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How to Really Buy a Property
"...Most of the 'How to buy' property books should really be called 'Why to buy' and spend their pages repeatedly explaining the benefits of owning bricks and mortar. In the vast majority of cases the author was an investor who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow.
..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... out plan for any layman to follow.
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there to guide you in this important, and potentially disastrous, first step.
Once you know that it is property you..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... disastrous, first step.
Once you know that it is property you want to buy then understanding the theory of the process and marrying it with the reality are essential, whether you are a first time buyer simply looking for a home or an investor building up a portfolio.
The most common theme..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... building up a portfolio.
The most common theme running through every chapter is that of time and preparation for the unexpected. Knowing why both are critical saves both money and stress. The result is a pain free purchase where you remain fully in control.
Now in its 17th edition, and..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... fully in control.
Now in its 17th edition, and fully updated for 2021, there are over 240 packed pages of information complete with charts, diagrams, illustrations and true stories in 23 easily accessible chapters. How to Really Buy a Property covers, among other things:
Why buying property..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... and true stories in 23 easily accessible chapters. How to Really Buy a Property covers, among other things:
Why buying property is right for some and wrong for others;
How the media have become unreliable indicators of the market;
Who makes good quality predictions for the property..."
"... to Really Buy a Property covers, among other things:
Why buying property is right for some and wrong for others;
How the media have become unreliable indicators of the market;
Who makes good quality predictions for the property market (and who doesn't);
How the market works over the short..."
"... is right for some and wrong for others;
How the media have become unreliable indicators of the market;
Who makes good quality predictions for the property market (and who doesn't);
How the market works over the short term and the long term;
The difference between property bubbles and..."
"... unreliable indicators of the market;
Who makes good quality predictions for the property market (and who doesn't);
How the market works over the short term and the long term;
The difference between property bubbles and property booms;
Why it can be a good idea to buy when prices are..."
"... predictions for the property market (and who doesn't);
How the market works over the short term and the long term;
The difference between property bubbles and property booms;
Why it can be a good idea to buy when prices are falling;
The principles of buying a property to let and what the..."
"... the market works over the short term and the long term;
The difference between property bubbles and property booms;
Why it can be a good idea to buy when prices are falling;
The principles of buying a property to let and what the text books don't tell you;
Ways to get on the property ladder..."
"... between property bubbles and property booms;
Why it can be a good idea to buy when prices are falling;
The principles of buying a property to let and what the text books don't tell you;
Ways to get on the property ladder when it looks impossible;
How professional buyers and investors work..."
"... to buy when prices are falling;
The principles of buying a property to let and what the text books don't tell you;
Ways to get on the property ladder when it looks impossible;
How professional buyers and investors work with estate agents to get better deals;
Why you should see as many..."
"... let and what the text books don't tell you;
Ways to get on the property ladder when it looks impossible;
How professional buyers and investors work with estate agents to get better deals;
Why you should see as many Financial Advisers as possible;
What to do before you start viewing so you..."
"... ladder when it looks impossible;
How professional buyers and investors work with estate agents to get better deals;
Why you should see as many Financial Advisers as possible;
What to do before you start viewing so you don't loose your dream home;
Who the surveyor, solicitor and estate agent..."
"... work with estate agents to get better deals;
Why you should see as many Financial Advisers as possible;
What to do before you start viewing so you don't loose your dream home;
Who the surveyor, solicitor and estate agent are really working for;
How to make an offer to get things your..."
"... as many Financial Advisers as possible;
What to do before you start viewing so you don't loose your dream home;
Who the surveyor, solicitor and estate agent are really working for;
How to make an offer to get things your way;
Who to trust and who, with the best intentions, may be misleading..."
"... you start viewing so you don't loose your dream home;
Who the surveyor, solicitor and estate agent are really working for;
How to make an offer to get things your way;
Who to trust and who, with the best intentions, may be misleading you;
Why you should work to minimise the time between..."
"... the surveyor, solicitor and estate agent are really working for;
How to make an offer to get things your way;
Who to trust and who, with the best intentions, may be misleading you;
Why you should work to minimise the time between offer agreed and exchange;
Making sense of a property survey..."
"... make an offer to get things your way;
Who to trust and who, with the best intentions, may be misleading you;
Why you should work to minimise the time between offer agreed and exchange;
Making sense of a property survey including;
What type of survey to get and why structural surveys can..."
"... with the best intentions, may be misleading you;
Why you should work to minimise the time between offer agreed and exchange;
Making sense of a property survey including;
What type of survey to get and why structural surveys can be money wasted;
Why surveyors should never estimate the..."
"... may be misleading you;
Why you should work to minimise the time between offer agreed and exchange;
Making sense of a property survey including;
What type of survey to get and why structural surveys can be money wasted;
Why surveyors should never estimate the cost of works;
When..."
"... work to minimise the time between offer agreed and exchange;
Making sense of a property survey including;
What type of survey to get and why structural surveys can be money wasted;
Why surveyors should never estimate the cost of works;
When rising damp, penetrating damp, subsidence,..."
"... sense of a property survey including;
What type of survey to get and why structural surveys can be money wasted;
Why surveyors should never estimate the cost of works;
When rising damp, penetrating damp, subsidence, cracking, sagging roofs, bulging walls and all the other frightening..."
"... surveyors should never estimate the cost of works;
When rising damp, penetrating damp, subsidence, cracking, sagging roofs, bulging walls and all the other frightening things in a surveyor's report might be serious, and when they are not;
Why asking the vendor to carry out work is not..."
"... walls and all the other frightening things in a surveyor's report might be serious, and when they are not;
Why asking the vendor to carry out work is not always a good idea;
Step by step guides explaining what should be happening, what can happen, and how to solve mole hills before..."
"... may be misleading you;
Why you should work to minimise the time between offer agreed and exchange;
Making sense of a property survey including;
What type of survey to get and why structural surveys can be money wasted;
Why surveyors should never estimate the cost of works;
When..."
"... are not;
Why asking the vendor to carry out work is not always a good idea;
Step by step guides explaining what should be happening, what can happen, and how to solve mole hills before they become mountains;
Over 140 terms in an easy to use glossary so the jargon of the property industry..."
"... should be happening, what can happen, and how to solve mole hills before they become mountains;
Over 140 terms in an easy to use glossary so the jargon of the property industry can be understood;
20 true stories of successes and disasters that real people experienced when buying a..."
"... 140 terms in an easy to use glossary so the jargon of the property industry can be understood;
20 true stories of successes and disasters that real people experienced when buying a property.
What this book doesn't do:
Continuously bang on about how great property is and that it is..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... industry can be understood;
20 true stories of successes and disasters that real people experienced when buying a property.
What this book doesn't do:
Continuously bang on about how great property is and that it is the only place to put your money!
Keep recommending businesses..."
"... who simply got lucky, made a handsome profit, and now wants to demonstrate that it was all a carefully thought out plan for any layman to follow
How to Really Buy a Property could not be more different. From the first pages the idea of property ownership is questioned and the text is there..."
"... disasters that real people experienced when buying a property.
What this book doesn't do:
Continuously bang on about how great property is and that it is the only place to put your money!
Keep recommending businesses that the author has some association with;
Reword and republish..."
"... do:
Continuously bang on about how great property is and that it is the only place to put your money!
Keep recommending businesses that the author has some association with;
Reword and republish what is available freely from most websites anyway;
Regale you with tales of how easy..."
"... the only place to put your money!
Keep recommending businesses that the author has some association with;
Reword and republish what is available freely from most websites anyway;
Regale you with tales of how easy it is to buy property and..."
"... author has some association with;
Reword and republish what is available freely from most websites anyway;
Regale you with tales of how easy it is to buy property and profit.
..."
"... Reword and republish what is available freely from most websites anyway;
Regale you with tales of how easy it is to buy property and profit.
Most of the 'How to buy' property books should really be called 'Why to buy' and spend their pages repeatedly explaining the benefits of owning..."
Chapter 1:
The First Questions Are For You
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme. What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or to rent;
When..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... you is to treat property as a ten year investment, not a get rich quick scheme. Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or to rent;
When property may not be the best place for cash;
Why..."
"... rich quick scheme. What to take into account when deciding to buy or to rent;
When property may not be the best place for cash;
Why some people buy no matter what the property market is..."
"... "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or to rent;
When property may not be the best place for cash;
Why some people buy no matter what the property market is doing;
Where you should buy.
If you are going to buy a..."
"... to take into account when deciding to buy or to rent;
When property may not be the best place for cash;
Why some people buy no matter what the property market is doing;
Where you should buy.
If you are going to buy a property you are an investor, even if you are buying your..."
"... to buy or to rent;
When property may not be the best place for cash;
Why some people buy no matter what the property market is doing;
Where you should buy.
If you are going to buy a property you are an investor, even if you are buying your own home. You are probably about to take out..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... you should buy.
If you are going to buy a property you are an investor, even if you are buying your own home. You are probably about to take out the biggest financial commitment of your life and so to some extent you are investing in your future.
If you are looking to sell..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... of your life and so to some extent you are investing in your future.
If you are looking to sell your current home and buy something larger your financial commitment, and risk, is about to get even larger.
Many might say they are only purchasing because they need a home but without a..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... financial commitment, and risk, is about to get even larger.
Many might say they are only purchasing because they need a home but without a doubt they would not want its value to be half the buying price when they come to sell.
You may be tempted to think about asking someone "Is now a..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... You may be tempted to think about asking someone "Is now a good time to buy?" or "Where do you think would be the best place to purchase?". There are plenty of people around who think they know the answer and have speeches ready but the truth is that the first questions should be to yourself.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... That's because a professional in the real estate business would not be able to reply immediately to your questions. They would need to know a great deal more about your personal circumstances before offering some sort of sensible guidance. It's better that you think about these questions now.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... your personal circumstances before offering some sort of sensible guidance. It's better that you think about these questions now.
- Should I Buy or Rent? -
Even if you believe property prices are going to move down this does not always mean you would be better off to wait. That kind of..."
"... Rent? -
Even if you believe property prices are going to move down this does not always mean you would be better off to wait. That kind of thinking leads to a common error made by those renting who forget to take into account their current costs while deciding whether or not to buy.
Here is..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...Here is a simple example. A couple are renting for £1,500 per month in a property worth £250,000. They believe property prices will move down 10% over the next two years so they will wait until the value is £225,000. But in the meantime they will spend £36,000 on rent. A mortgage could have cost them about £12,000 over the same time period.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...If they are right about price movements then by renting they have lost £24,000 (£36,000 - £12,000) and saved £25,000 by not buying. Overall they are better off by only £1,000 and all this time they have not been in their own home. If they are wrong and prices move up their loss is substantially more.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... all this time they have not been in their own home. If they are wrong and prices move up their loss is substantially more.
- Should I Invest my Cash in Property? -
There is often a great deal of competition between property investors and stock market dealers, each wanting to show that the..."
"... more.
- Should I Invest my Cash in Property? -
There is often a great deal of competition between property investors and stock market dealers, each wanting to show that the market they work in is the best for making money.
If you have cash and you are simply looking for an..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...If you have cash and you are simply looking for an investment, not a home, then property is not always the best option. If you know and understand the currency markets, for example, maybe you should put your investment there. If you have a good idea about the way shares rise and fall it could be that your funds would give you a better return on the stock market. Do not for one second believe making money in property is easy. As with stocks, currency exchange or anything else you will need to be educated and you will need a little luck because there will always be events, beyond your control, that will change your fate for better or for worse.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... or for worse.
But if you don't have cash the property market offers a strange doorway. It is not possible to go to a bank and say "I want to invest £250,000 in the stock market, can I borrow it please?" but it is possible to do that with property, wierd though that is.
Property offers..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...Property offers investors a chance to borrow sums unimaginable for other schemes which also means you can invest far more than the cash you have available at any point in time. However, as always, the cost of calculating any return must include the interest rate that you need to pay on the borrowed sum.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... However, as always, the cost of calculating any return must include the interest rate that you need to pay on the borrowed sum.
- What is My Motivation to Buy? -
The press and the media are obsessed with property prices. The hankering question asked month by month revolves simply around..."
"... My Motivation to Buy? -
The press and the media are obsessed with property prices. The hankering question asked month by month revolves simply around whether or not prices will rise or fall and for many buyers this overwhelming storm clouds their own considerations.
In reality many people..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...In reality many people want to by a property because they want a home, and usually for the long term. A place to put down roots and possibly an asset to pass on to their children. The bricks and mortar are not a financial tool that they plan to use within their lifetime and when they come to retire the mortgage will be paid off and they will have somewhere safe, and free, to live.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... paid off and they will have somewhere safe, and free, to live.
It will be four walls that they can decorate the way they want, a kitchen they can replace, a bathroom they can re-tile, a boiler they can upgrade. It is freedom.
If this is your motivation then, no matter what is happening in..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... they can replace, a bathroom they can re-tile, a boiler they can upgrade. It is freedom.
If this is your motivation then, no matter what is happening in the market, now is a good time to buy.
- Should I Buy in a Falling Market? -
The assumption is that when property prices are..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... It is freedom.
If this is your motivation then, no matter what is happening in the market, now is a good time to buy.
- Should I Buy in a Falling Market? -
The assumption is that when property prices are moving down only the insane or the risk hungry investor are out buying. But in..."
"...The assumption is that when property prices are moving down only the insane or the risk hungry investor are out buying. But in reality falling markets are often seen as a window of opportunity for those looking to upsize. Even though their current property is worth less, so is the type of property they are looking to buy, and the cash difference is actually lower.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... buy, and the cash difference is actually lower.
In this example we'll imagine a couple living in a property worth £250,000. They want to sell up and buy a house which would cost £450,000 but they cannot raise the £200,000 needed to do this.
The market then starts to fall and values reduce..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...The market then starts to fall and values reduce by 10%. Their property is now worth £225,000 but the house they want is now £405,000. The difference, known as the 'Trading Gap', has gone down to £180,000. A falling market has saved them money and offered a chance to make a move they might not otherwise have managed.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... them money and offered a chance to make a move they might not otherwise have managed.
To find out more about other buyers who welcome a falling market see the chapter Why Buy in a Falling Market?
- Where Should I Buy? -
If your final decision is to buy then you are going to start..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... have managed.
To find out more about other buyers who welcome a falling market see the chapter Why Buy in a Falling Market?
- Where Should I Buy? -
If your final decision is to buy then you are going to start thinking about where. Ask the question to a property investor and you will..."
"... Buy in a Falling Market?
- Where Should I Buy? -
If your final decision is to buy then you are going to start thinking about where. Ask the question to a property investor and you will get a very different answer to that of a parent.
If you are looking to make a return on a property..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"...If you are looking to make a return on a property investment you should probably consider an area no one else wants to buy in, but that may become fashionable in the future. If you are a parent you might want to consider schools and the catchment areas that they have. If you are a single women, how you feel walking on certain streets after dark could be an important factor.
..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... feel walking on certain streets after dark could be an important factor.
"Where should I buy?" is one of the most commonly asked questions by buyers but it cannot be answered by someone who knows little about you.
- Summary -
Buying property is a big step and making money from it is..."
"... Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme.
What's covered in this chapter
Why "Is now a good time to buy?" can't be a simple question;
What to take into account when deciding to buy or..."
"... should I buy?" is one of the most commonly asked questions by buyers but it cannot be answered by someone who knows little about you.
- Summary -
Buying property is a big step and making money from it is not always as straight forward as the media or some authors might sometimes..."
"...Buying property is a big step and making money from it is not always as straight forward as the media or some authors might sometimes suggest. Generally speaking almost any real estate investment makes money in the long term. If you buy somewhere that you can rent out and the tenants pay off your mortgage then after twenty years you will have a very nice nest egg. If you are hoping the flat you buy will go up one hundred percent in the next twelve months so you can quit your job - good luck - it does happen. Overall however the most sound piece of advice anyone can give you is to treat property as a ten year investment, not a get rich quick scheme...."
Chapter 2:
The Media and Property Prices
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are often out of..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... generally only when a whole economy goes into a major recession.
What sources the media use when reporting property prices and why these can be misleading;
How media reports are often out of sync with the actual market;
How property prices rise and fall all..."
"... in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are often out of sync with the actual market;
How property prices rise and fall all the time;
How the media manipulates figures to create headlines;
How to know..."
"... reporting property prices and why these can be misleading;
How media reports are often out of sync with the actual market;
How property prices rise and fall all the time;
How the media manipulates figures to create headlines;
How to know which journalists report accurately;
Spotting..."
