I'm planning on selling my house and buying something bigger. The estate agents are coming to value my house next week. At what point can I start putting in offers on other houses, bearing in mind I need the equity in my current home in order to buy the next? How does this work? Do both sales have to complete within hours of each other? So confused...
2007-01-31 22:37:08 · 5 answers · asked by Stephen C 2 in Business & Finance ➔ Renting & Real Estate
Regarding putting in offers for other houses, it is usually wise to wait until you have an offer for your own house before you do this.
The advantage of this is, the vendor (seller) of the house will take your offer more seriously, as there will be less delay (without an offer on your house, he could be waiting forever). It's all about your credibility as a buyer. You have to demonstrate that you are in a good buying position. Without an offer on your house, you are not.
Completion can take a few hours, depending on the length of the chain. When I moved, completion took until late afternoon. The buyer of my house completed, but it seemed to take 3 to 4 hours for my new house to complete. Technically, for a few hours, I was homeless (but with lots of money). Scary, especially as I was waiting in a car park with 2 cats and the wife in the car (along with a lorry load of possesions).
Assuming you're in England or Wales, you only know things are ok after contracts are exchanged. Before that, anyone can pull out at any time, just one of the reasons why moving house is so stressful.
I would recommend buying a book on the subject. I got one called "Buying & Selling Your House" by Adam Walker, it was very useful. Make sure you get an up to date edition, as the new sellers packs are a factor now, too.
2007-01-31 23:01:19 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Your question highlights the problem. If you are in a chain and any part of the chain experiences a delay then all are delayed.
Seriously consider not buying until you have completed the sale of your home. You would then be considered a cash buyer and can negotiation a better deal. Two moves might be a pain but it is a predictable pain vs. the unknown when in a chain.
More on topic. Your solicitor would complete the transaction the same day as the next or prior transaction. This can be a difficult if there are many in a chain as each one has to wait for the bank wire transfer to go through. Some things do take a few minutes to perform or confirm. Commonly an hour is allowed. To many hops and you run out of 'hours'.
2007-02-01 07:59:09 · answer #2 · answered by Anonymous · 0⤊ 0⤋
i wouldnt put any offers in on any houses until you have an offer on yours. property chains can be a real nightmare, if someone above you drops out then the whole chain can collapse. i.e if the person selling the house you want pulls out of the house they are buying you are pretty much stuffed for that house unless they get another one etc.
your sale would have to go through before the house you are buying, for the money reasons. however it could be that the house you are buying completes and exchanges a few days later etc so you may have to find somewhere to live for a few days. but it really depends you may be able to get everything done on the same day.
my advise would be to speak to the estate agents to make sure and see what they suggest.
good luck.
2007-02-01 06:51:09 · answer #3 · answered by bebishenron 4 · 0⤊ 0⤋
usually all happens on the same day but if someone further down the chain ie the bloke who is buying the house from the bloke who is buying yours pulls out then your buyer cant pay for yours and so you cant pay for the one you want so it all breaks down and your all back to square one best if you sell yours to a first time buyer who already has a mortgage or cash
2007-02-01 06:45:10 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Try to avoid a chain.If possible its best for you to only have one other person involved it will make exchanging contracts easier.
2007-02-01 06:47:53 · answer #5 · answered by Ollie 7 · 0⤊ 0⤋