particular rush and that their buyer was fine.

End of June, our buyers contact EA saying their buyer is now impatient and they need things to move. A week after this call we had found another house. Our new vendors found a house within 3 days - chain was completed at this point. This was beginning of July. We all go ahead with our conveyancing processes. But as everyone knows this generally takes a few months!

So today EA calls me and drops the bomb shell. Our buyer has agreed to a reduction in their sale price and is moving in with a relative due to their FTB threatening to pull out if they didn't reduce the price and break the chain. So our buyer wants us to also drop our price accordingly. First they asked for a 10k reduction (which is what they reduced by, allegedly), I said absolutely not! We did not make a counter offer as we wanted what was agreed.

A few further phone calls and our buyer tells estate agent, if we don't drop by £4k (so down to original listed guide price) they can no longer afford our property and would pull out.

So WWYD? I'm furious they spring this on us at this stage and also baffled why they'd accept both a 10k drop in price (without checking with us first), AND also agreed to break the chain just so they don't lose their FTB. Seems madness to me!? Also thinking whether they really even want our house?

I'd really like to tell them to stick it! We're already going to have a much more expensive mortgage than originally thought due to the interest rate rises since March.
On the other hand, the market has slowed down and the thought of preparing the house for viewings again is giving me major anxiety, plus if we lose our buyer we may well lose our onward purchase which we love!

Would you accept the 4k price reduction? Go in with another counter offer (which still may not be enough to keep them)? Find a new buyer?

P.s. While a £4k loss will hurt us, we could manage it.

OP posts:
Upsidedownagain · 03/08/2022 20:03

When we bought last, 10 years ago, accepting 5% less than asking was considered normal.

I don't know the price of your new place but 4K is likely to be a fairly small percentage, I imagine?

You could try a counter offer - 2K or 3K before accepting but in your position I would grit my teeth and accept, especially if I really wanted the new place.

We refused a lower than asking offer last time we bought, but eventually accepted an even lower offer so as not to lose our new house.

I think you'll probably have to suck it up to avoid starting over. I've bought three times and some kind of compromise is always required.

perfectstorm · 03/08/2022 20:08

Depends entirely on where you live.

In our area, prices have rocketed in that time, and any seller honouring a March price now is doing their buyer a genuine favour. If our sellers had wanted to, they could have relisted for £50,000 more and would have had a queue of buyers desperate for the bargain.

In other areas, that clearly won't be the case.

I'd look on Rightmove and see what sort of price other places like yours have gone for recently and are going for now. If you are likely to lose out by re-marketing then refusing this might be cutting your nose off to spite your face. But it might be that they are already getting a bargain by today's prices, and cheeky in wanting it even cheaper.

WinterMusings · 03/08/2022 20:36

Too many unknowns to be honest.

In your position I'd try to find out what yours would sell for now the market has changed so much since March

(oh & I disagree with people saying you've messed them
sround, you were straight up about needing to find a place & kept checking they were ok to wait, it's THEIR problem if they didn't 'no we're not ok to keep waiting. We need to complete by x or we need to pull
out.

my first consideration would be how much pulling out would risk losing out on my onward property. I'd probably contact the vendors to see how their onward search is going. If they're still looking (sorry can't scroll back to check it I'll lose my post MN BEHAVING BADLY FIR ME!!) I'd tell the buyers to get lost, THEY took a reduction without discussing it with you, THEIR problem, not yours. If your vendors have got somewhere & things are progressing I'd go back to the buyers, and accept, but tell them this is IT. no more. Don't even bother asking.

it's a chunk of money, but it was your asking price and compared to the cost of the house, it's not a huge amount when you can still afford to buy what you have offered on.

WinterMusings · 03/08/2022 20:37

I wouldn't be leaving any 'welcome to your new home' gifts though!

well not unless you have a cat that a mouser'

royly · 03/08/2022 20:44

For 4k I could not bother starting again as you will pay more than that on a new mortgage surely?

Original poster
MoHunter · 04/08/2022 08:28

@WinterMusings our vendor found an onwards purchase (which is the top end of the chain, they are going into rented) within days. This is now a month ago.

Hubby wants us to go back with a final counter offer of £2K but we also want to see evidence that they actually reduced their sales price. I just have a feeling they may be trying it on.
As a side note, our buyers used Purple Bricks for their sale who have been terrible, our EA was never able to speak with PP about anything, messages not returned etc. So our buyers clearly like to do things on the cheap...

@royly it shouldn't affect our mortgage as long as we don't lose our onward purchase. However, our buyers would definitely lose hundreds if not thousands if they pulled out and went for a different property due to higher mortgage interest rates, I should think. They may also be stuck in a new uncompleted chain or be severely limited in properties if they were only looking for chain-free options... hence why this whole thing doesn't make sense to me.

OP posts:
PutinIsAWarCriminal · 04/08/2022 08:34

I've heard of this before, and it's just a tactic to reduce the price at the last minute. They are playing poker with you.¹

Marchitectmummy · 04/08/2022 08:38

Does your EA think they can sell it again easily, if so I would call their bluff and put it back up for sale. Being held to ransom isn't cool.

LaWench · 04/08/2022 08:44

I'd call their bluff and remarket your house. House prices have also increased since March.

senua · 04/08/2022 08:46

The FTB dropped their price to your buyers. The buyers are trying to pass some of the pain on to you. The standard thing is for you to try to pass some of that pain on to the next one in the chain.