"... media reports are often out of sync with the actual market;
How property prices rise and fall all the time;
How the media manipulates figures to create headlines;
How to know which journalists report accurately;
Spotting contradictions in the press;
The difference between real..."
"... the actual market;
How property prices rise and fall all the time;
How the media manipulates figures to create headlines;
How to know which journalists report accurately;
Spotting contradictions in the press;
The difference between real figures and 'Human Interest' stories;
What is a 'news'..."
"... and fall all the time;
How the media manipulates figures to create headlines;
How to know which journalists report accurately;
Spotting contradictions in the press;
The difference between real figures and 'Human Interest' stories;
What is a 'news' story and what is a 'new' story;
Real..."
"... to create headlines;
How to know which journalists report accurately;
Spotting contradictions in the press;
The difference between real figures and 'Human Interest' stories;
What is a 'news' story and what is a 'new' story;
Real examples of where the press has mislead buyers and..."
"... accurately;
Spotting contradictions in the press;
The difference between real figures and 'Human Interest' stories;
What is a 'news' story and what is a 'new' story;
Real examples of where the press has mislead buyers and sellers.
- What the Media Use to Predict Property Prices -..."
"... difference between real figures and 'Human Interest' stories;
What is a 'news' story and what is a 'new' story;
Real examples of where the press has mislead buyers and sellers.
- What the Media Use to Predict Property Prices -
There are many sources of data to tell journalists what..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... is a 'news' story and what is a 'new' story;
Real examples of where the press has mislead buyers and sellers.
- What the Media Use to Predict Property Prices -
There are many sources of data to tell journalists what is happening to the housing market. Here are just a few:
Land..."
"... has mislead buyers and sellers.
- What the Media Use to Predict Property Prices -
There are many sources of data to tell journalists what is happening to the housing market. Here are just a few:
Land registry;
Asking prices (as reported by agents);
New applicants registering (as..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... Property Prices -
There are many sources of data to tell journalists what is happening to the housing market. Here are just a few:
Land registry;
Asking prices (as reported by agents);
New applicants registering (as reported by agents);
Mortgage application numbers (as reported by..."
"... are many sources of data to tell journalists what is happening to the housing market. Here are just a few:
Land registry;
Asking prices (as reported by agents);
New applicants registering (as reported by agents);
Mortgage application numbers (as reported by lenders);
Average incomes..."
"... what is happening to the housing market. Here are just a few:
Land registry;
Asking prices (as reported by agents);
New applicants registering (as reported by agents);
Mortgage application numbers (as reported by lenders);
Average incomes and so percentage of income used to pay..."
"... few:
Land registry;
Asking prices (as reported by agents);
New applicants registering (as reported by agents);
Mortgage application numbers (as reported by lenders);
Average incomes and so percentage of income used to pay mortgages (as reported by the Office of..."
"... (as reported by agents);
Mortgage application numbers (as reported by lenders);
Average incomes and so percentage of income used to pay mortgages (as reported by the Office of Statistics);
Statements from people who should be in the know (such as economists).
All these..."
"... incomes and so percentage of income used to pay mortgages (as reported by the Office of Statistics);
Statements from people who should be in the know (such as economists).
All these sources of data tend to vary for different reasons so it is unsurprising that the media all too..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... All these sources of data tend to vary for different reasons so it is unsurprising that the media all too often produce conflicting reports. Good journalism is sadly lacking in the United Kingdom and reporting single, disputable sources of data is all too common.
The most..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...The most frequently misleading reports are based on land registry, a popular source because their figures are definitive. Definitive, but out of date. Even so this is how the media reports versus the reality of the annual property cycle in which prices rise and fall twice a year (the Annual Property Cycle is covered in the chapter Understanding the Property Market).
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...The figures are out of sync with reality because in November and December the value of offers agreed are generally falling but the media reports the completions from the autumn when prices were going up. When the spring arrives offers agreed are rising but the media reports the completions from offers agreed in December and suggests prices are moving down. As summer starts they report prices rising even though offers agreed are falling. In short those who write articles based on land registry data are always about two to three months behind the real market where deals are being done.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...This also confuses vendors, especially in the summer, when unrealistic expectations about how much their property is worth are common place. The market is dropping but they blame the agent and point to media reports telling them the market is rising. It's a bitter pill to swallow and rather than accept it many vendors change agents instead of taking advice.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... It's a bitter pill to swallow and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices Falling(Summer..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices Falling(Summer Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices Falling(Summer Completions)
Prices Falling
Winter
Prices Falling
Prices Rising(Autumn..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices Falling(Summer Completions)
Prices Falling
Winter
Prices Falling
Prices Rising(Autumn Completions)
Prices Rising
Outside of..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Completions)
Prices Rising
Autumn
Prices Rising
Prices Falling(Summer Completions)
Prices Falling
Winter
Prices Falling
Prices Rising(Autumn Completions)
Prices Rising
Outside of misreporting the annual cycle the media also..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring Completions)
Prices Rising
Autumn
Prices Rising
Prices..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... Rising
Prices Falling(Summer Completions)
Prices Falling
Winter
Prices Falling
Prices Rising(Autumn Completions)
Prices Rising
Outside of misreporting the annual cycle the media also likes to manipulate any statistics it can to..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices Falling
Summer
Prices Falling
Prices Rising(Spring..."
"... and rather than accept it many vendors change agents instead of taking advice.
This out-of-sync reporting is summarised on the table below:
Season RealityLand Registry
Media
Spring
Prices Rising
Prices Falling(Winter Completions)
Prices..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Outside of misreporting the annual cycle the media also likes to manipulate any statistics it can to make a story, and property is always a good story. Sometimes it may just be poor reporting and research that leads to headlines of "Property Prices leap 20%" but when reading media articles about real estate values there are several ways to know if the story is worth the paper it is written on.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Firstly investigate the figures yourself. House prices do not rise consistently month after month as we will see in Chapter 4: Understanding the Property Market. Global events also cause fluctuations that either change or exacerbate the cycle. An example of this occurred in 2003 where the war on Iraq caused prices to drop by around 10-20% in central London. The war over, prices corrected themselves and then in the spring of 2004 rose another 10%. This lead the media to report that "House prices are rising by 18.5 per cent a year - Are we heading for a crash?" (The Independent, 3rd April 2004). Enough to make anyone think the market was over cooking itself. What the media didn't consider was that half of the rise was down to a recovery of the falling market that had occurred earlier due to people's fear over the war.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... of the falling market that had occurred earlier due to people's fear over the war.
The graph below shows how easy it is to misreport, even in a market as large as London, using data from 2001 to 2015.
Property prices move up and down all the time on a regional level and this provides..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... even in a market as large as London, using data from 2001 to 2015.
Property prices move up and down all the time on a regional level and this provides plenty of fodder for journalists to get attention grabbing headlines
Taking the raw data from the graph it is possible to report the above..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... level and this provides plenty of fodder for journalists to get attention grabbing headlines
Taking the raw data from the graph it is possible to report the above in the following ways:
"House prices crash more than 5% in less than 6 months" using Q3 2001 to Q4 2001
"London market..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... headlines
Taking the raw data from the graph it is possible to report the above in the following ways:
"House prices crash more than 5% in less than 6 months" using Q3 2001 to Q4 2001
"London market moving up more than 10% per year" using Q3 2015 to Q4 2015
"House prices static for months"..."
"... in the following ways:
"House prices crash more than 5% in less than 6 months" using Q3 2001 to Q4 2001
"London market moving up more than 10% per year" using Q3 2015 to Q4 2015
"House prices static for months" using Q2 2016 to Q4 2016
At an even more local level the media also loves..."
"... than 6 months" using Q3 2001 to Q4 2001
"London market moving up more than 10% per year" using Q3 2015 to Q4 2015
"House prices static for months" using Q2 2016 to Q4 2016
At an even more local level the media also loves to talk about "hot spots" on a month by month basis as if this..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... Q4 2016
At an even more local level the media also loves to talk about "hot spots" on a month by month basis as if this were some reliable guide as to the best areas in which to invest. Price movements at this level are however, even more erratic as the following example shows.
At a local..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... as the following example shows.
At a local level (postcode SW4) there are not enough transactions to make sensible use of the data, but this does not stop journalists trying and often creating extremely misleading pictures, both positive and negative
Taking the raw data it is possible..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... not stop journalists trying and often creating extremely misleading pictures, both positive and negative
Taking the raw data it is possible to report the above in the following ways:
"SW4 house prices crash more than 10% in less than 6 months" using Q1 2003 to Q2 2003
"SW4 house prices..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... positive and negative
Taking the raw data it is possible to report the above in the following ways:
"SW4 house prices crash more than 10% in less than 6 months" using Q1 2003 to Q2 2003
"SW4 house prices boom by over 40%" using Q4 2011 to Q2 2012
"SW4 house prices static for over 12..."
"... above in the following ways:
"SW4 house prices crash more than 10% in less than 6 months" using Q1 2003 to Q2 2003
"SW4 house prices boom by over 40%" using Q4 2011 to Q2 2012
"SW4 house prices static for over 12 months" using Q1 2003 to Q2 2004
In other words, no matter the headline you..."
"... in less than 6 months" using Q1 2003 to Q2 2003
"SW4 house prices boom by over 40%" using Q4 2011 to Q2 2012
"SW4 house prices static for over 12 months" using Q1 2003 to Q2 2004
In other words, no matter the headline you are after, you can find it in the data if you want to. The trouble..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... In other words, no matter the headline you are after, you can find it in the data if you want to. The trouble is most news articles fail to mention their source but when they do, check it for yourself, it may just be a journalist manipulating figures in order to get himself a story.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... for yourself, it may just be a journalist manipulating figures in order to get himself a story.
Secondly, and on a similar note, watch out for any of the following in the text of media stories:
" many senior officials believe ";
" leading economists are saying ";
" it is widely believed..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... to get himself a story.
Secondly, and on a similar note, watch out for any of the following in the text of media stories:
" many senior officials believe ";
" leading economists are saying ";
" it is widely believed ";
and so on!
If you have ever had to write an academic essay you..."
"... and on a similar note, watch out for any of the following in the text of media stories:
" many senior officials believe ";
" leading economists are saying ";
" it is widely believed ";
and so on!
If you have ever had to write an academic essay you will know that all sources must be..."
"... out for any of the following in the text of media stories:
" many senior officials believe ";
" leading economists are saying ";
" it is widely believed ";
and so on!
If you have ever had to write an academic essay you will know that all sources must be quoted. So it is a mystery why..."
"... following in the text of media stories:
" many senior officials believe ";
" leading economists are saying ";
" it is widely believed ";
and so on!
If you have ever had to write an academic essay you will know that all sources must be quoted. So it is a mystery why leading journalists..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... so on!
If you have ever had to write an academic essay you will know that all sources must be quoted. So it is a mystery why leading journalists need only say, "leading city economists believe" and not quote who those economists are or where they have published their research.
Thirdly..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Thirdly where the media do actually quote a source, do the obvious and find out how reliable that source has been in the past. As an example, in the Autumn of 2004 the Nationwide Building Society reported that property prices had fallen for "the first time in three years". This was certainly true according to their own records of what they were lending on. That was the key - what they were lending on.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... were lending on.
The definitive figures from Land Registry which included what everybody else was lending on and what had been bought for cash actually showed property prices had fallen twice in the last three years (and four times in London over the same time period!).
Sources of data..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Sources of data from a lender can be very useful but they can also be distorted, often because of marketing or policy changes by that lender. It could have been, for example, that over these three years the Nationwide had been trying to attract more affluent borrowers and so as a result the value of property they were lending on was continuing to increase month after month. If this was the case the data would be a good reason to give everyone in the marketing department of the Nationwide a bonus but it does not accurately reflect true property prices.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... prices.
Further to the above point investigate how the source has come to their figure. This is crucially important. Take the headline, "Property prices expected to fall 30% in next two years". Read the text a little more and find the part, "according to the company XYZ".
Company XYZ..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... years". Read the text a little more and find the part, "according to the company XYZ".
Company XYZ might be a research company in which case they create a number of scenarios. One of which might be:
If the United States goes into recession and
if restricted oil supplies cause inflation..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... XYZ".
Company XYZ might be a research company in which case they create a number of scenarios. One of which might be:
If the United States goes into recession and
if restricted oil supplies cause inflation to rise above 10% and
if the Bank of England increases interest rates to 10%..."
"... case they create a number of scenarios. One of which might be:
If the United States goes into recession and
if restricted oil supplies cause inflation to rise above 10% and
if the Bank of England increases interest rates to 10% and
if unemployment rises above 15% then
Property prices..."
"... be:
If the United States goes into recession and
if restricted oil supplies cause inflation to rise above 10% and
if the Bank of England increases interest rates to 10% and
if unemployment rises above 15% then
Property prices will reduce by 30% over the next two years
There is nothing..."
"... and
if restricted oil supplies cause inflation to rise above 10% and
if the Bank of England increases interest rates to 10% and
if unemployment rises above 15% then
Property prices will reduce by 30% over the next two years
There is nothing wrong with this research and it may be very well..."
"... rise above 10% and
if the Bank of England increases interest rates to 10% and
if unemployment rises above 15% then
Property prices will reduce by 30% over the next two years
There is nothing wrong with this research and it may be very well argued but there can be plenty wrong with the..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... above 15% then
Property prices will reduce by 30% over the next two years
There is nothing wrong with this research and it may be very well argued but there can be plenty wrong with the way it is reported.
True Story - A One Sided Argument
On Saturday 3rd April 2004 The Independent..."
"... is nothing wrong with this research and it may be very well argued but there can be plenty wrong with the way it is reported.
True Story - A One Sided Argument
On Saturday 3rd April 2004 The Independent Newspaper lead with a front page story that asked "Are we heading for a crash"...."
"...On Saturday 3rd April 2004 The Independent Newspaper lead with a front page story that asked "Are we heading for a crash". Correctly they assigned quotes from the Halifax which said the rises were "just another milestone" but then perhaps the journalist became frustrated that no one would support his headline. He continued, "Some commentators believe that present house values are unsustainable and the only question is when, not if, the market will crash" but did not give any idea who this panel of experts were and where they got their information. The only quotable source he found to back up this view was a stock broking company which tried to compare house prices to shares.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... broking company which tried to compare house prices to shares.
If all that were not enough even the same media outlets are quite ready to contradict themselves as in the case of the following headlines from the BBC:
1st March 2005: "House prices show slight increase"
4th March 2005:..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the same media outlets are quite ready to contradict themselves as in the case of the following headlines from the BBC:
1st March 2005: "House prices show slight increase"
4th March 2005: "UK house prices slip in February"
31st March 2005: "House prices dip worst in a decade"
5th April 2005:..."
"... themselves as in the case of the following headlines from the BBC:
1st March 2005: "House prices show slight increase"
4th March 2005: "UK house prices slip in February"
31st March 2005: "House prices dip worst in a decade"
5th April 2005: "House prices stage rise in March"
and so..."
"... from the BBC:
1st March 2005: "House prices show slight increase"
4th March 2005: "UK house prices slip in February"
31st March 2005: "House prices dip worst in a decade"
5th April 2005: "House prices stage rise in March"
and so on!
While the BBC, in recent years, has improved the..."
"... increase"
4th March 2005: "UK house prices slip in February"
31st March 2005: "House prices dip worst in a decade"
5th April 2005: "House prices stage rise in March"
and so on!
While the BBC, in recent years, has improved the quality of its headlines to include their source, this..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... house prices slip in February"
31st March 2005: "House prices dip worst in a decade"
5th April 2005: "House prices stage rise in March"
and so on!
While the BBC, in recent years, has improved the quality of its headlines to include their source, this still remains a good example of how..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... prices stage rise in March"
and so on!
While the BBC, in recent years, has improved the quality of its headlines to include their source, this still remains a good example of how other media outlets push out stories with no consistency.
- What is 'New' and What is 'News' -
One of..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... to include their source, this still remains a good example of how other media outlets push out stories with no consistency.
- What is 'New' and What is 'News' -
One of the most misleading habits of the media is to pick up on a story that is happening all the time and present it as 'new'. ..."
"... and What is 'News' -
One of the most misleading habits of the media is to pick up on a story that is happening all the time and present it as 'new'. The most common are perhaps in the field of health but property suffers just as much at the hands, and pens, of this habit.
Negative equity,..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Negative equity, when the price of someone's home becomes less than the value of the loan they took out to buy it, is ever popular. As we have already seen, at a local level, property prices rise and fall all the time. This means there are always people in negative equity. Those who take out 100%+ mortgages are immediately in negative equity but there is little talk of it in the press when the overall market is rising.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the overall market is rising.
