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Offering long delayed completion for lower price?

5 replies

Lex93 · 20/06/2023 00:02

We have a potential buyer on our flat but not offering price we need in current climate. We started at 300K on market (I paid 295 6 years ago), after no bites we’ve reduced to 290K. Other things are selling for same or more (up to 315) in our area, but our flat is a bit brightly coloured and personable compared to the neutral former rentals, and the carpets could do with updating (but we would be unlikely to make money back on flat price by doing updates ourselves so opted to leave as is).

We have had an offer of 275, said no minimum is 290 as that’s already cheap for our area, she’s currently stuck with 275 but estate agent is talking to her tomorrow as he thinks she may budge and is doing mortgage appointments. We have a new build that we really like and works well budget wise for us, which we may lose soon if we don’t go for it. However it isn’t ready until Jan-Feb. Our plan had originally been to move into rented once we exchanged.

We were thinking however if she doesn’t budge we may offer to let it go for 275, but only if she’s willing to delay completion until beginning Jan. We’d try to exchange at normal rates so she’d have certainty and we would be happy to set an actual date and just move in with dad on that day for the last couple of weeks of build to avoid her hanging around on uncertain build times.

As we see it, that would save us 10K on renting and needing multiple removal vans etc. (prices we’d factored into our original 290 requirement so could let it go for less), and she would get a lower than average priced flat for the area.

Wanted to see however if others have ever done delayed completion and if this sounds like a completely mad negotiating idea? Obviously she may not go for it at all, but just wanted to see if it sounded like a sensible offer.

OP posts:
electriclight · 20/06/2023 04:21

I think it would be a good idea in normal times assuming she's ftb and hasn't got her own buyer waiting on her property.

But my concern would be that, with prices falling, she'll decide to wait and see what prices in your area are doing in six months if she's got to wait that long anyway. No way would I exchange and commit now when prices could be 10% down by completion.

KievLoverTwo · 20/06/2023 05:09

I think we are likely to see four rounds of further interest rates rises between now and December, buyers know house prices are falling, and she's unlikely to go for it. I think she's priced in a bit of negative equity and what she has offered is probably all she can afford.

I would be extremely wary of someone who has to go away to see if they can make the sums work in this market. Where will you be if her mortgage gets pulled or she gets cold feet in December? House prices are apparently dropping 1% a month atm.

Also, can you really not spend a bit of money on cheap carpets and paint for the sake of 30-45k?

BestServedChilled · 20/06/2023 05:15

It’s a good idea, it depends how desperate she is to move herself.

if you are prepared to drop the price £15k, could you not get the beige paint out and neutralise the flat? It wouldn’t cost that much if you could do it yourselves and might open up some better offers?

Sunshineboo · 20/06/2023 06:53

would your builder buy your flat?

DrySherry · 20/06/2023 07:12

Fraught with danger, the flat might not be worth 275 by January imo

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