Buying a house outright with cash
Discussion
Morning chaps
What do you chaps think is a reasonable amount to knock off a house price if we paid for the house in full from the outset. Obviously there is no mortgage here and we are in a strong position to negotiate a quick deal/turnaround.
Have any of you been able to knock a large sum of money of a new build property? there are good deals going on at present with new builds and this will fit our requirements well.
The area we are looking at is Leeds.
Thanks
What do you chaps think is a reasonable amount to knock off a house price if we paid for the house in full from the outset. Obviously there is no mortgage here and we are in a strong position to negotiate a quick deal/turnaround.
Have any of you been able to knock a large sum of money of a new build property? there are good deals going on at present with new builds and this will fit our requirements well.
The area we are looking at is Leeds.
Thanks
Dr Imran T said:
Morning chaps
What do you chaps think is a reasonable amount to knock off a house price if we paid for the house in full from the outset. Obviously there is no mortgage here and we are in a strong position to negotiate a quick deal/turnaround.
Have any of you been able to knock a large sum of money of a new build property? there are good deals going on at present with new builds and this will fit our requirements well.
The area we are looking at is Leeds.
Thanks
Leeds What do you chaps think is a reasonable amount to knock off a house price if we paid for the house in full from the outset. Obviously there is no mortgage here and we are in a strong position to negotiate a quick deal/turnaround.
Have any of you been able to knock a large sum of money of a new build property? there are good deals going on at present with new builds and this will fit our requirements well.
The area we are looking at is Leeds.
Thanks
I guess it depends how much change they can give you from a fiver.
In all fairness, go in silly low (25%) and negotiate from there.
Does it really matter that you are non-mortgaged? To the seller, I mean.
You will still need to do conveyancing, searches, and all of the other myriad things that need to be done when buying a house, all you are cutting out is the "loan approval" part. A friend of my house went from viewing to moving in about 10 days - with a mortgage approval in there - so the "benefit" of being a cash buyer is pretty slim.
I wouldn't expect a massive price cut if buying for cash, unless the seller was desperate to move.
You will still need to do conveyancing, searches, and all of the other myriad things that need to be done when buying a house, all you are cutting out is the "loan approval" part. A friend of my house went from viewing to moving in about 10 days - with a mortgage approval in there - so the "benefit" of being a cash buyer is pretty slim.
I wouldn't expect a massive price cut if buying for cash, unless the seller was desperate to move.
If you want a bargain, be prepared to wait or walk away. Wanting to deal for instantaneous gratification will mean you won't get the best price. You have to be the only credible offer to get away with a low offer.
All you are offering is a pretty much guaranteed sale, and there isn't going to be too much time saving on offer because your solicitors still need to do all of their work to protect you from somebody being unscrupulous.
All you are offering is a pretty much guaranteed sale, and there isn't going to be too much time saving on offer because your solicitors still need to do all of their work to protect you from somebody being unscrupulous.
ukwill said:
New builds - if cash, I'd go in at 40% under and work from there. I'd most likely walk if they wouldnt offer at least 20% off. Builders like/need cashflow.
local builder or national chain? National chain is probably more likely to wait, the built homes appear on their asset register?Dr Imran T said:
Food for thought chaps 
Can you elaborate on the vendor business please?
the person selling the house gets paid in "cash" regardless of whether you take out a mortgage or not. The only benefit you give as a cash buyer is that you can probably move quicker (no waiting for mortgage application) and you won't need to get a survey done as part of the mortgage application. Can you elaborate on the vendor business please?JungleJim said:
Dr Imran T said:
Food for thought chaps Can you elaborate on the vendor business please?
the person selling the house gets paid in "cash" regardless of whether you take out a mortgage or not. The only benefit you give as a cash buyer is that you can probably move quicker (no waiting for mortgage application) and you won't need to get a survey done as part of the mortgage application. Can you elaborate on the vendor business please?
ukwill said:
New builds - if cash, I'd go in at 40% under and work from there. I'd most likely walk if they wouldnt offer at least 20% off. Builders like/need cashflow.
Thats not really true of large house builders, as they dont really deal in cash in hand jobs, so everything is done using accounts so have no need for instantanious (sp?) cash flow, and I doubt any will give you more then 20%.As stated by others, there is not really insentive for buying "cash" for the builder, offer 25% and then demand 20% or your not interested.
Or you could wait 12 months and see if the market is going to get f
ked again, in which case most hosue builders will be looking to shift property off their books quikly and you my find yourself in the pound seats.aclivity said:
JungleJim said:
Dr Imran T said:
Food for thought chaps Can you elaborate on the vendor business please?
the person selling the house gets paid in "cash" regardless of whether you take out a mortgage or not. The only benefit you give as a cash buyer is that you can probably move quicker (no waiting for mortgage application) and you won't need to get a survey done as part of the mortgage application. Can you elaborate on the vendor business please?KrazyIvan said:
ukwill said:
New builds - if cash, I'd go in at 40% under and work from there. I'd most likely walk if they wouldnt offer at least 20% off. Builders like/need cashflow.
Thats not really true of large house builders, as they dont really deal in cash in hand jobs, so everything is done using accounts so have no need for instantanious (sp?) cash flow, and I doubt any will give you more then 20%.As stated by others, there is not really insentive for buying "cash" for the builder, offer 25% and then demand 20% or your not interested.
Or you could wait 12 months and see if the market is going to get f
ked again, in which case most hosue builders will be looking to shift property off their books quikly and you my find yourself in the pound seats.As others have said above, I doubt it makes any difference buying cash, provided the alternative is a properly approved mortgage in principle (which is also cash - just cash from the bank rather than the individual). The only other factor is the survey, but everyone gets those done anyway.
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