In 2003 millions of home-owners were thrown into negative equity when military action in Iraq began but the press was more interested in the 'War on Terror' than property so the months when it happened passed with almost no comment.
In 2008 there was not much..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... than property so the months when it happened passed with almost no comment.
In 2008 there was not much else to report except the global credit crunch and then the media wanted to talk to people in negative equity.
What the press reports is often happening all the time, just because they..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the global credit crunch and then the media wanted to talk to people in negative equity.
What the press reports is often happening all the time, just because they report it does not mean it is new.
- What is Real and What is 'Human Interest' -
Aside from creating stories which are not..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... equity.
What the press reports is often happening all the time, just because they report it does not mean it is new.
- What is Real and What is 'Human Interest' -
Aside from creating stories which are not new but presenting them as the news, journalists can also be very poor at keeping..."
"...Aside from creating stories which are not new but presenting them as the news, journalists can also be very poor at keeping a level head. Statisticians are taught that they must have a large number of people for research purposes before they can draw conclusions. Journalists, on the other hand, are taught that they must have at least one 'Human Interest Story' for a good article.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...So if it is time to scare monger about borrowing more than your property is worth (especially when the price of the property goes down) it is not hard to find one person in that position if it is fashionable enough to do so. If you can't find someone ask your sister's friend to pose for a photograph and then make the rest up, few know how to check the authenticity of a name and most simply want to gasp at the terrible situation.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...When reading, listening to or watching such articles consider the 'Hammer and thumb principle'. There will always be people using hammers and a certain number of them will hit their thumb. If we suddenly make a story tomorrow about how dangerous hammers are and wheel out a person who hit their thumb yesterday does this mean hammers have suddenly become dangerous or that more people than ever are hitting their thumbs?
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... thumb yesterday does this mean hammers have suddenly become dangerous or that more people than ever are hitting their thumbs?
The Use and Abuse of Mortgages -
Journalism is a difficult job. All too often the individual is working against tight deadlines and has already been briefed by the..."
"... are hitting their thumbs?
The Use and Abuse of Mortgages -
Journalism is a difficult job. All too often the individual is working against tight deadlines and has already been briefed by the editor on what slant to give a story.
While there are some who make up fantasy figures to..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... by the editor on what slant to give a story.
While there are some who make up fantasy figures to illustrate the point most will try and find a real person but to fit into their piece the right way the truth sometimes has to be bent a little.
Lets take an example where the journalist needs..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... into their piece the right way the truth sometimes has to be bent a little.
Lets take an example where the journalist needs to write a story about someone who took out a loan and now cannot afford to repay it.
The facts might look something like this:
Ms X took out £200,000 loan on a..."
"... an example where the journalist needs to write a story about someone who took out a loan and now cannot afford to repay it.
The facts might look something like this:
Ms X took out £200,000 loan on a £300,000 house
Ms X was fired from her job due to incompetency
Ms X cannot find a new..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... a story about someone who took out a loan and now cannot afford to repay it.
The facts might look something like this:
Ms X took out £200,000 loan on a £300,000 house
Ms X was fired from her job due to incompetency
Ms X cannot find a new job because of the way she lost her last one
Ms X..."
"... cannot afford to repay it.
The facts might look something like this:
Ms X took out £200,000 loan on a £300,000 house
Ms X was fired from her job due to incompetency
Ms X cannot find a new job because of the way she lost her last one
Ms X does not have much in the way of savings but could..."
"... like this:
Ms X took out £200,000 loan on a £300,000 house
Ms X was fired from her job due to incompetency
Ms X cannot find a new job because of the way she lost her last one
Ms X does not have much in the way of savings but could sell her house and rent
Now lets write the..."
"... fired from her job due to incompetency
Ms X cannot find a new job because of the way she lost her last one
Ms X does not have much in the way of savings but could sell her house and rent
Now lets write the story:
"Ms X, a 24 year old administrator from Liverpool, owes the Halifax £200,000..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... a new job because of the way she lost her last one
Ms X does not have much in the way of savings but could sell her house and rent
Now lets write the story:
"Ms X, a 24 year old administrator from Liverpool, owes the Halifax £200,000 for a mortgage she secured against her house two years..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"..."Ms X, a 24 year old administrator from Liverpool, owes the Halifax £200,000 for a mortgage she secured against her house two years ago but now the bank might want it back. After loosing her job in December she has found it hard to find new employment despite applying for over fifty positions and her savings are starting to run out. If she cannot find work soon she will not be able to cover her mortgage payments and the bank could repossess her house."
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...All the facts are true, no one can deny it, but some of them are missing. Furthermore the last sentence contains the dramatic concept of repossession although anyone who read or listened carefully would realise she could sell her house and repay the mortgage. This is not a mortgage story, it is an employment story dressed up to look like a mortgage story.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... the mortgage. This is not a mortgage story, it is an employment story dressed up to look like a mortgage story.
The second type of press reporting surrounds an important principle:
Almost every product or servicehas the ability to be misused
It's our 'Hammer and thumb' principle again...."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... dressed up to look like a mortgage story.
The second type of press reporting surrounds an important principle:
Almost every product or servicehas the ability to be misused
It's our 'Hammer and thumb' principle again. There is nothing wrong with the hammer, it's how we use it. But when..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... ability to be misused
It's our 'Hammer and thumb' principle again. There is nothing wrong with the hammer, it's how we use it. But when it comes to financial products those who misuse them are often dressed up as the victim for the purposes of making a good story.
Here are another set of..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... it comes to financial products those who misuse them are often dressed up as the victim for the purposes of making a good story.
Here are another set of facts:
Mr Y used every last penny of his savings on a deposit for a buy to let
Mr Y did not make any contingency plan for what to do if..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... are often dressed up as the victim for the purposes of making a good story.
Here are another set of facts:
Mr Y used every last penny of his savings on a deposit for a buy to let
Mr Y did not make any contingency plan for what to do if the property did not let immediately
The property..."
"... are another set of facts:
Mr Y used every last penny of his savings on a deposit for a buy to let
Mr Y did not make any contingency plan for what to do if the property did not let immediately
The property needs some maintenance as the hot water and heating do not work properly but Mr Y cannot..."
"... did not make any contingency plan for what to do if the property did not let immediately
The property needs some maintenance as the hot water and heating do not work properly but Mr Y cannot afford to do it
The tenants who moved in won't pay the rent until the work is done
This can be..."
"... property needs some maintenance as the hot water and heating do not work properly but Mr Y cannot afford to do it
The tenants who moved in won't pay the rent until the work is done
This can be re-written:
"Mr Y, a self employed tiler from London, decided to purchase a buy to let investment..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... and heating do not work properly but Mr Y cannot afford to do it
The tenants who moved in won't pay the rent until the work is done
This can be re-written:
"Mr Y, a self employed tiler from London, decided to purchase a buy to let investment after reading about the successes others were..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"..."Mr Y, a self employed tiler from London, decided to purchase a buy to let investment after reading about the successes others were having in local newspapers. He bought a two bedroom apartment eight miles from where he lived and rented it out to a local couple. Now they are refusing to pay the rent Mr Y needs to cover his mortgage payments and he is worried it won't be long before the bank will repossess the property."
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...Again all the facts are there, albeit one-sided. In reality Mr Y was being a bit too greedy. Instead of buying somewhere smaller and holding some funds back for the unexpected he stretched himself to the limit. But the article would have you believe he was very unfortunate and of course we have got that all important word 'repossess' in.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... limit. But the article would have you believe he was very unfortunate and of course we have got that all important word 'repossess' in.
- Summary -
In summary think very carefully about what you read in the papers, see on the television or hear on the radio. Remember:
There are always..."
"... and of course we have got that all important word 'repossess' in.
- Summary -
In summary think very carefully about what you read in the papers, see on the television or hear on the radio. Remember:
There are always people in negative equity in good times or bad
There are always..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... think very carefully about what you read in the papers, see on the television or hear on the radio. Remember:
There are always people in negative equity in good times or bad
There are always people who have bought problems on themselves
There are always people who will misuse mortgages..."
"... on the television or hear on the radio. Remember:
There are always people in negative equity in good times or bad
There are always people who have bought problems on themselves
There are always people who will misuse mortgages and credit
The real question is how many people and is it..."
"... always people in negative equity in good times or bad
There are always people who have bought problems on themselves
There are always people who will misuse mortgages and credit
The real question is how many people and is it actually a real problem. If for example there were 1,000 people in..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"...The real question is how many people and is it actually a real problem. If for example there were 1,000 people in negative equity last year and there are 10,000 people now that might suggest an issue. But does it? Many of these people may be totally unaware of their situation as they have stable jobs and no need to sell. Negative equity only becomes a real issue when people need to sell and for this several factors must come in to play:
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... need to sell. Negative equity only becomes a real issue when people need to sell and for this several factors must come in to play:
The person needs to sell
It is not possible to rent the property out and cover the mortgage
There are not enough buyers on the market to achieve the price..."
"... real issue when people need to sell and for this several factors must come in to play:
The person needs to sell
It is not possible to rent the property out and cover the mortgage
There are not enough buyers on the market to achieve the price necessary to cover the repayment of the loan
For..."
"... person needs to sell
It is not possible to rent the property out and cover the mortgage
There are not enough buyers on the market to achieve the price necessary to cover the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
"... buyers on the market to achieve the price necessary to cover the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
..."
"... the repayment of the loan
For all of these to coincide is very, very rare and generally only when a whole economy goes into a major recession.
What's covered in this chapter
What sources the media use when reporting property prices and why these can be misleading;
How media reports are..."
Chapter 3:
Making House Price Predictions
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along... What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of Mortgage..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... he might be right and then we will all lament how we should have listened to him all along... Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of Mortgage Lenders, Hometrack, Capital Economics and..."
"... in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of Mortgage Lenders, Hometrack, Capital Economics and many of the other 'experts' used by the media;
Who can make accurate forecasts;
Why organisations make..."
"... the Halifax, the Council of Mortgage Lenders, Hometrack, Capital Economics and many of the other 'experts' used by the media;
Who can make accurate forecasts;
Why organisations make predictions.
The British public have an insatiable appetite for property price predictions. This is..."
"... Lenders, Hometrack, Capital Economics and many of the other 'experts' used by the media;
Who can make accurate forecasts;
Why organisations make predictions.
The British public have an insatiable appetite for property price predictions. This is hardly surprising since for many their..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... make predictions.
The British public have an insatiable appetite for property price predictions. This is hardly surprising since for many their home is also their largest financial investment. For others getting on the ladder is a constant preoccupation.
The media is only too happy..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...The media is only too happy to oblige with regular stories based on the calculations of "experts". In Chapter 2: The Media and Property Prices misreporting by the press, and the reasons they do it, is covered. But who are these organizations that they use and how accurate has their track record been?
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... reasons they do it, is covered. But who are these organizations that they use and how accurate has their track record been?
- The Property Experts in Which we Trust -
Between 2004 and 2021 I collected all the predictions quoted by the main stream press and charted this against reality. The..."
"... track record been?
- The Property Experts in Which we Trust -
Between 2004 and 2021 I collected all the predictions quoted by the main stream press and charted this against reality. The results speak for themselves.
Every year big names in the housing market make property price..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... stream press and charted this against reality. The results speak for themselves.
Every year big names in the housing market make property price predictions but as you can see they are rarely on the mark!
For clarity where 'real' price changes are stated these are from the Land Registry..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... but as you can see they are rarely on the mark!
For clarity where 'real' price changes are stated these are from the Land Registry and the predictions of each party are their first predictions, not ones that they updated during the given year.
- The Royal Society of Chartered Surveyors..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... and the predictions of each party are their first predictions, not ones that they updated during the given year.
- The Royal Society of Chartered Surveyors (RICS) -
RICS system for predicting the future would have most statisticians turning pale. They simply ask their members "how they..."
"... Chartered Surveyors (RICS) -
RICS system for predicting the future would have most statisticians turning pale. They simply ask their members "how they feel". If most are optimistic they believe prices will rise and if most are pessimistic they say prices will fall.
Strangely it actually seems..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... are pessimistic they say prices will fall.
Strangely it actually seems to work but only to the extent that they have been quite successful in staying on the right side of zero - they say prices will rise and they do, they will fall and they do.
Despite not being particularly accurate RICS..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... do, they will fall and they do.
Despite not being particularly accurate RICS is actually one of the better indicators on the market. But if even they have to reverse predictions to the extent they did in 2009 perhaps they are not to be relied on too heavily.
In recent times their monthly..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... too heavily.
In recent times their monthly reporting has also suffered from inconsistency. On 10th January 2012 RICS said 'There is no sign of the UK property market picking up in the coming months' which was followed on the 14th February with 'Home sales are expected to rise'.
- The..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... UK property market picking up in the coming months' which was followed on the 14th February with 'Home sales are expected to rise'.
- The Nationwide -
The Nationwide has been collecting house price data since the early 1970s. As a lender they are able to see the number of applications..."
"...The Nationwide has been collecting house price data since the early 1970s. As a lender they are able to see the number of applications coming in for approval and this gives an indicator of changes coming in the market. If less people are applying the market is beginning to slow and hence house prices may fall, so long as you assume supply remains constant.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... Unfortunately this simple "supply-demand" argument does not always work. If demand slows prices can only drop if supply remains the same or increases. But unlike fruit and vegetables houses are not perishable goods and so, as seen in 2009, supply can dry up as well and match the lack of demand.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... houses are not perishable goods and so, as seen in 2009, supply can dry up as well and match the lack of demand.
Because of this they have had little success in predicting.
- The Halifax -
The Halifax and the Nationwide are both famous for issuing their monthly year on year price..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... as seen in 2009, supply can dry up as well and match the lack of demand.
Because of this they have had little success in predicting.
- The Halifax -
The Halifax and the Nationwide are both famous for issuing their monthly year on year price change data. And historically they both have..."
"... predicting.
- The Halifax -
The Halifax and the Nationwide are both famous for issuing their monthly year on year price change data. And historically they both have sound data on a national scale but accurate predictions have eluded the Halifax as well.
So much so that in recent years..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... data on a national scale but accurate predictions have eluded the Halifax as well.
So much so that in recent years they have started to forecast wide bands ... which isn't really forecasting at all.
In 2013 the Halifax kept to their wide -2 to +2% while prices rose 4%.
This wide..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... so that in recent years they have started to forecast wide bands ... which isn't really forecasting at all.
In 2013 the Halifax kept to their wide -2 to +2% while prices rose 4%.
This wide range of possible price rises did pay off in 2018 when they predicted increases of "between 0 and..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... all.
In 2013 the Halifax kept to their wide -2 to +2% while prices rose 4%.
This wide range of possible price rises did pay off in 2018 when they predicted increases of "between 0 and 3%". Prices rose 1%.
- The Council of Mortgage Lenders -
Like the Halifax and the Nationwide the..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... wide range of possible price rises did pay off in 2018 when they predicted increases of "between 0 and 3%". Prices rose 1%.
- The Council of Mortgage Lenders -
Like the Halifax and the Nationwide the CML has a close grip on the number of new mortgage applications being received across..."
"... Council of Mortgage Lenders -
Like the Halifax and the Nationwide the CML has a close grip on the number of new mortgage applications being received across the industry and use this, in part, to predict if the market will be moving up or down in the future.
But as with the Halifax and the..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... But as with the Halifax and the Nationwide they can be good at predicting future demand, but cannot know what future supply will be. As such they have not been far off the mark but their track record does not make them particularly accurate when looking for some guidance as to the future.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... as to the future.
Recognizing this themselves there have been times, such as 2009 and 2010, when they refused to even offer a prediction. For 2011 the vague approach was used with a forecast of "may fall a bit or stay flat" which may not even technically be a forecast!
For 2013 they went..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... approach was used with a forecast of "may fall a bit or stay flat" which may not even technically be a forecast!
For 2013 they went for a no change prediction. Prices moved up 4%.
For 2014 the CML started to predict volumes of mortgage lending instead of house price moves and for 2015..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... 2013 they went for a no change prediction. Prices moved up 4%.
For 2014 the CML started to predict volumes of mortgage lending instead of house price moves and for 2015 limited their forecast to "more slowly".
From there on they rarely made widely reported predictions.
-..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... volumes of mortgage lending instead of house price moves and for 2015 limited their forecast to "more slowly".
From there on they rarely made widely reported predictions.
