Buyer reducing offer - WWYD

[SeptemberSon]

Short chain of three. Ours are FTBs. Our sellers are divorcing and moving into rented.

All offers agreed in July - our buyers were the first to see and offered asking price to ensure it didn't go on the market. Things moving along happily since then.

Today, we get an email from the estate agent. They want to reduce offer by £12k (they offered £340k and want to reduce to £328k). This is on the basis that their builder - not survey - has identified defects. These are rendering at the rear of the property being blown, windows need replacing as are old and felt roof on bathroom extension is defective.

They're not - they're absolutely fine. No leaking or defects anywhere. We're happy to reduce by £3k for the rendering issue but no more.

Is this fair? Are we being too hard nosed or are they trying it on??

Either they can’t afford it, or they would prefer to pay less. I’d tell them that you are putting it on the market on Tuesday.

They’re chancing a reduction. I’d do the 3K offer and if not taken, back on the market asap.

Ask the agent what the house is worth in todays market

if it’s more than the reduced offer, suggest it goes back on the market next week

if it’s less than their offer, you can play hardball with them and potentially lose a buyer, or you can negotiate on the reduction, or you can accept it

Cheeky gits, have you allowed their builder in to have a look round?.
If the survey has come back with no issues id be tempted to tell them to shove it.....however for the sake of keeping the chain going id maybe offer the £3k you suggested.

I agree with you on the basis that the windows were there when they viewed the house and how are they prooving that the felt roof is defective.

£3k seems fair or it goes back on the market.

I’d put it back on the market personally.

3k or remarket.

Would check with the real estate agent that you would at least get the new lower amount if you put the property back on the market. As long as you wouldn’t lose even more money, tell the cf’s - no deal!

Thanks for the responses all. We've gone back with a hard line in the sand of £3k reduction or it's straight back on the market. Our onwards purchase is our dream home but I won't be held to ransom by cheeky FTBs trying it on.

Can’t wait to hear what they say. Properties are sitting on the market for months since July. Hence their reduced offer I’d imagine.

I think you've been generous offering the 3k reduction, they'd be stupid not to bite your hand off!

Well done for not giving in straight away to the £12k. Our buyers (also ftb) tried to knock 10% off their agreed offer when their mortgage company decided they didn't want to lend them as much as they'd hoped. We agreed to reduce by £5k to keep it going as we pointed out to them that we couldn't afford to take the proposed £15k hit as then we wouldn't have been able to afford our onward purchase. As someone else points out, your house has likely increased further in value since they offered, if it's more than £3k I'd be tempted to say tough luck it goes to market. After all, they clearly wanted to prevent this by offering you asking price? £12k is just cheeky!!

Most likely it decreased, lots of houses going back on the market as well.
Interest rates rose by like 1% in the meantime...

Depends where you are; house prices are not decreasing. The rate of increase is levelling off.

www.kentonline.co.uk/kent/news/amp/kent-house-prices-soar-but-will-they-ever-go-down-273638/

amp.theguardian.com/business/2022/sep/17/is-the-uk-housing-market-going-to-fall-at-last

Just say no and tell the agent to put it back on the market

Do you think they have been spooked by all the interest rate rises (and more to come) and the general economic doom and gloom? Probably not such an issue for those already on the ladder with plenty of equity to cushion things but if I was an FTB today I would be feeling pretty nervous right now (say compared to even 6 months ago)? Doesn't really matter if house prices are still going up or levelling off if interests rates are going up and your monthly payments are beginning to look unaffordable or just not doable to you (together with energy and food costs) Maybe this is a factor in their thinking.....

Obviously, this isn't your problem and you should do what you can to get the best price for your property but I wonder if this is going to be an issue going forward in general? Lack of FTBs? I think some of the would be landlords who might go for a FTB property might struggle with securing mortgages with these interest rate payments as well? Feels like everything might grind to a halt?

All the best in sorting it out though. It's a very stressful time.

Interested to know what they say.

I would have said no unless there is a proper surveyor report, their builder mate could say anything.

Glad you didn't cave, 12k is a fair amount.

All of those could have been evident from viewing.. no felt roof is considered to be without risk if in place for more than a few years but of no evident leaking.. then not currently defective. Windows and render visible on viewing therefore property price agreed based on this. Property was taken off the market on their request... Hard no.

@TheSunshine - I did think this but they said in their email to the EA that they are 100% committed to the purchase and very much want to proceed. They lost out on three before they bought ours. If they don't buy now, mortgage rates will continue to rise so they may find themselves out priced.

Then they really really shouldn’t be rocking the boat!

I wouldn't even consider the 3k drop. I'd tell them it's the agreed asking price, or it's back on the market

Or they might also find they cannot get a mortgage. They're being a bit foolish

The survey highlighted none of these points?

Sound like CF’s to me, our buyers tried this, we said no, they paid the agreed price. Good luck OP, I hope it works out ok for you.

I wouldn't ask the Agent. They'll say less to keep the current sale!

@SeptemberSon I would go back saying there are no leaks in the roof & windows are fine )as long as that's the truth). The rendering is 'as seen' and not causing any problems, but you'll drop by 3k to help with that, but that's your final offer & you will not countenance any further drop in price.