How can i put myself in a strong position to buy a house?
Discussion
Anyone got any advice/suggestions/experience of how we could deal with the below situation to put us in a strong position to buy a house we have just viewed?
Had no intention of moving until we saw a house for sale just down the road this week which we thought looked amazing so went to view it tonight and we loved it. It only went up this week and I am sure it will sell very quickly, another viewer arrived as we left. Issue is because we had no intention of moving our house isn't even on the market so this puts us at quite a disadvantage we think.
So how do we proceed from here to put ourselves in a good position?
Our current house is worth maybe £210-230k with £100k outstanding mortgage and the one we are looking at is up for £285k and to be honest i think its worth that.
My question is, is there anyway to finance the purchase of the new house without the current one selling in order to put us in a strong position to have an offer accepted?
At a push we could afford a 10% deposit on the new house from savings and I wouldn't really want to be renting the old house. How do we bridge the gap if we need to to avoid financial ruination?
Unless someone has cash to buy a house before selling their existing home, then unfortunately a potential risk becomes present, often involving big numbers.
People use bridging loans, and for many everything works fine, but of course the trouble begins if the existing home cannot be sold.
Unless it changes in the budget, I suppose second home stamp duty might have to be funded as well (don't know if perhaps there is a price threshold), until it can be reclaimed when the first property sells.
If you can become aware of everything that could go wrong, and will be able to cope with their consequences, then at least you will have thought it through at the outset.
A difficult decision, when you clearly want the house.
I don't think you can in all honesty. One of our friends has just gone through this. Saw a house, put theirs on the market 24 hrs later and made an offer 48hrs later. We are friends of the owners of the house they want to buy and they didn't entertain their offer for a second. No doubt were pleasant to them and let them down gently, but ultimately the offer was totally empty having not already sold their house.
The only thing I can think of - put your house on the market with the agents selling the house you want, agree a generous fee agreement and state you'll increase their fee by 50% if they sell your house and you get to buy the house you want.
The only thing I can think of - put your house on the market with the agents selling the house you want, agree a generous fee agreement and state you'll increase their fee by 50% if they sell your house and you get to buy the house you want.
ED209 said:
Anyone got any advice/suggestions/experience of how we could deal with the below situation to put us in a strong position to buy a house we have just viewed?
Had no intention of moving until we saw a house for sale just down the road this week which we thought looked amazing so went to view it tonight and we loved it. It only went up this week and I am sure it will sell very quickly, another viewer arrived as we left. Issue is because we had no intention of moving our house isn't even on the market so this puts us at quite a disadvantage we think.
So how do we proceed from here to put ourselves in a good position?
Our current house is worth maybe £210-230k with £100k outstanding mortgage and the one we are looking at is up for £285k and to be honest i think its worth that.
My question is, is there anyway to finance the purchase of the new house without the current one selling in order to put us in a strong position to have an offer accepted?
At a push we could afford a 10% deposit on the new house from savings and I wouldn't really want to be renting the old house. How do we bridge the gap if we need to to avoid financial ruination?
Can you funds the deposit for the new property plus the additional 3% stamp duty, from your own sources? If so, not sure whats holding you back?Had no intention of moving until we saw a house for sale just down the road this week which we thought looked amazing so went to view it tonight and we loved it. It only went up this week and I am sure it will sell very quickly, another viewer arrived as we left. Issue is because we had no intention of moving our house isn't even on the market so this puts us at quite a disadvantage we think.
So how do we proceed from here to put ourselves in a good position?
Our current house is worth maybe £210-230k with £100k outstanding mortgage and the one we are looking at is up for £285k and to be honest i think its worth that.
My question is, is there anyway to finance the purchase of the new house without the current one selling in order to put us in a strong position to have an offer accepted?
At a push we could afford a 10% deposit on the new house from savings and I wouldn't really want to be renting the old house. How do we bridge the gap if we need to to avoid financial ruination?
Sarnie said:
Can you funds the deposit for the new property plus the additional 3% stamp duty, from your own sources? If so, not sure whats holding you back?
Indeed - we are just in the process of doing this - speak to a mortgage advisor and find a way to fund the new one from cash/savings etc that means you don’t have to sell the old one and create a chain. Then you are a “cash + mortgage” buyer with no chain.
Separatelykick off selling the old one as a different transaction.
we were lucky that we had previously remortgaged the old one to liquidate some cash so had it in a bank a/c ready to go but you can do this now if you get moving quickly.
I.e remortgage the current place asap onto a deal that has no erc penalties,and remove enough cash to fund the new one. Then you can get an aip for the new one with the cash as a deposit and be a cash buyer.
We should be completing on our purchase in 2 weeks and will complete on the sale of the old one a few weeks later. Makes for a simpler move as well.
They would never have entertained our offer with a chain in the way.
If your current house is in a very good condition externally and internally, including modern up-to-date decor, fixtures and fittings, GCH, nicely kept garden etc then you're in a good position to attract a fast sale if you don't take the piss on your price. If not then unless you get very lucky you're probably going to struggle to get a quick sale unless you offer it for peanuts.
It seems to be incredibly difficult to buy a house these days - I have been trying to find a bungalow for my mum local to me, most sales are to cash buyers who are renting with the plan of jumping straight onto probate/pre-nursing home sales, so the traditional chain-type sales seem to be almost impossible to set up. Nearly there with one now, cash buyer for hers and no ongoing chain on her purchase, but it's been a long haul.