- Housepricecrash.co.uk -
Set up to discuss the impending house crash that was about to happen in 2004, and then..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... price moves and for 2015 limited their forecast to "more slowly".
From there on they rarely made widely reported predictions.
- Housepricecrash.co.uk -
Set up to discuss the impending house crash that was about to happen in 2004, and then 2005, and then 2006, etc. The site bought..."
"...Set up to discuss the impending house crash that was about to happen in 2004, and then 2005, and then 2006, etc. The site bought together lots of data from 2004 onward to prove prices must decrease. For many years they had an unstoppable belief that values must fall 50% and that this will generally happen at a rate of 10-15% per year.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... per year.
Jonathan Davis, who ran the site, has been extremely forthright since day one. In 2004, on the site's forum he replied to a post from a user who was about to buy and said, "So, late 2005 to mid 2006 when HPs are falling by 10-15% pa you're going to buy a place?"
Obviously..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...Obviously historical data was not in their favour but in 2008 prices did start to fall and at 13% it finally matched the 10-15% prediction which prompted a raft of media reporters to suddenly hail Davis as the man who knew. But his forecast was actually for a 40-50% drop between 2008 and 2011 and in reality the market only moved 4% down over this time period before recovering.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... the market only moved 4% down over this time period before recovering.
He has since removed this forecast and his name from the website which should perhaps be more accurately renamed wewantahousepricecrash.co.uk
- Jonathan Davis Wealth Management -
Davis moved on from..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... this forecast and his name from the website which should perhaps be more accurately renamed wewantahousepricecrash.co.uk
- Jonathan Davis Wealth Management -
Davis moved on from housepricecrash.co.uk and started to be quoted as 'Jonathan Davis of Jonathan Davis Wealth Management...."
"... renamed wewantahousepricecrash.co.uk
- Jonathan Davis Wealth Management -
Davis moved on from housepricecrash.co.uk and started to be quoted as 'Jonathan Davis of Jonathan Davis Wealth Management.
Never one to give up Davis predicted a 10% drop in 2011 itself which was far from..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... and started to be quoted as 'Jonathan Davis of Jonathan Davis Wealth Management.
Never one to give up Davis predicted a 10% drop in 2011 itself which was far from the -1.3% reality.
In an interview with Channel 4's 4Homes in 2012 he made a specific point that "Next year, all..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...In an interview with Channel 4's 4Homes in 2012 he made a specific point that "Next year, all regions will fall in price ... It's a nonsense to say – as I hear every day – the London market is strong". His 2012 prediction was a decrease of 10% while prices actually rose 2% with London being one of the strongest performing areas.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... prices actually rose 2% with London being one of the strongest performing areas.
On Sky News in January 2013 he forecast a 5-10% drop over the coming year but twelve months later property prices were up 4%.
With such a bad track record Davis is a very good example of the media continuing..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... property prices were up 4%.
With such a bad track record Davis is a very good example of the media continuing to ask for predictions from sources that have never been right and in Davis' case, never even close to being right. The reason they do this is a mystery.
As a slight sideline, in..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... a mystery.
As a slight sideline, in 2013 Davis purchased a house despite his own forecast that anyone doing so would lose money and even as he was quoted by Reuters in November 2013 as saying "UK housing has been in a bubble for 10 years. All bubbles eventually burst though".
-..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... was quoted by Reuters in November 2013 as saying "UK housing has been in a bubble for 10 years. All bubbles eventually burst though".
- Hometrack.co.uk -
Hometrack collects data from estate agents including questions on where they think the market is going. From this they issue predictions..."
"... eventually burst though".
- Hometrack.co.uk -
Hometrack collects data from estate agents including questions on where they think the market is going. From this they issue predictions which have largely been conservative but wrong.
By 2014 Hometrack showed signs of giving up the..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... this they issue predictions which have largely been conservative but wrong.
By 2014 Hometrack showed signs of giving up the prediction game by limiting their forecast to a "prices would continue to increase".
- Capital Economics -
Perhaps the most well known gloom-sayer is Capital..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... 2014 Hometrack showed signs of giving up the prediction game by limiting their forecast to a "prices would continue to increase".
- Capital Economics -
Perhaps the most well known gloom-sayer is Capital Economics, advised by Roger Bootle. They tend to predict price decreases almost all..."
"... -
Perhaps the most well known gloom-sayer is Capital Economics, advised by Roger Bootle. They tend to predict price decreases almost all the time. And when house prices are decreasing they predict even larger falls. Their track record for accuracy is disastrous as the following shows:
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... decreasing they predict even larger falls. Their track record for accuracy is disastrous as the following shows:
Predicted a 20% fall between 2005 and 2007. Prices rose 15%.
In December 2004 Ed Stansfield (spokesman for Capital Economics) said "our forecast of a 20% peak-to-trough drop in..."
"... 20% fall between 2005 and 2007. Prices rose 15%.
In December 2004 Ed Stansfield (spokesman for Capital Economics) said "our forecast of a 20% peak-to-trough drop in average house prices - remains on track." Prices rose 15% over the next two years.
At the start of 2009 they predicted a fall of..."
"... drop in average house prices - remains on track." Prices rose 15% over the next two years.
At the start of 2009 they predicted a fall of 20% for the year. Prices remained static
In December 2007 the BBC reported "To date they have been about as wide off the mark as is..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...In December 2007 the BBC reported "To date they have been about as wide off the mark as is possible." Which puts it mildly and questions why they are still asked for their views. Ironically after nearly a decade of predicting a crash, and as house prices stood on the precipice in April 2007, Ed Stansfield from Capital Economics said "It gets to a stage when you can't keep saying a crash will happen while prices keep on rising". The following year prices dropped 13%.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... will happen while prices keep on rising". The following year prices dropped 13%.
For 2010 Capital Economics made their strangest forecast yet. Prices would "drop by 10% or flat-line or keep on rising".
But as you see from the graph they have have slowly given up on predicting big..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... would "drop by 10% or flat-line or keep on rising".
But as you see from the graph they have have slowly given up on predicting big decreases and moved more in line with others predicting single digit percentage increases or decreases.
- Deloitte -
Deloitte is also advised by the same..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... slowly given up on predicting big decreases and moved more in line with others predicting single digit percentage increases or decreases.
- Deloitte -
Deloitte is also advised by the same Roger Bootle of Capital Economics and hence why their predictions are broadly similar and broadly..."
"... - Deloitte -
Deloitte is also advised by the same Roger Bootle of Capital Economics and hence why their predictions are broadly similar and broadly wrong. For the same reason they have a poor track record and their predictions should be treated with skepticism.
It should be noted..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... reason they have a poor track record and their predictions should be treated with skepticism.
It should be noted that they have not attempted to make any serious predictions in recent years.
- Zoopla.co.uk -
Zoopla was started in 2007 and the idea was to use historical data and a..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... should be treated with skepticism.
It should be noted that they have not attempted to make any serious predictions in recent years.
- Zoopla.co.uk -
Zoopla was started in 2007 and the idea was to use historical data and a "secret cocktail of other factors" to make predictions about the..."
"... predictions in recent years.
- Zoopla.co.uk -
Zoopla was started in 2007 and the idea was to use historical data and a "secret cocktail of other factors" to make predictions about the market both on a national and local level.
On a national level there are enough transactions to..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...On a national level there are enough transactions to theoretically make this possible. But even the best statistical models require some pattern from historical data and this does not really exist. There have been two crashes but of varying length and intensity and the remaining trends of rises or static periods are random.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...On a local level it is actually impossible to do what Zoopla tries to do. As any statistician will know there must be at least 30 pieces of data before anyone can start any accurate number crunching. For a particular post code then we need 30 transactions every month to create the data needed. So if we take, for example E3 3NH we find there have been no transactions in the last 5 years. There is nothing that can be done with this data (or rather lack of it) and so any price predictions based on them are futile.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...If we zoom out to get more data, say to E3 only, we get the volume we need (over 3,266 sales in the last 5 years) but now the information has lost it's meaning for specific properties on specific roads. We can come to a fairly accurate estimate of average local prices but there is no way of knowing how that relates to an individual property - unless every home in the postcode was identical.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... there is no way of knowing how that relates to an individual property - unless every home in the postcode was identical.
- So Who Can Make House Price Predictions? -
In general the answer is no one. Property prices, like stocks and shares, have too many factors in them and many of these..."
"... House Price Predictions? -
In general the answer is no one. Property prices, like stocks and shares, have too many factors in them and many of these are purely based on confidence and emotion - both of which can be highly irrational in a positive or negative sense.
- The Hidden Agenda for..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... are purely based on confidence and emotion - both of which can be highly irrational in a positive or negative sense.
- The Hidden Agenda for Making House Price Predictions -
So why do organizations continue to make predictions? Put simply it is because we want them. But always remember most..."
"... negative sense.
- The Hidden Agenda for Making House Price Predictions -
So why do organizations continue to make predictions? Put simply it is because we want them. But always remember most have a hidden agenda.
The Nationwide, Halifax, Council of Mortgage Lenders and other lenders want..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... a hidden agenda.
The Nationwide, Halifax, Council of Mortgage Lenders and other lenders want to be positive so people will borrow and they will profit. Even RICS could be accused of this. The more transactions there are in a market, the more work there is for their members.
Alternatively..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... Alternatively Housepricecrash.co.uk, as it's name implies, Jonathan Davis and Capital Economics would like to see values drop so they can be vindicated. Like a man who tells you it is going to rain tomorrow, they know they will eventually be right, even if it is only a light shower once a month.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... once a month.
And ultimately it is all good publicity to keep their names in the press, for free. The true blame therefore must lie with the media who continue to ask organizations and individuals for their views, even if their track record for accuracy is highly dubious.
- UK House..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... to ask organizations and individuals for their views, even if their track record for accuracy is highly dubious.
- UK House Price Predictions and the Regions -
More than ever, since the start of the Credit Crises, property prices in the United Kingdom have fragmented and so..."
"...More than ever, since the start of the Credit Crises, property prices in the United Kingdom have fragmented and so predictions at a national level hold little value to buyers. in 2012, for example, London property prices rose nearly 9% according to Land Registry while Scottish properties dropped 3%.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... dropped 3%.
With such disparity making a decision to purchase, based on a national prediction, does not hold water at the moment. It is little comfort to know someone's prediction was correct if it holds no relevancy to the area in which you bought your bricks and mortar.
- Summary -..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... little comfort to know someone's prediction was correct if it holds no relevancy to the area in which you bought your bricks and mortar.
- Summary -
When it comes down to it no one has ever been very good at making predictions. But those entering, or returning to, the property market take..."
"...When it comes down to it no one has ever been very good at making predictions. But those entering, or returning to, the property market take media reports literally and rarely check track records. It is unfortunate that when journalists report, on yet another crash or boom story from an 'expert', they never include how accurate that 'expert' has been in the past.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...But at any point in time, because many of these individuals say different and contradictory things, someone must be right and they are hailed as the hero. This interestingly happened in 2008 when the property market started to fall and the BBC ran a piece on prime time news when they asked 'Perhaps we should have listened to this man all along.' They were referring to Roger Bootle of Capital Economics.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"...But according to the Nationwide's price data if the potential owner of an average UK property had been listening from 2003 to the start of 2011, and had been waiting for prices to drop as Roger keenly and consistently predicted, then on an average property he would have been £44,000 worse off. So why a media organisation as prestigious as the BBC would suggest that we should have listened all along is a little strange, to say the least.
..."
"... who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along...
What's covered in this chapter
Who makes house price predictions;
What is the track record of RICS, the Nationwide, the Halifax, the Council of..."
"... along is a little strange, to say the least.
There is a man outside Oxford Circus underground station who says 'The World Will End Tomorrow'. One day he might be right and then we will all lament how we should have listened to him all along......"
Chapter 4:
Understanding the Property Market
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property prices over the long..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property prices over the long term;
What is happening to the..."
"... market see Chapter 6: Property Bubbles and Market Crashes What drives property prices apart from salaries;
What will happen to property prices over the long term;
What is happening to the supply of new properties;
The likely..."
"... What will happen to property prices over the long term;
What is happening to the supply of new properties;
The likely effects of Brexit and Covid 19
The difference between..."
"... since 1975;
What drives property prices apart from salaries;
What will happen to property prices over the long term;
What is happening to the supply of new properties;
The likely effects of Brexit and Covid 19
The difference between national and regional property markets;
How real..."
"... from salaries;
What will happen to property prices over the long term;
What is happening to the supply of new properties;
The likely effects of Brexit and Covid 19
The difference between national and regional property markets;
How real property prices actually rise and fall every..."
"... over the long term;
What is happening to the supply of new properties;
The likely effects of Brexit and Covid 19
The difference between national and regional property markets;
How real property prices actually rise and fall every year;
When you should shop for a bargain and when you should..."
"... likely effects of Brexit and Covid 19
The difference between national and regional property markets;
How real property prices actually rise and fall every year;
When you should shop for a bargain and when you should shop for choice;
How you can end up trapped in the property..."
"... between national and regional property markets;
How real property prices actually rise and fall every year;
When you should shop for a bargain and when you should shop for choice;
How you can end up trapped in the property search;
When you should buy.
It is amazing how many people..."
"... prices actually rise and fall every year;
When you should shop for a bargain and when you should shop for choice;
How you can end up trapped in the property search;
When you should buy.
It is amazing how many people delay buying because they believe the market is falling, or..."
"... every year;
When you should shop for a bargain and when you should shop for choice;
How you can end up trapped in the property search;
When you should buy.
It is amazing how many people delay buying because they believe the market is falling, or rising too fast, or the market is steady..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...It is amazing how many people delay buying because they believe the market is falling, or rising too fast, or the market is steady and so may fall, and so on. In their defense they are encouraged to do so by the media which loves to paint all price rises as worrying and all price drops as the possible start of something bigger.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... Friends, family and work colleagues are also very keen to offer their analysis, often based on that very same media. It would be interesting how many of these advisers would be interested in knowing what Estate Agents, Solicitors and Surveyors forecast for the industries that they work in!
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... forecast for the industries that they work in!
How the market acts is actually surprisingly simple, but it is perhaps this simplicity that does not lend itself particularly well to headlines. It is crucial therefore to understand that:
The current trend is for prices to continue to..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... particularly well to headlines. It is crucial therefore to understand that:
The current trend is for prices to continue to move up due to increasing demand for property and restrictions in new supply.
Regionally markets move up and down all the time but this is rarely reported.
The..."
"... is for prices to continue to move up due to increasing demand for property and restrictions in new supply.
Regionally markets move up and down all the time but this is rarely reported.
The market has a traditional cycle that means that prices do move down quite regularly, usually twice a..."
"... new supply.
Regionally markets move up and down all the time but this is rarely reported.
The market has a traditional cycle that means that prices do move down quite regularly, usually twice a year.
- The Current Trend in the National Property Market -
The amount of land available to..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... market has a traditional cycle that means that prices do move down quite regularly, usually twice a year.
- The Current Trend in the National Property Market -
The amount of land available to build on is restricted and the number of people who want to live in the UK is continuing..."
"...The amount of land available to build on is restricted and the number of people who want to live in the UK is continuing to increase. One overriding principle to remember, in London, is that property prices have risen, almost continuously, since the end of the Second World War. In some parts of the city they have doubled every ten years over this period.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...And the simple issue of supply and demand is expected to get worse. As of 2021 it is estimated that, for example, London needs 94,000 new homes to be built every year but only about a third of this is ever managed. Way back in October 2012 the Future Homes Commission concluded the UK as a whole needed 300,000 - 330,000 new homes every year. And how many were built in 2012? Just 128,600.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... UK as a whole needed 300,000 - 330,000 new homes every year. And how many were built in 2012? Just 128,600.
In the following decade new homes struggled to even breach 200,000 units.
Despite this well known trend the situation is likely to be exacerbated by moves such as the continued..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... struggled to even breach 200,000 units.
Despite this well known trend the situation is likely to be exacerbated by moves such as the continued introduction of more conservation areas, the protection of green spaces and ever rising immigration.
It can be argued these go far towards..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...It can be argued these go far towards improving quality of life. Protecting open spaces gives us places in which to spend our recreational time. Immigration provides us with a richer and more cosmopolitan mix of cultures which broaden our horizons. But ironically they also make the country an even more desirable habitat and increase property demand still further.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... an even more desirable habitat and increase property demand still further.
