"The Downswings of Property and Poker"

[Eso Kral]

We have house sales fall through all the time in fact it is part and parcel of our business and we work on the average that 1/3 of all the deals we put together will fall through either because the vendor or purchaser pull out or the chain breaks somewhere or more common in this market place that the Mortgage lenders tie clients up in knot's until they eventually say "actually were are not going to lend to you now".

Making the bad news call to a vendor or purchaser is the worst call we have to make as although we can empathise with a client we never have the same emotion attached to a transaction as for us each deal is worth x£ and yesterday I had to make such a call but this was more of a business decision that was taken.

1 week ago we had a client view a bungalow and they are downsizing from a big seafront apartment and have a buyer for their property but in the meantime another buyer had offered and been accepted on the bungalow, having dithered over what to do for 7 days they decide they also would like to offer on the bungalow so I had to bluff the first buyer that we had received a higher offer from clients who had viewed previously and offered them the chance to raise their offer even though I know they wont as with buyer A our fee will be £3450 and if we re-tie the deal to buyer B it is worth to our company £11950 as we have 3 links in the chain so commercially it makes more sense to recommend buyer B and then keep a close eye on the deal as if one link breaks we then have £12k of abbortive deals in our pipeline.

3 hours later and the boot is on the other foot when having had a deal where the client does not get on with the agent who is marketing and will not buy through them asks me to knock the door on his behalf to gain a viewing, and despite the knowledge that the vendor is still tied into a sole agencey contract meaning if the agent finds out I have sold it they can retrospectively charge the vendor their fee also I still got my client in through the door.  4 weeks later and we are moving quickly forward and only a couple of weeks from exchange and obv the agent still does not know we have sold the property with the vendor just riding out his remaining time under contract before telling them he hads withdrawn it and is staying put until the agent find a buyer at £12'500 more than our buyer was paying and I get the vendor turning up to tell me it is too much money to turn down and he will be pulling out of our deal and going with the new buyer.

What goes around comes around, but it is all accounted for in that 33%...

[Leatherman]

Click to see full-size image.

[bobAlike]

It must be a right pain in the arse dealing with both sellers and buyers as you get the hassle from both sides of the fence. Don't think I'd have the right temperament to deal with it.

When I sold my last house twice on the day of exchange buyers tried to reduce the price by 10k. Both times I told the agent to pass on my message which was "F**K OFF".

On another occasion, although we hadn't sold the old house we were moving out into our new house hoping that an empty house might be easier to sell. As we were just loading the can for the last time a young couple knocked the door asking if they could look round. I agreed but told them any further viewings or contact should be made through the agent. After 5 visits with separate members of their famillies we agreed as they had no chain we would knock 10k off the asking price.

We were inundated by further requests to leave the oven in place etc which were happy to do as a new kitchen was on order. They finally came back with another offer asking for another 10k off. We said no. They kept upping the offer until they were just £500 short of the original agreement. As a good kind hearted human being I said I'd meet them halfway at £250 and throw in the oven. They said no. Lol

I didn't know whether to laugh or cry. Just absolutely a bunch of time wasters, which must be one of the worst sides in the property game.

[Acidmouse]

A few friends that are estate agents in LS17, Pretty much the most expensive part of Leeds and they said the last two months have seen them close so many deals its unreal. They also said average house is going for about 95% of asking price...maybe things are changing?

[Eso Kral]

It must be a right pain in the arse dealing with both sellers and buyers as you get the hassle from both sides of the fence. Don't think I'd have the right temperament to deal with it.

When I sold my last house twice on the day of exchange buyers tried to reduce the price by 10k. Both times I told the agent to pass on my message which was "F**K OFF".

On another occasion, although we hadn't sold the old house we were moving out into our new house hoping that an empty house might be easier to sell. As we were just loading the can for the last time a young couple knocked the door asking if they could look round. I agreed but told them any further viewings or contact should be made through the agent. After 5 visits with separate members of their famillies we agreed as they had no chain we would knock 10k off the asking price.