Only way I can think is to have a buyer ready on yours, but the timing is tricky to say the least.
Only way I can think is to have a buyer ready on yours, but the timing is tricky to say the least.
We managed it although we got lucky. We had a small 2 bedroom house and wanted to expand the family, booked 4 viewings on larger houses.
First estate agent was a dick on the phone, "are you in a position to make an offer on the house" - No we are just looking, our house is not currently on the market "the sellers are looking for a quick sale" - so entertain us.
We done the 4 viewings and decided we wanted the first house, we put our house on the market the following Sunday (first appointment) and we had our first and only viewing on the Monday, full asking price on the Tuesday. We called up the agents of the first house later that day asking for a second viewing "As previously stated the sellers are looking for a quick sale and you have already seen the house" - Yes I remember, our house has sold and we want to view the house before making an offer.
Funny how quick attitudes can change, ended up taking 3 months to complete the sale "as the sellers wanted a quick sale" Friends who worked in the conveyancers said they stalled every step of the way.
Previously my dad used a bridging loan, horrible APR but they got their dream house
First estate agent was a dick on the phone, "are you in a position to make an offer on the house" - No we are just looking, our house is not currently on the market "the sellers are looking for a quick sale" - so entertain us.
We done the 4 viewings and decided we wanted the first house, we put our house on the market the following Sunday (first appointment) and we had our first and only viewing on the Monday, full asking price on the Tuesday. We called up the agents of the first house later that day asking for a second viewing "As previously stated the sellers are looking for a quick sale and you have already seen the house" - Yes I remember, our house has sold and we want to view the house before making an offer.
Funny how quick attitudes can change, ended up taking 3 months to complete the sale "as the sellers wanted a quick sale" Friends who worked in the conveyancers said they stalled every step of the way.
Previously my dad used a bridging loan, horrible APR but they got their dream house
7 years ago i was in a similar situation and went from viewing a house, putting mine on the market, completing and moving in within 26 days. I think i was very,very lucky that time though.
Wont be happening this time though i did come home from work to find an estate agent being shown around the house.
Wont be happening this time though i did come home from work to find an estate agent being shown around the house.
ED209 said:
As i thought would happen a proceedable offer was made on the house today, dream over.
Keep the faith..ish!Our dream house came up for sale 2 months ago, sold to first viewer. Just like your situation we had no intention of moving at all, just so happened a family member mentioned this particular house was for sale.
Let the agent know we were interested (at this point found it was sold and had lots of interest). Got a phone call few days later, agent told us buyer had pulled out and just so happened we were off that day so went to see the house. Fell in love, made an offer for full asking as we weren't proceedable. We offered to list with the same agent that was selling the house we wanted (keep them onside!) and the seller accepted our offer with the caveat that we had 3 weeks to sell our house.
We live in a 2 bed that's been renovated top to bottom in the last 2 years to a high standard, nice area etc. Agent after seeing the house had no doubt we'd sell our house quickly and it sold 3 days later! The house we are buying had also been vacant for a year and inherited. I guess after the first buyer pulled out, they accepted full asking and aren't in a rush to sell.
Still in the process 3 months later as our buyers buyer pulled out a few weeks ago but seems common place these days. Keep your eye on the house you want, express a strong interest in the house with the agent. Maybe list your house and gather interest/accept an offer. Apparently agents have to submit offers to vendors regardless of stage of acceptance. If you really want the house and have an offer accepted on yours quickly, there is nothing stopping you gazumping the current buyer with a higher offer if you think it's worth it!
GL!
Well this house has came back on the market again, the couple who bought it have since had a baby and need to move closer to family for childcare.
Had a viewing, asking price offer in.
The couple are in no hurry to move as they haven’t found a place yet and agree that our position suits them as we are also in no hurry. We have also provided the estate agent with documents to prove we can proceed without selling our current house if necessary so this may put us in a very strong position for the offer to be accepted. Although having 2 houses will be short term pain and we would much rather sell first if possible.
Hopefully will hear back this morning.
Her is the house, it’s mad that our next door neighbours and a work colleague have also expressed and interest in the house on the estate agents Facebook page.
https://www.rightmove.co.uk/property-for-sale/prop...
Had a viewing, asking price offer in.
The couple are in no hurry to move as they haven’t found a place yet and agree that our position suits them as we are also in no hurry. We have also provided the estate agent with documents to prove we can proceed without selling our current house if necessary so this may put us in a very strong position for the offer to be accepted. Although having 2 houses will be short term pain and we would much rather sell first if possible.
Hopefully will hear back this morning.
Her is the house, it’s mad that our next door neighbours and a work colleague have also expressed and interest in the house on the estate agents Facebook page.
https://www.rightmove.co.uk/property-for-sale/prop...
ED209 said:
Very nice. Fingers crossed for you! Stuart70 said:
Great story of getting your dream, albeit delayed a couple of years. That is a lovely looking house. Good luck, I hope that it all goes smoothly for you.
Just had a call, someone has offered over asking now but apparently we are in a better position as far as the seller goes. Nothing rejected or accepted yet so waiting on another call.I’m reluctant to get involved in an over asking price bidding war.
I know there’s no sentiment involved but it would be nice if the sellers considered the fact they nicked the house from under our nose two years ago.........I doubt it though lol
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