The graph below demonstrates the problem by showing the decrease in the number of new homes being built over the last forty years:
Property prices: Land Registry. New homes built: GOV.UK - Net Supply of..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... the problem by showing the decrease in the number of new homes being built over the last forty years:
Property prices: Land Registry. New homes built: GOV.UK - Net Supply of Housing
The credit crisis of 2008 decreased the number of new dwellings still further as construction companies..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...The credit crisis of 2008 decreased the number of new dwellings still further as construction companies struggled to raise finances for projects. This drop can clearly be seen in the graph above and was especially acute in the South East of England where the number of additional dwellings dropped by 32% in the financial year 2009-2010.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... dwellings dropped by 32% in the financial year 2009-2010.
It took the construction industry half a decade to recover. 2013 saw 118,540 new dwellings completed. At no time since 1975 have more homes been in demand and so few built.
While the number of new homes built each year has now..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... time since 1975 have more homes been in demand and so few built.
While the number of new homes built each year has now recovered to pre credit crises levels it should be remembered that these were inadequate levels even then.
We also need to factor into this the effects of migration to the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... these were inadequate levels even then.
We also need to factor into this the effects of migration to the United Kingdom. This is has been consistent at around 250,000 since the turn of the millennium (according to the Office of National Statistics).
That's five times larger than the 1990s..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... (according to the Office of National Statistics).
That's five times larger than the 1990s and Brexit has done nothing to change this. That's 250,000+ new people a year while the UK builds around 200,000 new properties every 12 months.
Some of these will be looking to stay and buy, others..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... 12 months.
Some of these will be looking to stay and buy, others are migrant workers which increase demand for rental properties (and so buy-to-let investment demand) while some are foreign investors who see purchasing UK bricks and mortar as a safe haven for their funds.
So while the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... who see purchasing UK bricks and mortar as a safe haven for their funds.
So while the number of new homes built in recent years might be improving, the number of people who want to live in them is also on the rise.
In summary we have a situation where England and Wales are short of homes..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... improving, the number of people who want to live in them is also on the rise.
In summary we have a situation where England and Wales are short of homes and the population is growing faster than they can be built.
To put this in some perspective over the last two decades the number of..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... built.
To put this in some perspective over the last two decades the number of additional dwellings has grown by nearly 4 million while the UK population has swelled by some 8 million and all this happened in a country that was already short of housing as far back as the late 1990s.
- The..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... swelled by some 8 million and all this happened in a country that was already short of housing as far back as the late 1990s.
- The rise of One Person Households -
As if what I've discussed so far is not enough the population of the UK is actually adding to the property strain as increasing..."
"... as the late 1990s.
- The rise of One Person Households -
As if what I've discussed so far is not enough the population of the UK is actually adding to the property strain as increasing numbers of people decide to live alone.
People are increasingly choosing to live alone increasing..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... UK is actually adding to the property strain as increasing numbers of people decide to live alone.
People are increasingly choosing to live alone increasing demand for individual dwellings.
The Office of National Statistics predict this number will rise to 10.7 million by 2039 but the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... increasing demand for individual dwellings.
The Office of National Statistics predict this number will rise to 10.7 million by 2039 but the recent acceleration that can be seen in the graph above suggests we might arrive there much sooner.
- Brexit and House Prices -
There has been an..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... 10.7 million by 2039 but the recent acceleration that can be seen in the graph above suggests we might arrive there much sooner.
- Brexit and House Prices -
There has been an expectation among some groups that Brexit would lead to lower house prices. This was broadly based on the idea that..."
"... and House Prices -
There has been an expectation among some groups that Brexit would lead to lower house prices. This was broadly based on the idea that if the UK had control of its borders this would reduce net immigration and so decrease the demand for housing.
There is some logic to..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... and so decrease the demand for housing.
There is some logic to this from a simple demand-supply point of view. In the ten years leading up to the 2016 referendum net immigration added over 2.5 million people to an already crowded island.
This line of thought can be seen in a 2016 Lord..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... island.
This line of thought can be seen in a 2016 Lord Ashford poll which found that 80% of those who voted leave felt immigration was a force for ill and the concept of 'taking back control of borders' was strongly pushed by the leave campaign in order to appeal to these voters.
Reducing..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...Reducing EU immigration worked. Even before Brexit actually came into effect in January 2021 there was an immediate drop in numbers moving to the UK from mainland Europe. However they were simply replaced by new arrivals from elsewhere. In other words far fewer people came to the UK via EU 'Freedom of Movement' so the response of government was to simply issue more visas to those who wanted to come from other countries.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... government was to simply issue more visas to those who wanted to come from other countries.
Despite Brexit reducing immigration from the EU this has simply been replaced by immigration from elsewhere.
The result has been that although the UK government had the opportunity to reduce..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...The result has been that although the UK government had the opportunity to reduce immigration since 2016 they actively chose to keep it at the same high levels. In fact in the three years that followed the vote to leave the EU net immigration added yet another 750,000 people to the population and in 2019 85% of these were non-EU immigrants. Now why would the government be doing this?
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... this?
Well the fundamental problem Great Britain has at the moment is that we, as individuals, are not getting more productive. This has been an issue to successive governments who, rightly or wrongly, want an economy that grows (as has been seen by an obsession in increasing GDP).
Now if..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...Now if people are not getting more productive the only way to grow is to get more people. So while politicians have been promising to bring net immigration down to 100,000 per year they know on the flip side this will choke economic growth and so are reluctant to take any real action towards this goal.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... towards this goal.
The only net immigration influence turned out to be the Covid Pandemic which made moving country much more difficult. However as this event seems to gradually be passing there is no reason why previous patterns will not re-establish themselves.
In short, over the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... why previous patterns will not re-establish themselves.
In short, over the medium term, high immigration numbers look set to continue post Brexit providing increased demand on the housing market. In other words … higher prices.
That said the very high migration figures for the last two..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... In other words … higher prices.
That said the very high migration figures for the last two years are skewed by population movements from the war in Ukraine. It will probably be a few years yet before we can see the true net movements for the early 2020s.
Immigration aside some..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...Immigration aside some commentators pondered the idea that Brexit would trigger a recession that in itself would bring down house prices. However most economists never viewed leaving the EU as a recession causing event in itself suggesting instead that it would only lead to lower levels of growth over the long term.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... itself suggesting instead that it would only lead to lower levels of growth over the long term.
As such a Brexit induced recession looks unlikely and so does any substantial fall in house prices
- Covid 19 and House Prices -
The long term effects of the massive economic shock that came..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... growth over the long term.
As such a Brexit induced recession looks unlikely and so does any substantial fall in house prices
- Covid 19 and House Prices -
The long term effects of the massive economic shock that came with numerous lock downs is still hard to predict. The UK economy has,..."
"... - Covid 19 and House Prices -
The long term effects of the massive economic shock that came with numerous lock downs is still hard to predict. The UK economy has, to some extent, bounced back but it is now dealing with other after shocks such as high inflation.
In any normal times such a..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... now dealing with other after shocks such as high inflation.
In any normal times such a recession may have lead to a fall in property prices but there are actually a number of factors at play here which point to increases instead.
We would expect people, in normal times, to push what they..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... We would expect people, in normal times, to push what they have into safe havens like bank accounts. However interest rates were close to zero, and a some even talked about possible negative rates, many have seen bricks and mortar or stocks and shares (or even gold) as safer options.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... This is why we have the strange situation that the economy may be in (and out) of recession but house prices and the stock market continue to grow. For many savers property offers a place where their funds will at least keep up with inflation. Inflation which simply eats away at cash in the bank.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... at least keep up with inflation. Inflation which simply eats away at cash in the bank.
The Covid related recession was fairly short lived so any substantial decrease in house prices was always unlikely.
Some argued that the real outcome of Covid would only be seen some time post 2021 when..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... lived so any substantial decrease in house prices was always unlikely.
Some argued that the real outcome of Covid would only be seen some time post 2021 when the new level of national debt was fully understood.
However borrowing remains historically low and there have been periods in..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...However borrowing remains historically low and there have been periods in the past when the UK economy has continued to grow even when debt was over 200% of its GDP so again it is difficult to see how this situation alone could trigger a recession that would be strong enough to bring house prices down.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... to bring house prices down.
Perhaps the only Covid related factor that could effect house prices is a general rate of inflation higher than house price inflation. But even the relatively stagnant house price rises of 2024 were still nearly twice that of inflation.
Finally Covid slowed the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... that of inflation.
Finally Covid slowed the rate of construction. The number of new dwellings being added to the UK property stock fell from 243,770 in 2020 to 216,490 in 2021 reducing supply while demand remained strong. In this sense Covid actually caused price rises.
- Property Market..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... 243,770 in 2020 to 216,490 in 2021 reducing supply while demand remained strong. In this sense Covid actually caused price rises.
- Property Market Summary -
All this points to long term price rises but we must be very clear here. Long term does not mean continuous, just that property..."
"... - Property Market Summary -
All this points to long term price rises but we must be very clear here. Long term does not mean continuous, just that property prices will be higher in ten years time than they are now but there might be falls along the way.
As a perfect example most people..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...As a perfect example most people believe property prices in London rose non-stop between 2000 and 2008 (when the Credit Crisis began) but the truth is very different. Prices fell three times. Once in 2001 by 6%; then again in 2004 by 3% and once more in 2005 by 4%. They were not year on year falls but quarter on quarter so the graphs that most of the media use for reporting showed nothing.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... were not year on year falls but quarter on quarter so the graphs that most of the media use for reporting showed nothing.
These fluctuations continue to this day.
The basic principles of demand and supply and all the basic economic data points to long term price rises for..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... media use for reporting showed nothing.
These fluctuations continue to this day.
The basic principles of demand and supply and all the basic economic data points to long term price rises for properties.
The Difference with Local Property Markets -
National property prices dominate the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... basic principles of demand and supply and all the basic economic data points to long term price rises for properties.
The Difference with Local Property Markets -
National property prices dominate the headlines and can often eclipse all else. But only investors search on a national..."
"... Difference with Local Property Markets -
National property prices dominate the headlines and can often eclipse all else. But only investors search on a national level, most buyers are looking to purchase in a particular location.
So while, on average, property prices might..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...So while, on average, property prices might increase or decrease - what happens on a regional basis can be quite the opposite of the national picture. Individual areas can experience their own booms and busts which leave some reaping extraordinary short term profits and others languishing in negative equity for years. These stories are rarely reported because, to the media, they have too small an audience to be profitable.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...Such incidents often happen in 'up and coming' areas which experience waves of interest and a classic case is the London borough of Clapham. In 2001 it was seen as 'the next hotspot' following a major investment by the supermarket Sainsburys. Buyers rushed in pushing the price of two-bedroomed flats up twenty percent to around £250,000.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...But the interest was short lived and the properties soon lost over ten percent of their values. Buyers at the peak were left in negative equity until 2004 when the area truly started to come of age. In a heated Spring market the same properties reached peak prices of £270,000 before once again falling back in the Summer and then recovering in the Autumn.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...What happened between 2001 and 2004 demonstrated a mini boom and bust on a local level. It happens continuously across the country and is noticed only by those it affects. For the many who owned properties in Clapham over a longer time period, they may never have even known they were in negative equity as by 2009 the average price had risen to £340,000.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in negative equity as by 2009 the average price had risen to £340,000.
What happened between the Spring of 2004 and Autumn of the same year in Clapham is common to the Annual Property market and this is covered below.
- The Annual Property Cycle -
Know the annual cycle, be prepared for..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... the Spring of 2004 and Autumn of the same year in Clapham is common to the Annual Property market and this is covered below.
- The Annual Property Cycle -
Know the annual cycle, be prepared for it, and you will buy wisely no matter what your needs are.
Despite what the media might..."
"... to the Annual Property market and this is covered below.
- The Annual Property Cycle -
Know the annual cycle, be prepared for it, and you will buy wisely no matter what your needs are.
Despite what the media might say in its' headlines the property market does actually move down as..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... what your needs are.
Despite what the media might say in its' headlines the property market does actually move down as well as up on a regular basis. There are dips and peaks which are generally misrepresented by the press causing mini panics in both directions.
The annual cycle works..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...
The annual cycle works something like this. Large numbers of prospective buyers recover from Christmas and think this is the year to move. Nothing much happens in January as the financial stretch that was Yuletide is recovered and many wait for confirmation of their bonuses.
By..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...By February both sellers and buyers are starting to test the market and by Easter things are in full swing. This is the time of year that you will expect to see the most choice on the market but because you are competing with the highest number of buyers you will pay a premium in a rising market. If you are not fussy don't buy now. If you are looking for something specific bite your lip and accept it.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... for something specific bite your lip and accept it.
By mid June many buyers' and vendors' minds are turning to summer holidays and the market is left with those properties that didn't sell along with a splattering of new homes coming on.
There is less to choose from but it may be possible..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...There is less to choose from but it may be possible to pick up a bargain from a vendor who did not sell in the Spring and is feeling sorry for themselves. Buyers who did not find anything in the Spring are disappointed by the poor choice now available and are hesitant to make offers. We are now entering the phase that the professional investor operates in.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... In July and August the sunshine and holidays mean most buyers don't want to be spending their weekends and long evenings house hunting. Any vendors on the market must have a pretty good reason to sell so although choice will be very low, if it is a deal you are after, now is the time to get it.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...In September and October the buyers return. A rest on some sunny beach (and in some cases the kids back at school) puts everyone in a good mood. For those who rented their own apartments or houses while on vacation, the idea of coming back to a shared flat or a smaller property is not an attractive one.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... shared flat or a smaller property is not an attractive one.
Vendors are also back and choice is once again good. The same advice follows as the Spring because agents are already valuing higher in anticipation for a busy period.
The intensity of the Autumn market often outperforms the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... agents are already valuing higher in anticipation for a busy period.
The intensity of the Autumn market often outperforms the Spring as buyers compete frantically to find and be into a new home by Christmas, so watch out.
November and December are like June and July. If you want a bargain..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... November and December are like June and July. If you want a bargain and don't need choice get out there. A low offer but the promise that the vendor could have the money by Christmas will be temptation and as most other buyers are saving for the festivities you can expect to negotiate a low price.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...There is a trap here that no end of first time buyers fall into. They go out looking in November just to see what is around and get an idea of prices. They decide to wait until the New Year to see more choice. In the New Year prices are rising. Everything they view is worse than what they looked at before Christmas but costs more. They keep looking and prices keep rising. They decide to wait for prices to fall which then starts to happen in the Summer. Now there is nothing to choose from and what is available, even at lower prices is still more expensive than what they saw before Christmas. They wait until Autumn but prices then start to rise again and although they may make offers, they base these on the Summer market and they are outbid by other buyers. Before they know it they have been looking for a year and spent thousands more pounds in rent. A £200,000 property now costs £220,000. All told the year has easily cost them over £30,000 in rent and lost capital gain. Defiantly some change areas and start the whole cycle all over again!
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... capital gain. Defiantly some change areas and start the whole cycle all over again!
The pattern of the annual property cycle is shown graphically on the next page as a representation of what happens.
Despite what the media reports, prices actually rise and fall throughout the year. These..."
"... on the next page as a representation of what happens.
Despite what the media reports, prices actually rise and fall throughout the year. These changes reflect the way buyer and seller priorities change on an annual basis.
This is a rough outline and not to be taken in absolute terms...."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"...This is a rough outline and not to be taken in absolute terms. Sometimes, for example, there are more properties on the market than there are active applicants. The pattern in the graph also represents 'price agreed' - what is actually happening in real time. Experience teaches you the traditional cycle but there is no resource on the web or otherwise to tell if, for example, the market has reached the bottom of the summer slow down or the top of the spring rise. The figures that you see reported statistically are usually completions or mortgage applications and these can refer to sales which were agreed any time from one week to six months previously.
..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... or mortgage applications and these can refer to sales which were agreed any time from one week to six months previously.
- Variations in the Annual Property Cycle -
The annual property cycle is knocked off course from time to time by outside events which cause a loss of confidence in..."
"... - Variations in the Annual Property Cycle -
The annual property cycle is knocked off course from time to time by outside events which cause a loss of confidence in property, just as some events cause the price of stocks and shares to plunge.
Recent examples include the 9/11 attacks on the..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... some events cause the price of stocks and shares to plunge.
Recent examples include the 9/11 attacks on the World Trade Centre in 2001, the war in Iraq in 2003, the Credit Crunch of 2008 and the Covid Pandemic that started in 2020.
For more information on factors like these and how they..."
"... in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes
What's covered in this chapter
Property prices since 1975;
What drives property prices apart from salaries;
What will happen to property..."
"... in 2003, the Credit Crunch of 2008 and the Covid Pandemic that started in 2020.