2bazookas · 04/08/2022 08:48

I would refuse the demand and instruct the EA to put your property back on the market TODAY.

That sends a clear message to CF that their ploy has failed. They'll come up with the money as agreed.

Pinkdelight3 · 04/08/2022 12:32

Hubby wants us to go back with a final counter offer of £2K but we also want to see evidence that they actually reduced their sales price.

I agree with DH - 2k and proof. If they have proof and push back, maybe go to 3k. But it's them who panicked so you shouldn't have to suck it up.

Original poster
MoHunter · 04/08/2022 12:43

Thank you @Pinkdelight3 this is what I have done - now waiting to hear back from EA feeling very stressed. This house-buying and selling malarkey is not for the faint-hearted!

OP posts:
WallaceinAnderland · 04/08/2022 13:08

I would ask for proof but not agree to any reduction. See the proof first and then make a decision.

WinterMusings · 04/08/2022 13:10

MoHunter · 04/08/2022 12:43

Thank you @Pinkdelight3 this is what I have done - now waiting to hear back from EA feeling very stressed. This house-buying and selling malarkey is not for the faint-hearted!

It's definitely not!!

im 'looking', but I just don't know I've got it in me to deal with all the fucking about right now, without telling at least one person to 'fuck off', so maybe I should just stay out for now! 🤦🏻‍♀️

best of luck, let us know how you get on 🏡

Original poster
MoHunter · 04/08/2022 13:31

Well, offered the £2K reduction and apparently the buyers still can't afford it. For the sake of £2K they would pull out. Even with mortgage rates now rising even further. These people must be mad, or just not able to afford our house either way!
Haven't seen any proof yet either.

OP posts:
Ducksallovertheplace · 04/08/2022 13:38

Well more fool them for accepting a reduction that left them in a position of not being able to afford to buy yours. I’d leave them to sweat over the weekend but tell the EA to start making arrangements for new viewings on yours

WinterMusings · 04/08/2022 14:17

If they can't afford it, they shouldn't have offered you up to bridge the gap they ALLOWED their buyers to create. IDIOTS.

I'd ask the EA to do an open home on Saturday.

if they can't afford to take a 2k hit they can't afford your house. If it was touch & go they shouldn't have allowed their buyers to drop.

idiots honestly.

Blossomtoes · 04/08/2022 15:21

PutinIsAWarCriminal · 04/08/2022 08:34

I've heard of this before, and it's just a tactic to reduce the price at the last minute. They are playing poker with you.¹

It’s not last minute. Last minute is the day before exchange which is what one of my buyers tried with me. I’d grit my teeth and say yes, at the end of the day you’ve still got your asking price.

Original poster
MoHunter · 04/08/2022 17:39

@WinterMusings I agree, total idiots!

But the last news is, our buyer has now apparently managed to renegotiate with their buyer on the price reduction, and surprise surprise, they can now pay the £2K under original agreed price. 🙄

We aren't overly happy, but we will go ahead to avoid having to relist and risk our onwards purchase (also not wanting the hassle of viewings during holidays). But we made it clear there is zero room for further negotiation.

I will not be cleaning out the oven for them though!! 😂

OP posts:
GreenManalishi · 04/08/2022 17:47

It's the game! Who blinks first. It's not up there with the most stressful things in life amongst death and divorce for nothing, hope the rest of the process goes through smoothly for you

WinterMusings · 05/08/2022 00:05

MoHunter · 04/08/2022 17:39

@WinterMusings I agree, total idiots!

But the last news is, our buyer has now apparently managed to renegotiate with their buyer on the price reduction, and surprise surprise, they can now pay the £2K under original agreed price. 🙄

We aren't overly happy, but we will go ahead to avoid having to relist and risk our onwards purchase (also not wanting the hassle of viewings during holidays). But we made it clear there is zero room for further negotiation.

I will not be cleaning out the oven for them though!! 😂

@MoHunter

surprise surprise!!

still, I'm glad it's sorted now & at least you've made you stance very clear, so hopefully it'll all go smoothly now!!

& definitely not oven cleaning!!

please let us know how things go!!

Twiglets1 · 05/08/2022 05:32

You were not willing to go into rented to help the chain but they were. No one wants to have to go into rented. I would agree to drop the 4K

Twiglets1 · 05/08/2022 05:34

Twiglets1 · 05/08/2022 05:32

You were not willing to go into rented to help the chain but they were. No one wants to have to go into rented. I would agree to drop the 4K

Sorry just seen the update

Sunflowergirl1 · 05/08/2022 05:56

Pleased for your outcome. We had similar and refused. Then on night before contract exchange they threatened to pull out without a large reduction. We refused. They couldn't believe we had and were prepared to collapse the chain in doing so. Went straight back on the market and within three days had several offers well over the (increased) asking price. They came back and offered to pay the original price and sign the following day. We told them to fuck off as we didn't trust them at all. Fortunately all went well, chain survived and we had a significant uplift in the sale price.

There is some justice in the world. I did hear that the original buyers were gutted as it was their dream home and couldn't believe we toughed it out. Think they got some really bad advice but it is a common tactic having the last minute price reduction when everyone has invested thousands of £