How to stop buyer dropping offer on day or close to exchange ?

[Martin@AS Financial]

Thanks for replies, I did read something about both parties putting in a 1.5% deposit prior to exchange so if anyone tries it on they get the other persons 1.5% but it looks a real pain to do and can create lots of other issues.

I am 99% sure whoever offers on mine will do it, just going to tell the estate agent to tell any buyers up front that I would pull out if they tried it on regardless, and also to tell the buyers I'm a bit of nutter and not to be messed with lol

Good article here for you:

How to reduce your chances of being gazundered | Fridaysmove | Fridaysmove

The most helpful quote is "Watch out for the warning signs. If a buyer starts delaying – asking for a second survey and postponing exchange – then expect a last-minute gazunder"

[Jubber]

Estate agent seemed surprised.

Anyone with "agent" in their job title should not be believed at all - in fact, they should be held at arm's length, preferably by the throat.

[Eirikur]

In my country of origin the process is different which is better for the seller and less dependent on chains.
If an offer is accepted the contract will be drawn up and signed almost immediately, the buyer has then 3 days time to change his mind. The contract will state an exchange date which can, if necessary be set up to a year in the future.
Usually (if needed) the buyer will only then go to the bank to secure a mortgage.
If the buyer (or seller) pulls out after those three days there is a penalty clause usually 10% of the value of the contract.
If the buyer can't sell his old house immediately its is relatively easy to get a kind of bridging mortgage for the old house, so you're not depending on chains that collapse constantly

[ELBBUBKUNPS]

Thanks for replies, I did read something about both parties putting in a 1.5% deposit prior to exchange so if anyone tries it on they get the other persons 1.5% but it looks a real pain to do and can create lots of other issues.

I am 99% sure whoever offers on mine will do it, just going to tell the estate agent to tell any buyers up front that I would pull out if they tried it on regardless, and also to tell the buyers I'm a bit of nutter and not to be messed with lol

[BolshieBastard]

There's absolutely nothing you can do to stop a potential buyer dropping their price at the last minute. All you can do is hold your nerve and stand firm. It surprises me how easily some sellers fold when presented with this.

Auction is an option but you've still got costs with auction fees and although not a hard and fast rule, things sell for below market at auction. And dont confuse reserve price with market value.

[CoolCat]

Its just as bad for buyers.

I put in an offer not much less than asking, was accepted, was a cash buyer no chain holding me back. Seller delayed and delayed and delayed and delayed, supposedly looking for a new house to move into, refused to answer any of the obvious questions about the house. In the end I just pulled out. Estate agent seemed surprised.

[MarillionFan]

Is there anyway of stopping someone who offers on my place dropping there offer the day before exchange ?

The type of buyers in my area are renound for doing it, my estate agents says he can spot them a mile a way and would inform me but to be honest I think ANY buyer of my gaff is going to be of the type who try it on, is there anything I can do up front once I get an offer that would stop them trying doing this ?

I would be reasonable for example in that if they offered less because the mortgage valuations came in less and they show me the evidence I would think about it, but reality is who offers on mine will most likely drop the offer before exchange regardless so I want to try and protect myself.

I'll give you fifty quid. If you agree, I promise I won't drop it at the last minute.

[TheFaQQer]

This is an option, however you'll likely reduce the sale price as your field of potential buyers will be drastically reduced, since auctions don't work well with mortgages, generally.

When we sold at auction, it worked pretty well for us You set a reserve price that you'll accept and go from there. It was pretty stressful overall, but if I knew I could make that kind of profit for that little work in the same timeframe, I wouldn't be pissing about with IT any more.

[d000hg]

Well you could learn to write in English as a starting position.

If you couldn't understand his post the problem might be with your English skills

[Mark McBurney@CMME]

Sell at auction - when the hammer falls - that's both the price agreed and exchange of contracts.

This is an option, however you'll likely reduce the sale price as your field of potential buyers will be drastically reduced, since auctions don't work well with mortgages, generally.

[centurian]

Sell at auction - when the hammer falls - that's both the price agreed and exchange of contracts.

[SantaClaus]

Is there anyway of stopping someone who offers on my place dropping there offer the day before exchange ?

The type of buyers in my area are renound for doing it, my estate agents says he can spot them a mile a way and would inform me but to be honest I think ANY buyer of my gaff is going to be of the type who try it on, is there anything I can do up front once I get an offer that would stop them trying doing this ?

I would be reasonable for example in that if they offered less because the mortgage valuations came in less and they show me the evidence I would think about it, but reality is who offers on mine will most likely drop the offer before exchange regardless so I want to try and protect myself.

I've witnessed this happen to me (and neighbours) so many times. A lot depends on how desperate you are to sell the property, how desperate they are to buy your property, whether there are other buyers waiting in the wings, if you fancy a game of bluff.

I know of a previous neighbour who's property went to sealed bids. One of the buyers outbid everyone else to destroy the competition. When completion day approached, the buyer drastically cut their offer price. My neighbour told them to get lost and sold to another buyer who was waiting in the wings for the asking price.

[TykeMerc]

Well you could learn to write in English as a starting position.

In the UK outside of Scotland there is no contract that can be enforced until the point of exchange so in reality there's feck all you can do to avoid being messed about as vendor or buyer.

[ELBBUBKUNPS]

Is there anyway of stopping someone who offers on my place dropping there offer the day before exchange ?

The type of buyers in my area are renound for doing it, my estate agents says he can spot them a mile a way and would inform me but to be honest I think ANY buyer of my gaff is going to be of the type who try it on, is there anything I can do up front once I get an offer that would stop them trying doing this ?

I would be reasonable for example in that if they offered less because the mortgage valuations came in less and they show me the evidence I would think about it, but reality is who offers on mine will most likely drop the offer before exchange regardless so I want to try and protect myself.