For more information on factors like these and how they affect the property market see Chapter 6: Property Bubbles and Market Crashes..."
Chapter 5:
Is the Property Market Overvalued?
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage. What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market innovates;
When..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... such as average salaries, past trends and inumerable other factors continue to rage. Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market innovates;
When historical data can be misleading;
Why applying..."
"... other factors continue to rage. Why logic does not seem to apply;
How the market innovates;
When historical data can be misleading;
Why applying logic doesn't work;
Why calculating price per..."
"... to rage. How the market innovates;
When historical data can be misleading;
Why applying logic doesn't work;
Why calculating price per square foot doesn't work;
The..."
"... modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market innovates;
When historical data can be misleading;
Why applying logic doesn't work;
Why calculating price per square foot doesn't work;
The true story of a buyer who paid twice..."
"... the market is so difficult;
Why logic does not seem to apply;
How the market innovates;
When historical data can be misleading;
Why applying logic doesn't work;
Why calculating price per square foot doesn't work;
The true story of a buyer who paid twice the asking price.
- Modelling..."
"... not seem to apply;
How the market innovates;
When historical data can be misleading;
Why applying logic doesn't work;
Why calculating price per square foot doesn't work;
The true story of a buyer who paid twice the asking price.
- Modelling the Property Market -
First time buyers..."
"... data can be misleading;
Why applying logic doesn't work;
Why calculating price per square foot doesn't work;
The true story of a buyer who paid twice the asking price.
- Modelling the Property Market -
First time buyers and amateur investors tend to have a habit of modelling..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... work;
Why calculating price per square foot doesn't work;
The true story of a buyer who paid twice the asking price.
- Modelling the Property Market -
First time buyers and amateur investors tend to have a habit of modelling the property market in no end of ways. They look at what..."
"...First time buyers and amateur investors tend to have a habit of modelling the property market in no end of ways. They look at what the average buyer is borrowing or how much of their disposable income they are using or basically search down any data that will support their argument that the market will crash violently and they will be able to buy a two bedroomed property in EC1 for £50,000.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... the market will crash violently and they will be able to buy a two bedroomed property in EC1 for £50,000.
No matter what you put in your fantastic spreadsheet remember this:
There are far more clever, far more qualified people than you who have studied the market for far longer than..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... what you put in your fantastic spreadsheet remember this:
There are far more clever, far more qualified people than you who have studied the market for far longer than you and still got their predictions completely and utterly wrong.
A perfect example was the Nationwide, much of whose..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... and utterly wrong.
A perfect example was the Nationwide, much of whose business rests on the property market. In January 2013 they predicted house prices for the year would be static. According to their own records prices actually rose 8% in the following 12 months.
Capital Economics, a..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... actually rose 8% in the following 12 months.
Capital Economics, a major think tank with massive statistical resources at their disposal, predicted property prices would drop 20% in 2009 but they did nothing of the sort and remained static.
And they can just as easily be wrong in the..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...And they can just as easily be wrong in the other direction. In late 2007 most lenders were predicting a market where prices would remain static the following year. By March they were all revising their forecasts again. The effects of unknown global events made prediction a very rough guess at best.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... of unknown global events made prediction a very rough guess at best.
A full analysis of the 'property experts' used by the media and their track records up to 2012 is in the chapter Making House Price Predictions
True Story - pounds per square foot in Kings Cross
Tanya wanted to buy..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... 'property experts' used by the media and their track records up to 2012 is in the chapter Making House Price Predictions
True Story - pounds per square foot in Kings Cross
Tanya wanted to buy a two bedroom 890 square foot flat in the Ice Wharf development by Kings Cross. The property was on..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...Tanya wanted to buy a two bedroom 890 square foot flat in the Ice Wharf development by Kings Cross. The property was on the market for £290,000 but this was beyond her budget. She spent hours on the internet investigating the sizes and prices of other flats in the area and came to the conclusion, with the help of a large spreadsheet, that the going rate for a flat in the area was £269 per square foot which meant the property she wanted was really worth about £240,000.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... about £240,000.
She made her offer and was at lengths to insist that her evidence was passed onto the vendor. The offer was rejected and three weeks later the flat went to sealed bids with two completely different buyers and exchanged a month after that for £302,000.
Tanya's evidence..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... Tanya's evidence was absolutely sound but what she had failed to understand was that certain developments within an area hold far more appeal than others. It's a fact she should have recognised because she did not want to buy any of the other properties that she had based her evidence on.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... not want to buy any of the other properties that she had based her evidence on.
So why is it, with all the research based on seemingly sensible data, that the property market does not react the way it should.
There are three fundamental reasons:
The property market innovates
Averages..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... why is it, with all the research based on seemingly sensible data, that the property market does not react the way it should.
There are three fundamental reasons:
The property market innovates
Averages just don't work
History is not always a prediction of the future
- The Property..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... on seemingly sensible data, that the property market does not react the way it should.
There are three fundamental reasons:
The property market innovates
Averages just don't work
History is not always a prediction of the future
- The Property Market Innovates -
Simply put..."
"... that the property market does not react the way it should.
There are three fundamental reasons:
The property market innovates
Averages just don't work
History is not always a prediction of the future
- The Property Market Innovates -
Simply put lenders and property sellers..."
"... react the way it should.
There are three fundamental reasons:
The property market innovates
Averages just don't work
History is not always a prediction of the future
- The Property Market Innovates -
Simply put lenders and property sellers continue to find ways to ensure prices can..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... reasons:
The property market innovates
Averages just don't work
History is not always a prediction of the future
- The Property Market Innovates -
Simply put lenders and property sellers continue to find ways to ensure prices can continue to rise over the long term. In the..."
"...Simply put lenders and property sellers continue to find ways to ensure prices can continue to rise over the long term. In the 1960s this was the introduction of the mortgage. Highly unpopular at the time, when debt was frowned upon, they have now become a way of life and allowed property prices to rise faster than salaries.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... than salaries.
In the 1990s it was 100% mortgages which rid the need for buyers to find a deposit. In the millennium it is shared ownership so the buyer only needs to find 50% of the property value or mortgages spread over more than the traditional twenty-five years.
Making predictions..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... over more than the traditional twenty-five years.
Making predictions using the products of the day has long been seen as misleading but the media and other "experts" continue to do it as they cannot predict how the market may innovate.
A classic historical example was work carried out in..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...A classic historical example was work carried out in the 1800s which looked at the rapidly rising population of the UK and concluded there would soon not be enough food to go round. This meant starvation along with civil unrest could not be far away. But agriculture innovated. The number of people living on this small island is now far beyond what our Victorian mathematicians imagined and there is still food on the table.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... living on this small island is now far beyond what our Victorian mathematicians imagined and there is still food on the table.
- Averages Just Don't Work -
One of the key measures commentators on the market use when speculating the future of the housing market are long term averages. For..."
"... Work -
One of the key measures commentators on the market use when speculating the future of the housing market are long term averages. For example, the logic goes that if the average property price has reached four times the average salary then real estate values can no longer move up.
But..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... the average salary then real estate values can no longer move up.
But these is a highly misleading methods. Highly misleading but easy for people to understand and so ideal for newspaper columns or the evening news.
We can see just how irrelevant they are in the market of Manhattan, New..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...We can see just how irrelevant they are in the market of Manhattan, New York. Even for some of the most well paid professionals who work in the city buying a property is out of the question. So logically values should fall but they don't and most people rent from the few who can actually afford to buy.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... afford to buy.
It was not always like this. At one time an apartment in the city centre was affordable but there came a moment when prices went beyond the local population and instead of falling back as economic models said they should, they just kept on rising.
And if that was the..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... falling back as economic models said they should, they just kept on rising.
And if that was the case in New York, could the same not eventually happen in London, Manchester, Birmingham or any major town or city?
- The Connection Between Average Salaries and Average Property Prices -..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... New York, could the same not eventually happen in London, Manchester, Birmingham or any major town or city?
- The Connection Between Average Salaries and Average Property Prices -
Average salaries and average property prices are in fact only related in the weakest of terms. Ask any..."
"... and Average Property Prices -
Average salaries and average property prices are in fact only related in the weakest of terms. Ask any statistician to find you the correlation (connection) between the two and they will conclude it is extremely low.
Broadly this is because the..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... to find you the correlation (connection) between the two and they will conclude it is extremely low.
Broadly this is because the connection at any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... two and they will conclude it is extremely low.
Broadly this is because the connection at any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can..."
"... it is extremely low.
Broadly this is because the connection at any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for..."
"...
Broadly this is because the connection at any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for Holiday Homes -
A..."
"... is because the connection at any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for Holiday Homes -
A perfect example..."
"... any level is affected by the following:
Buying for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for Holiday Homes -
A perfect example of this is North Wales where..."
"... for holiday homes
Buying for retirement
Buying to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for Holiday Homes -
A perfect example of this is North Wales where properties captured the imagination of..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... to let
Buying for business
Buyers from outside the region or country
People who don't buy but can afford to
- Buying for Holiday Homes -
A perfect example of this is North Wales where properties captured the imagination of residents from Manchester, Birmingham and..."
"...A perfect example of this is North Wales where properties captured the imagination of residents from Manchester, Birmingham and London who purchased cottages for their weekend breaks and vacations. It wasn't long before locals were priced out because the market was, and remains, driven by 'foreign' populations.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... and vacations. It wasn't long before locals were priced out because the market was, and remains, driven by 'foreign' populations.
- Buying for Retirement -
This can be seen at work in Norfolk and Cornwall where large numbers retiring from the cities cash in their properties and purchase..."
"... populations.
- Buying for Retirement -
This can be seen at work in Norfolk and Cornwall where large numbers retiring from the cities cash in their properties and purchase houses in more distant locations moving prices beyond the means of locals.
- Buying to Let -
This is especially..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... from the cities cash in their properties and purchase houses in more distant locations moving prices beyond the means of locals.
- Buying to Let -
This is especially prevalent in university cities and towns. Nottingham, for example, has a large student population and this attracts..."
"...This is especially prevalent in university cities and towns. Nottingham, for example, has a large student population and this attracts investors from richer cities such as London. Their earnings and purchasing power cannot be taken into account, neither can their numbers be predicted. In cities such as New York these investors have priced the local population out completely so the large majority of people expect to rent for their entire life. There is no expectation that prices will reduce so that they can buy.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... large majority of people expect to rent for their entire life. There is no expectation that prices will reduce so that they can buy.
- Buying for Business -
Many businesses who have staff that travel on a regular basis buy property to house them. Thus a bank might buy thirty apartments to be..."
"... - Buying for Business -
Many businesses who have staff that travel on a regular basis buy property to house them. Thus a bank might buy thirty apartments to be used by their staff rather than pay hotels or rental agencies. They don't take mortgages, they buy for cash.
- Buyers from Outside..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... to be used by their staff rather than pay hotels or rental agencies. They don't take mortgages, they buy for cash.
- Buyers from Outside the Region or Country -
Property has become a global commodity. In the financial district that is the city of London 40% of real estate is owned by..."
"... buy for cash.
- Buyers from Outside the Region or Country -
Property has become a global commodity. In the financial district that is the city of London 40% of real estate is owned by non-British companies or individuals.
The credit crisis which started in 2008 also demonstrated this..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...The credit crisis which started in 2008 also demonstrated this effect. Many foreign investors saw British property has a safe haven while stocks and shares were volatile. Switching their funds to UK bricks and mortar may have had an impact in the way real estate prices did not waiver that much during the crisis.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... the crisis.
In Spain there are areas almost exclusively owned by non-nationals and so any sort of analysis looking at local salaries is generally pointless. In fact in these areas it is better to look at the average salaries of those from a completely different country.
- Can Afford,..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... pointless. In fact in these areas it is better to look at the average salaries of those from a completely different country.
- Can Afford, Won't Buy -
In the same way that buyers can drive the price of property above local affordability (on paper) there can also be scenarios where..."
"...In the same way that buyers can drive the price of property above local affordability (on paper) there can also be scenarios where property prices are well within the grasp of the population but they just don't want to buy. In Germany, for example, there is a culture of renting with someone else taking care of the maintenance. Statistically property prices should rise dramatically as there is a large gap between prices and the buying power of purchasers but it doesn't as actual demand does not exist.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... there is a large gap between prices and the buying power of purchasers but it doesn't as actual demand does not exist.
- History is not Always a Prediction of the Future -
Another favourite measure is to look at averages in historical data. For example taking the Nationwide's house price..."
"...Another favourite measure is to look at averages in historical data. For example taking the Nationwide's house price data from 1974 to 2010 the average rise per year is around 4.5%. Therefore we can conclude any annual rise above this is a sign of the market overheating. Or the long term average for mortgage debt is x% of GDP and so any figure above this must mean there are too many mortgages.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...But historical data is exactly that and should not be confused with the future. Take a simple situation where Mr A puts £1,000 into a bank account that offers no interest and leaves it for 10 years. His long term 'average savings' are £1,000 ( 10 x £1,000 / 10 years). In year 11 he adds another 1,000 so now his long term 'average savings' are £1,090 ((10 x £1,000 + 1 x £2,000) / 11 years).
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...A bank clerk might look at the account and think, we have a client that wants to borrow £1,300 so we could use Mr A's savings for that. But someone looking at it as a long term average will say 'no, on average he only has £1,090 so we can't lend it'. He would wait until the savings have been untouched for 15 years before touching the cash. And all the time the situation is changing. By year 15 Mr A's long term average for savings is £1,333.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...There is £2,000 in the account but some commentators will continually state 'Mr A's long term average is 1,333 so he currently has too much money in his account and he is bound to make a withdrawal soon to take his account back to its long term average'. The fact that there is £2,000 in the account cannot be believed.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... cannot be believed.
Now a more bullish clerk comes along and knows of a client that wants to borrow £2,500 in 5 years time. He looks at Mr A's account and says, 'Ah, Mr A - on average - deposits £1,000 every 10 years so I can use his money to lend to my client.'
Both clerks are using..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... on average - deposits £1,000 every 10 years so I can use his money to lend to my client.'
Both clerks are using sound data and both are drawing very different conclusions, both could be very wrong.
Using property we can also produce meaningless information. According to the Nationwide the..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...Using property we can also produce meaningless information. According to the Nationwide the average price of a UK home at the end of 1999 was £74,683 but the average for the ten years before was £56,713. So it should follow that house prices would decrease back to their 'long term' average but they didn't.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... before was £56,713. So it should follow that house prices would decrease back to their 'long term' average but they didn't.
- The Emotions in the Property Market -
When it comes to making models and predictions even some of the most seasoned economists have come unstuck because of the way..."
"...When it comes to making models and predictions even some of the most seasoned economists have come unstuck because of the way they apply logic to the housing market. Logic in economics has strong foundations and can be seen in daily life. If tea becomes too expensive people switch to coffee - substitution. If the price of petrol rises, consumption does not drop dramatically - elasticity of demand. And of course if property prices start to decrease people should stop buying - deflation.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... if property prices start to decrease people should stop buying - deflation.
But not all people follow logic when it comes to buying bricks and mortar. They should, but they don't for a number of reasons:
Life is short - prices may be going down and it might be possible to buy the same..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... Life is short - prices may be going down and it might be possible to buy the same property for less next year, or even the year after. But for the many who are buying a home that is two years of their life that they will spend in someone else's property and that is two years too long.
The..."
"... and that is two years too long.
The need to own - Britain is one of many countries where people yearn for their own roof and four walls. It's an emotion that doesn't apply in Germany where a vast sector of the population rent for their entire lives.
Speculating - while a market is falling..."
"... of the population rent for their entire lives.
Speculating - while a market is falling no one quite knows where the bottom will be and when it will be reached so there will be plenty of investors who think it must be 'about now'. Some will be right.
The hassle factor - if someone needs to move,..."
"...The hassle factor - if someone needs to move, say because of a new job, they could be sensible and rent in the new location first before buying. It would be a very good idea in a falling market. But it would mean moving again when there are definite signs the market is recovering and, especially if an entire family is on the move, the potential loss is worth it to avoid the hassle of a double move.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... and, especially if an entire family is on the move, the potential loss is worth it to avoid the hassle of a double move.
True Story - Paying Double the Asking Price
A house ideal for a well-to-do family had come onto the market in Kensington. Prices were generally stagnant and the press..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...A house ideal for a well-to-do family had come onto the market in Kensington. Prices were generally stagnant and the press was full of stories about an imminent crash but this did not stop three parties all offering on the property at the asking price of £1.1 million. The vendor decided to ask for sealed bids. Each of the three parties would put forward their best offer and the highest bid would get the house.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... In the event the highest bid was £2.1 million, nearly twice the asking price. When the buyer was asked why he had made such an offer he replied, "I want this house as a place to bring up my family over the next twenty years. By then I expect it will be worth about £2.1 million".