We were inundated by further requests to leave the oven in place etc which were happy to do as a new kitchen was on order. They finally came back with another offer asking for another 10k off. We said no. They kept upping the offer until they were just £500 short of the original agreement. As a good kind hearted human being I said I'd meet them halfway at £250 and throw in the oven. They said no. Lol

I didn't know whether to laugh or cry. Just absolutely a bunch of time wasters, which must be one of the worst sides in the property game.

I actually quite enjoy the challenges that the day can throw at you although I only tend to get involved in the progression of the sale if there is a problem as I have a lady (rottweiler) who is paid to get the deals through so once it's top and tailed it goes over to her.
It never ceases to amaze me though how deals fall through like yours or one I had last month where the buyer wanted to move on a Thursday and the Seller on a Friday and they couldnt/wouldnt agree so both went their separate ways over 24 hours.

In our area the Gazundering as you put it does not go on that often due to the prices still effectively like they were in 07 but if you put the boot on the other foot and go back to the halcion days of 02-07 in Essex where if the buyer had not exchanged contracts within 4 weeks the vendors were asking them for another 10k or they would put it on for 20k more and most likely get it due to the market moving so fast.

Those were the days....

[Eso Kral]

A few friends that are estate agents in LS17, Pretty much the most expensive part of Leeds and they said the last two months have seen them close so many deals its unreal. They also said average house is going for about 95% of asking price...maybe things are changing?

I defo think there are pockets that are not affected and Leeds or LS17 and SS1 maybe in them, not sure about things changing as until the lenders really start relaxing there will still be a massive reduction on total transactions in the UK against 06-07 for example.

Our buyers will start at early 90's% but most sell here for 97% but that is most likely down to a lower supply of properties at realistic prices so the buyers dont actually have as much choice as most would think leading to a supply/demand type market for the good ones.

I remember the troubles you had moving which started not far off a year ago, hope you have settled well in the new gaff!!

[typhoon13]

I was astonished by the amount properties have dropped in Spain over the last six months.

You can pick up a detached villa with decent sized pool for under €100k now

[Eso Kral]

I was astonished by the amount properties have dropped in Spain over the last six months.

You can pick up a detached villa with decent sized pool for under €100k now

I think the market is just gone there but as you say from the outside they will start to look like a bit of value now.

The company I used to work for ran trips out there for £35 and being mainly based in Essex they used to go out there, fall in love with a place and then come back and refinance there own property to buy with the vision of moving out there when they retired.

[typhoon13]

http://[img%20width=600%20height=401


Your cheap bungalow would be 80-90k less out in the sticks where i live

[Eso Kral]

http://[img%20width=600%20height=401


Your cheap bungalow would be 80-90k less out in the sticks where i live

Excellent photo tekkers Trevor!! 

[typhoon13]

http://www.robert-bell.org/buy-sell/properties/15-clarence-road-woodhall-spa

Bargain and theres plenty of them

[millidonk]

Lincoln house prices are incred Typhoon!! Although gutted I bought my house when I did, worst market had been for yrs!! Paid top dolla for a 2 bed, terrace.



My gaff is furthest on right. Luckily its in a place called Branston which is the nut place to commute from so people are begging to rent it. For same money now I could get 3 bed detached with decent land.

Eso, what would you suggest is the best thing for me to do?

My situation:

Live in a nice big house provided by the RAF for peanuts.
Have a house which we pay a mortgage on (most of which is covered by rental income) but the value of which is now close to breakeven/possibly neg eq.
Want to move and take advantage of the house prices at the minute.

At the min my plan is to wait like a decade until a chunk has gone off it or pray for a mega bink.

[typhoon13]

http://[img%20width=600%20height=401


Your cheap bungalow would be 80-90k less out in the sticks where i live

Excellent photo tekkers Trevor!! 

I am useless at recreational photos lol

Mainly use computer for money making purposes

[celtic]

I never read this.

Friday, Luton, you in?

[Eso Kral]

I never read this.

Friday, Luton, you in?

Sorry Bud, The outlaws are over from Slovakia for 2 weeks so it is a no poker holiday but I will quite happily buy you dinner on Friday 31st August if your social calendar is free?