He..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... next twenty years. By then I expect it will be worth about £2.1 million".
He was not the least bit motivated by the hope of profit in his purchase, but by his desire to buy the right home for his fledgling family.
- Summary -
Modelling the market in order to make predictions has..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... was not the least bit motivated by the hope of profit in his purchase, but by his desire to buy the right home for his fledgling family.
- Summary -
Modelling the market in order to make predictions has proved unsuccessful for even the professionals and much of this has come from the issue..."
"... family.
- Summary -
Modelling the market in order to make predictions has proved unsuccessful for even the professionals and much of this has come from the issue that the property market is not based on the data must people assume it should be.
We can add to this the fact that..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... data must people assume it should be.
We can add to this the fact that buyers and sellers do not always follow a 'sensible' logic but are lead by different emotions and motivations than simply to wait for a crash or wait for a crash to bottom out.
And finally an increasingly mobile and..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... a crash or wait for a crash to bottom out.
And finally an increasingly mobile and demographic population, both nationally and internationally, means any future ability to make accurate predictions based on local data will be even more difficult.
So can we tell if any particular property..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"...So can we tell if any particular property market is over-valued? Only if there are absolute crystal clear facts at our disposal. In the 2007 sub-prime mortgage market of North America it was obvious that most borrowers were not going to be able to pay back their loan when the initial promotional interest rate ended and the market was being supported by further such borrowers on further such unsustainable credit.
..."
"... agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage.
What's covered in this chapter
Why modelling or predicting the market is so difficult;
Why logic does not seem to apply;
How the market..."
"... on further such unsustainable credit.
But very rarely are there such red flags to hold everyone in agreement and this is why arguments over the validity of data such as average salaries, past trends and inumerable other factors continue to rage...."
Chapter 6:
Property Bubbles and Market Crashes
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market. What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to market busts;
What..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... few property owners who are prepared to offer their real estate to the market. The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to market busts;
What the UK property market follows;
The role of..."
"... to the market. Examples of bubbles bursting compared to market busts;
What the UK property market follows;
The role of confidence and capitalism in the property markets;
Why the UK has..."
"... difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to market busts;
What the UK property market follows;
The role of confidence and capitalism in the property markets;
Why the UK has never had a property bubble;
When the figures..."
"... Busts and Crashes;
Examples of bubbles bursting compared to market busts;
What the UK property market follows;
The role of confidence and capitalism in the property markets;
Why the UK has never had a property bubble;
When the figures cannot be trusted;
Understanding the statistics;
How..."
"... to market busts;
What the UK property market follows;
The role of confidence and capitalism in the property markets;
Why the UK has never had a property bubble;
When the figures cannot be trusted;
Understanding the statistics;
How demand can fall but prices remain static.
In..."
"... market follows;
The role of confidence and capitalism in the property markets;
Why the UK has never had a property bubble;
When the figures cannot be trusted;
Understanding the statistics;
How demand can fall but prices remain static.
In previous chapters we have seen that it is..."
"... confidence and capitalism in the property markets;
Why the UK has never had a property bubble;
When the figures cannot be trusted;
Understanding the statistics;
How demand can fall but prices remain static.
In previous chapters we have seen that it is almost impossible to understand,..."
"... markets;
Why the UK has never had a property bubble;
When the figures cannot be trusted;
Understanding the statistics;
How demand can fall but prices remain static.
In previous chapters we have seen that it is almost impossible to understand, let alone predict, property prices to any..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... In previous chapters we have seen that it is almost impossible to understand, let alone predict, property prices to any great degree of accuracy. The occasional person or organisation that does get it right once is then, more often than not, unable to repeat their success.
We have..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... unable to repeat their success.
We have already looked at how an increasingly global world has an affect and also at why buyers and sellers do not seem to follow the logic economists would like them to in order to make their models of the market work.
But we do know, from experience,..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... models of the market work.
But we do know, from experience, that property in Britain has booms and busts. One of the underlying reasons for this is that real estate, like the economy in general, suffers from bouts of over confidence and under confidence.
In the good times most people..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... bouts of over confidence and under confidence.
In the good times most people start to get carried away. They buy shares because the stock market always seems to be going up. They buy property because newspapers report ever rising prices.
To start with these increases are real. As a..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...To start with these increases are real. As a country moves out of recession wealth is created allowing values to improve. At some point however there is too much confidence. Like the casino visitor on a winning streak, its hard to stop. This is not just in property, but in everything. The business cycle is moving into its' boom period.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... cycle is moving into its' boom period.
Eventually there is an event, such as the global credit crisis of 2008, which shakes confidence out of the system, and a bust occurs. Shares slide, property prices sink and the economy moves into recession.
At this point, en masse, the population is..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... moves into recession.
At this point, en masse, the population is under confident. Concerned for their own lives and financial security they become over cautious and everything from the stock market to an apartment's selling price are below what they should be.
But economies move on and..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... and everything from the stock market to an apartment's selling price are below what they should be.
But economies move on and confidence returns to start the business cycle all over again.
Economists have, for nearly one hundred years, been trying to find a formula where steady growth can..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... the business cycle all over again.
Economists have, for nearly one hundred years, been trying to find a formula where steady growth can be achieved without the booms and busts but it is an almost impossible task given the emotional swings of human nature.
Speculators have also been trying..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... impossible task given the emotional swings of human nature.
Speculators have also been trying to predict exactly when a bust will happen with, as we have seen earlier, the same success as the economists - very little.
Investors in stocks, shares and properties try to guess when should..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... little.
Investors in stocks, shares and properties try to guess when should be the best time to sell. When has confidence taken over from reality and when will there be an event or moment that causes this confidence to be removed. Some manage it, some are lucky, some are not.
No matter..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... some are lucky, some are not.
No matter what is printed on these pages, if you own one property or a portfolio and prices are rising, it is difficult to make that selling decision. If it were easy and everyone were level headed there would not be booms or busts.
- Confidence and Capitalism..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... it is difficult to make that selling decision. If it were easy and everyone were level headed there would not be booms or busts.
- Confidence and Capitalism -
The capitalist system is built on surprisingly fragile foundations. We believe if we go to the bank we can take out our money but if..."
"... and Capitalism -
The capitalist system is built on surprisingly fragile foundations. We believe if we go to the bank we can take out our money but if everyone tried this at the same time it would not be possible. Most of it is imaginary, not even existing in printed form.
Even if all the..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...Even if all the pounds and dollars were there much is on loan to others and so could not be made available to every account holder immediately. And when it comes down to it the paper it is printed on is not tied to anything except confidence. We all have to believe, otherwise it is worth nothing and society would stop functioning.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...Stocks and shares have a similar story. Companies are only worth what someone is prepared to pay and much of this value is also confidence. There is a problem with oil and airline shares move down. The oil crises finishes and airline shares move up. Nothing in the companies operations or assets have changed, only people's confidence.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... But no one has ever thought to add all the values of stocks and shares together and then say they are over valued compared to the money people have. They don't because stocks and shares are bought and sold on a global stage and so it would be too difficult to calculate.
Now..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... would be too difficult to calculate.
Now property is increasingly becoming a worldwide commodity but there are those who cannot let go of the idea that real estate values are anchored on the wealth of those who live in a country, or even a given location.
The truth is property prices are..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... of those who live in a country, or even a given location.
The truth is property prices are held up by, and increase because of, confidence. But then so are the stock exchanges, the banks and the whole of the capitalist system.
It is little wonder that Russian socialists during the Cold..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... But then so are the stock exchanges, the banks and the whole of the capitalist system.
It is little wonder that Russian socialists during the Cold War thought the West would fall apart before they did.
In fact, if anything, the crisis of 2008 has shown clearly to what extent nations will..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...In fact, if anything, the crisis of 2008 has shown clearly to what extent nations will go to in order to maintain the essential confidence that glues the system together. In many countries, including the UK, protecting property prices from large falls was part of that plan and a political necessity.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... In many countries, including the UK, protecting property prices from large falls was part of that plan and a political necessity.
- Property Bubbles -
Bubbles are often confused with booms and crucially property booms are often misreported as property bubbles.
For a property bubble..."
"... from large falls was part of that plan and a political necessity.
- Property Bubbles -
Bubbles are often confused with booms and crucially property booms are often misreported as property bubbles.
For a property bubble to occur real estate must be over valued by the market in isolation...."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... as property bubbles.
For a property bubble to occur real estate must be over valued by the market in isolation. If, in 2008, the economy had continued to grow but house prices had started to drop then it could be said that there had been a property bubble.
A perfect example of a real..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...A perfect example of a real bubble was the route that dotcom shares followed in the late nineties and at the start of the millennium. There was an over confidence in what internet companies could achieve and a strange concept that the more money the company lost (known then as its "burn rate"), the better it was.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...Investors and individuals piled in, driving the share prices of on-line companies sky high, a bubble was occurring. The burn rate theory might have been right, this was new technology and virgin territory. But it wasn't. Investors pulled out, the bubble burst and share prices for many internet related businesses plummeted.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... out, the bubble burst and share prices for many internet related businesses plummeted.
Crucially this happened with little affect on the rest of the economy. On it's own it can sensibly be called a bubble.
Understand the difference between a boom and a bubble and you realize that there has..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... on the rest of the economy. On it's own it can sensibly be called a bubble.
Understand the difference between a boom and a bubble and you realize that there has never actually been a property bubble in the UK.
The early nineties saw houses prices fall as the economy moved into recession..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...The early nineties saw houses prices fall as the economy moved into recession and rose as it came out the other side. The same events followed the 2008 downturn and in both cases changes in value from peak to trough were less than 20% . British property follows the business cycle of Boom and Bust rather than a separate and isolated Bubble and Burst.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...The boom-bust problem can also happen in a specific place or to a specific type of property. In 2001 the London borough of Clapham was tipped as the next hotspot. Young professionals keen to take advantage rushed in looking for two bedroom apartments in particular. This drove the price up to around £250,000.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...It gradually became clear that Clapham was up and coming, but not that quickly, which caused a bust and two bedroom apartments lost around ten percent of their value. A similar situation in 2004 pushed the price skyward to £270,000 but only for around eight weeks before sinking back to the same value they had been selling for three years previously. In percentage terms these were relatively small changes and so reflect boom and bust rather than bubble and bust.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...This is not to say the property bubble concept isn't valid and it does occur. Ireland was a striking example where prices moved up ever higher from the turn of the millennium. The collapse in values, over 50% from their peak, was far greater than the general recession of the country or any reduction in GDP. The business cycle had moved to the bust phases but real estate was much more than just bust, it was a burst bubble.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... burst bubble.
Some Bulgarian resorts have also seen bubbles burst as foreign investors got carried away with rapidly rising apartment prices. Property moved far beyond the reach of the local population and when the buyers from abroad began to loose interest, the bubble burst.
- When the..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... far beyond the reach of the local population and when the buyers from abroad began to loose interest, the bubble burst.
- When the Figures Lose Their Meaning -
All statisticians will tell you that in order to get a good average you need a great deal of data. For this reason market..."
"...All statisticians will tell you that in order to get a good average you need a great deal of data. For this reason market researches ask around one thousand people in a cross section of the population how they might, for example, vote at the next election. But even with this large sample they realize the figures could be wrong and hence the small note by every graph which reads something along the lines of "degree of error +/- 3%".
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... along the lines of "degree of error +/- 3%".
Next time you see a pole which says 45% of people support the Conservatives and 40% support Labour remember it could just as easily be 42/43 when potential errors are taken into account.
The same is true of property prices. The more..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... into account.
The same is true of property prices. The more limited your geographic search, the more wildly the data fluctuates month by month. When less people buy and sell, as was the case following 2008, areas where data used to be reliable became of little worth.
And with every..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...
And with every decrease in transactions the possible degree of error increases. This is then compounded by the actions of supply and demand. If sellers don't want to sell or don't need to sell prices will not move down to meet demand. They will wait for demand to recover and move up again.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...However the few who do need to sell must drop their price to meet demand and these are the reported figures. They are however misleading if the majority of sellers would not offer their property to the market at this level. Property has no "sell by" date and so the economic theory of supply and demand can become shaky or even stop functioning in any meaningful way.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"... has no "sell by" date and so the economic theory of supply and demand can become shaky or even stop functioning in any meaningful way.
Summary -
Booms and busts are different from bubbles and bursts but they are often mixed up by the media. In Britain there has never been a true..."
"...Booms and busts are different from bubbles and bursts but they are often mixed up by the media. In Britain there has never been a true property bubble which burst on a national scale but it has happened locally. Instead property prices follow the booms and busts of the business cycle and a way to predict this accurately has yet to be found.
..."
"... if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market.
What's covered in this chapter
The difference between Bubbles, Bursts, Booms, Busts and Crashes;
Examples of bubbles bursting compared to..."
"...Looking at the statistics can be misleading if there is not a high volume of sales for any given area or geographical region. In a falling market they can also paint an uneven picture if sellers do not want to sell and all that is reported are the few property owners who are prepared to offer their real estate to the market...."
Chapter 7:
Why Buy in a Falling Market?
"...While most buyers feel their feet turning cold there are actually very valid reasons to buy in a falling market. This does not necessarily mean prices nationally are reducing because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends.
..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends.
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply want a place to live...."
"...While most of the population is obsessed about buying in a rising market there is a large section that simply want a place to live. They will be thinking about a home for the next 25 years and know that they could wait two years, but that would be two years of their life that they could be in a place of their own.
..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... would be two years of their life that they could be in a place of their own.
The emotional drive to have their own four walls is much stronger than playing the waiting game for a crash or for the bottom of a crash.
- Why 'Second Time Buyers' buy -
Many home-owners who are looking to go up..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... drive to have their own four walls is much stronger than playing the waiting game for a crash or for the bottom of a crash.
- Why 'Second Time Buyers' buy -
Many home-owners who are looking to go up the property ladder benefit greatly from a drop in the market. They may, for example,..."
"...Many home-owners who are looking to go up the property ladder benefit greatly from a drop in the market. They may, for example, have an apartment worth £250,000 and the type of house they want is worth £500,000. If the market drops by 10% their property is worth £25,000 less but they place they want to buy has gone down by £50,000.
..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... want to buy has gone down by £50,000.
By choosing to buy in a falling market they have saved £25,000. A substantial sum of money. This difference is known as the "trading gap" and the more prices fall, the more a buyer will save when up-sizing.
- Why People Trade Down -
Second time..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... sum of money. This difference is known as the "trading gap" and the more prices fall, the more a buyer will save when up-sizing.
- Why People Trade Down -
Second time buyers benefit from the trading gap but there are also people moving the other direction, often those who have retired or..."
"... when up-sizing.
- Why People Trade Down -
Second time buyers benefit from the trading gap but there are also people moving the other direction, often those who have retired or where children have grown up and flown the nest, permanently!
Many belong to a sector where time is more..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... those who have retired or where children have grown up and flown the nest, permanently!
Many belong to a sector where time is more important than profit (as with the first time buyers mentioned above).
Those that have retired are a good example. After years working in a major town or city a..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"...Those that have retired are a good example. After years working in a major town or city a move to a rural location is popular. The mortgage is paid off and the price of out of town property is significantly lower. Now it would be prudent, if the property market was falling, to hold off until prices recover and so walk away with the maximum amount possible.
..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... the maximum amount possible.
But time is of the essence and sitting around for a few of their twilight years to maximise a profit is not on the agenda. What may seem like utter madness to someone in their twenties, makes perfect sense to someone in their sixties.
- Why Speculators or..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... the agenda. What may seem like utter madness to someone in their twenties, makes perfect sense to someone in their sixties.
- Why Speculators or Developers Buy -
Even the most educated property professional will admit they do not know when the bottom of the market will occur. Experts have..."
"... sixties.
- Why Speculators or Developers Buy -
Even the most educated property professional will admit they do not know when the bottom of the market will occur. Experts have failed to predict it time and time again so how can they?
Furthermore by the time the media is reporting a rise..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... it time and time again so how can they?
Furthermore by the time the media is reporting a rise in prices the market is already well under way and they will be competing with the stampede of a herd who were also waiting for the same message.
So at some point they will feel values have..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"...So at some point they will feel values have dropped, values may drop further, but they will eventually rise. They also know that they will be in a good bargaining position to have an offer below the asking price accepted. Many see property as a ten year investment so even a 10% loss in the short term will not make a major difference to their purchase.
..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... see property as a ten year investment so even a 10% loss in the short term will not make a major difference to their purchase.
- Why Buy to Let Investors Buy -
As far as purchase prices go their motivation is very much the same as speculators and developers (see above). But as an added..."
"... Let Investors Buy -
As far as purchase prices go their motivation is very much the same as speculators and developers (see above). But as an added bonus they know many perspective buyers have withdrawn from the market and a great deal of these will be looking to rent.
While values are..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... and a great deal of these will be looking to rent.
While values are moving down the rent that can be achieved is often substantially higher than in a rising market and so for the buy to let investor there are good profits to be made.
Summary -
Despite the somewhat grave and panic..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... can be achieved is often substantially higher than in a rising market and so for the buy to let investor there are good profits to be made.
Summary -
Despite the somewhat grave and panic stricken picture painted by the media when property prices start falling, there are actually large..."
"... there are good profits to be made.
Summary -
Despite the somewhat grave and panic stricken picture painted by the media when property prices start falling, there are actually large numbers of people for whom it is good news.
There is also a substantial body of buyers who are not..."
"... because, as we have seen in earlier chapters, local markets fall and rise all the time in a way that can be out of sync with country wide trends
- Why 'First Time Buyers' buy -
While most of the population is obsessed about buying in a rising market there is a large section that simply..."
"... of people for whom it is good news.
There is also a substantial body of buyers who are not moving for investment reasons, they are simply moving home and their motivations are driven by factors which they see as far more important than profit.
..."
"... for investment reasons, they are simply moving home and their motivations are driven by factors which they see as far more important than profit.
While most buyers feel their feet turning cold there are actually very valid reasons to buy in a falling market. This does not necessarily mean..."
Chapter 8:
Buying to Let / For an Investment
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types which produce the..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types which produce the best cash flow;
Why houses can look..."
"... he ultimately could not keep up with.
Choosing between cash flow and capital gain;
Property types which produce the best cash flow;
Why houses can look profitable to start with but end up costing more than..."
"... covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types which produce the best cash flow;
Why houses can look profitable to start with but end up costing more than they make;
How to know if an area is really 'up..."
"... property;
Choosing between cash flow and capital gain;
Property types which produce the best cash flow;
Why houses can look profitable to start with but end up costing more than they make;
How to know if an area is really 'up and coming';
Why buying off plan used to be profitable;
The..."
"... which produce the best cash flow;
Why houses can look profitable to start with but end up costing more than they make;
How to know if an area is really 'up and coming';
Why buying off plan used to be profitable;
The reality of buying off plan;
The pros and cons of property investment..."
"... can look profitable to start with but end up costing more than they make;
How to know if an area is really 'up and coming';
Why buying off plan used to be profitable;
The reality of buying off plan;
The pros and cons of property investment companies;
Why areas that are on the up might not..."
"... end up costing more than they make;
How to know if an area is really 'up and coming';
Why buying off plan used to be profitable;
The reality of buying off plan;
The pros and cons of property investment companies;
Why areas that are on the up might not be good investments;
How to be prudent..."
"... know if an area is really 'up and coming';
Why buying off plan used to be profitable;
The reality of buying off plan;
The pros and cons of property investment companies;
Why areas that are on the up might not be good investments;
How to be prudent and avoid loosing it all.
There are..."
"... off plan used to be profitable;
The reality of buying off plan;
The pros and cons of property investment companies;
Why areas that are on the up might not be good investments;
How to be prudent and avoid loosing it all.
There are no end of books that tell you how to make money from..."
"... off plan;
The pros and cons of property investment companies;
Why areas that are on the up might not be good investments;
How to be prudent and avoid loosing it all.
There are no end of books that tell you how to make money from bricks and mortar but in the end most come down to two..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... up might not be good investments;
How to be prudent and avoid loosing it all.
There are no end of books that tell you how to make money from bricks and mortar but in the end most come down to two areas:
The obvious - you can borrow substantial funds to buy a property which you cannot..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... how to make money from bricks and mortar but in the end most come down to two areas:
The obvious - you can borrow substantial funds to buy a property which you cannot do (so easily) to buy stocks and shares
Hindsight and speculation - if you had bought in area X you would have made lots of..."
"... to buy a property which you cannot do (so easily) to buy stocks and shares
Hindsight and speculation - if you had bought in area X you would have made lots of money so area Y looks like a good bet for the future
Beyond the obvious parts the rest is (hopefully) someone's fairly educated..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the future
Beyond the obvious parts the rest is (hopefully) someone's fairly educated opinion. You would get as much by talking to a well honed Estate Agent in the pub. The principles are very simple and start with the most basic one that is ignored the most often:
You are buying an..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... The principles are very simple and start with the most basic one that is ignored the most often:
You are buying an investment, not a home for yourself, so ignore emotions and think business!
Due to the continued underlying strength of the market it is difficult to buy a property that will..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Due to the continued underlying strength of the market it is difficult to buy a property that will offer you a continuous income stream and rise rapidly in value. Buying off plan has also ceased, in most cases, to be a profitable avenue (see below). This means that before you start looking it is worth considering what you actually want:
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... avenue (see below). This means that before you start looking it is worth considering what you actually want:
a property that will give you a good income from day one or
a property that is likely to rise in value
Achieving both is extremely difficult and although many authors and..."
"... start looking it is worth considering what you actually want:
a property that will give you a good income from day one or
a property that is likely to rise in value
Achieving both is extremely difficult and although many authors and investors are willing to show you how they did it in the..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... property that is likely to rise in value
Achieving both is extremely difficult and although many authors and investors are willing to show you how they did it in the past, most are simply telling you their 'lucky' story with the benefit of hindsight.
- The Income Stream - Yield -
The..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... willing to show you how they did it in the past, most are simply telling you their 'lucky' story with the benefit of hindsight.
- The Income Stream - Yield -
The traditional way to see if a property will give you a good income stream is to measure the yield or return. This is a percentage..."
"... The traditional way to see if a property will give you a good income stream is to measure the yield or return. This is a percentage figure which will help you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000 and the rent that it..."
"... not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000 and the rent that it would achieve would be..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000 and the rent that it would achieve would be £1,300 per month the..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000 and the rent that it would achieve would be £1,300 per month the calculation for yield would be
£15,600
x 100 = 6.24%
£250,000
Yield is a..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... at a property that would cost £250,000 and the rent that it would achieve would be £1,300 per month the calculation for yield would be
£15,600
x 100 = 6.24%
£250,000
Yield is a quick calculation to consider if your money is could make you more in another investment..."
"... that would cost £250,000 and the rent that it would achieve would be £1,300 per month the calculation for yield would be
£15,600
x 100 = 6.24%
£250,000
Yield is a quick calculation to consider if your money is could make you more in another investment and, if you..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... and the rent that it would achieve would be £1,300 per month the calculation for yield would be
£15,600
x 100 = 6.24%
£250,000
Yield is a quick calculation to consider if your money is could make you more in another investment and, if you meet a regular investor..."
"... you decide if, assuming the property price does not go up, your money would be better off there or in the bank. The calculation is as follows:
Total rental income for the year
x 100 = Yield
Purchase price
So if you were looking at a property that would cost £250,000..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... Yield is a quick calculation to consider if your money is could make you more in another investment and, if you meet a regular investor out buying you will often see them staring into the air while they work out this calculation and decide what offer they want to put forward.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... to put forward.
Remember also that the yield Calculation does not take into account the costs of Ground Rent and Service Charges on Leasehold properties. This is often overlooked but a £4,000 annual service charge on the example above reduces its yield by nearly 2%!
When calculating..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... but a £4,000 annual service charge on the example above reduces its yield by nearly 2%!
When calculating yield remember to include all the costs that will need to be covered, not just the mortgage
Properties that tend to offer the best yields are those not popular with private buyers...."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Properties that tend to offer the best yields are those not popular with private buyers. They are the ones that front on to busy roads, back on to railways, sit above commercial premises, are ex local authority, etc. The yield is good because the purchase price is lower for one or more reasons which has removed a large sector of private buyers as likely contenders. Tenants, however, only see a property as temporary and so are more relaxed about taking a view on living in a property that has a negative aspect.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... living in a property that has a negative aspect.
You do need to remember that if you buy such a property, when you come to sell you are also going to achieve a lower price than a comparative property in the same area that has no draw backs.
- Killing the Yield and Making a Loss -
Most..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... to sell you are also going to achieve a lower price than a comparative property in the same area that has no draw backs.
- Killing the Yield and Making a Loss -
Most investors are smart enough, when calculating profit, to take into account expenses such as service charges and the fees of..."
"... Yield and Making a Loss -
Most investors are smart enough, when calculating profit, to take into account expenses such as service charges and the fees of a lettings agent but few consider maintenance. In a flat this might include a replacement boiler every few years.
In houses maintenance is..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In houses maintenance is far more substantial and it is here that the novice investor can make mistakes because houses often appear to have a better yield. On first inspection there is no service charge or ground rent to pay and so the rental profit appears much better. But it is essential to remember that the costs of roof and window repairs or replacements, as two examples, can be substantial.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Take a house where the mortgage payments will be £1,000 but the rental will be £1,700 and assume it will be tenanted for 11 months out of 12 every year. The profit is £8,400 per year. Now in year three the roof needs to be replaced at a cost of £25,000. This has instantly wiped out all the profit since the purchase. Period properties also need periodic work on the bricks, windows and possibly the damp proofing so it is extremely easy to start loosing money instead of making it.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... periodic work on the bricks, windows and possibly the damp proofing so it is extremely easy to start loosing money instead of making it.
- Capital Gain -
Although yield is a fair one off piece of maths, prices will rise and so capital appreciation also needs to be taken into account. Many..."
"...Although yield is a fair one off piece of maths, prices will rise and so capital appreciation also needs to be taken into account. Many speculative investors for example, will accept a two or three percent yield on properties that they believe will rise thirty percent in value over the next two years.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Sometimes it is worth accepting a low yield if you are of the belief that an area is likely to rise in value. If the negative aspect is, for example, that the property is next to a run down high rise council block it is fairly safe to assume that the block will be demolished at some point. The cost of maintaining such buildings constructed during the sixties is becoming prohibitive and local authorities are increasingly opting to remove these in favour of low rise schemes. But when that 'some point' occurs is pure speculation so you have to be prepared to take a risk and have funds that you can invest in the long term for such purchases.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In essence, to achieve capital gain over and above the market in general, you need to identify a potential hot spot. Not one that a newspaper wrote about last week to fill its' column inches but an area that has genuine long term potential to emerge as a highly desirable area to live in the future.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... but an area that has genuine long term potential to emerge as a highly desirable area to live in the future.
To decide if an area has such a future look at several key points:
Does the area have good architecture - no matter how run down it is, it will scrub up well!
Does the area have..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... area to live in the future.
To decide if an area has such a future look at several key points:
Does the area have good architecture - no matter how run down it is, it will scrub up well!
Does the area have or will the area have good transport links - Leyton in East London, for example, is..."
"... well!
Does the area have or will the area have good transport links - Leyton in East London, for example, is only a few stops on the Central Line from the capital's centre and yet property prices are much lower than areas the same distance from the city but to the North, South or West.
Does..."
"... the city but to the North, South or West.
Does the area have space and facilities for shops, bars, restaurants and other amenities - it doesn't matter if they are currently Pound Stretchers and dodgy old pubs, they can become Starbucks and All Bar Ones
Does the area have early signs of activity..."
"... they can become Starbucks and All Bar Ones
Does the area have early signs of activity from supermarkets - these companies research demographic trends thoroughly and will accept low profits if they believe they can secure a good site for the future.
Are there any other factors in an area that..."
"... believe they can secure a good site for the future.
Are there any other factors in an area that could prove popular - Bow for example has miles of rivers and canals often popular with new house builders keen to offer "waterside living"
Islington in North London was a classic example of..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Islington in North London was a classic example of all these things. It is three stops on the Northern Line from bank, has beautiful Georgian and Victorian Architecture, and a very large high street (Upper Street). These key factors helped the average price of a flat rise from £174,000 to £264,000 between 2000 and 2004. That's a fourteen percent return every year before you have even hung the 'To Let' board outside.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... to £264,000 between 2000 and 2004. That's a fourteen percent return every year before you have even hung the 'To Let' board outside.
- Buying off Plan -
Buying properties before they are even built used to be a very popular and very profitable way of making a living. It is still very..."
"...Buying properties before they are even built used to be a very popular and very profitable way of making a living. It is still very popular, just not very profitable. House builders had always, in the past, accepted the practice of selling off plan at a lower price than comparable properties that already existed in the area. This was in return for buyers who were purchasing something they couldn't see and hoping it would turn out nice. Modern computer technology and advanced show flats have allowed visualisations to become much more detailed, removing much of the risk buyers used to face. Further more popular books trumpeting the profits of buying off-plan have swamped the market with private buyers keen to believe there is guaranteed cash at the end of this rainbow.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...This has all been to the delight of house builders who have increased prices substantially to the point where off-plan can actually be more expensive than comparable properties that already exist in the area . It can often take several years, however, for the market to catch up to these prices and it is now very easy to sit on negative equity over this period.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...If you end up caught in this situation there will also be a second headache. Chances are you are not the only investor who cannot sell to recoup their funds, you are amoung a number of buyers who will be looking to rent out their apartments which temporarily floods the market, driving down the rental yield to a point where you may actually end up having to cover some of the mortgage payments or other costs from your own pocket.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... to a point where you may actually end up having to cover some of the mortgage payments or other costs from your own pocket.
True Story - Four Years of Negative Equity
The Angel Southside development in North London became available to buy nearly two years before the completion date. Although..."
"...The Angel Southside development in North London became available to buy nearly two years before the completion date. Although sales were slow nearly all flats were sold before the building was finished. Several flats then came onto the market for resale but all failed to sell for the price that some vendors had paid two years previously, despite a continually rising market it the area. It took another two years until the values in the local market rose enough to meet the prices some buyers paid.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... It took another two years until the values in the local market rose enough to meet the prices some buyers paid.
In total many had suffered four years of negative equity.
If you are buying off plan be sure to check property prices in the area and no matter how glossy the brochure and..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...If you are buying off plan be sure to check property prices in the area and no matter how glossy the brochure and how glitzy the show flat is ask the cold hard question: Would I be better off buying something that has already been built? As a double back up make sure you can cover the mortgage for a few months should your purchase be impossible to sell or difficult to rent.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... your purchase be impossible to sell or difficult to rent.
A further issue to consider with off-plan is what the development will look like when your apartment is ready and your bank is looking for you to start repaying your loan.
Most developers sell new sites in stages and if there is a..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...
Most developers sell new sites in stages and if there is a profit to be made, the best buys come in the first release. These can be offered at genuinely discounted prices so the builder can use slogans like 'First phase sold out in 5 days' when they come to selling subsequent stages.
But..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...But this may mean that your flat is completed while there is still scaffolding up, communal gardens are a sea of mud, JCBs are lurching around and builders kick off at seven in the morning with pneumatic drills. It's not the environment many tenants will go for and so your property could sit empty for weeks, or even months.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... drills. It's not the environment many tenants will go for and so your property could sit empty for weeks, or even months.
True Story - No Gain at Gainsborough Studios
This was a development that spectacularly failed to sell well due to the very high prices demanded for off plan properties...."
"...This was a development that spectacularly failed to sell well due to the very high prices demanded for off plan properties. The builder did however sell some apartments and in order to improve cash flow completed these first. As a result the flats became available while the communal courtyard was still rubble, the car park was covered in building materials and the whole development was covered in scaffolding.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...The large number of unsold properties also meant that the developer decided to rent out unsold properties as they were finished which lead to dozens of apartments being available at the same time. Private buyers found it difficult to find tenants who were prepared to pay the rent needed cover the buy-to-let mortgages. So extreme was the situation that several buyers seriously contemplated failing to complete and loosing their £30,000+ exchange deposits as a better alternative to completing and selling for far less.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... and selling for far less.
The development is now complete and is a stunning conversion of a former film studio it took several years before buyers saw any capital gain during which time their money would have performed far better in almost any standard bank account.
- Using an Investment..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... buyers saw any capital gain during which time their money would have performed far better in almost any standard bank account.
- Using an Investment Company -
With all the positive press that property was receiving a new type of company came into being around the start of the millennium...."
"... an Investment Company -
With all the positive press that property was receiving a new type of company came into being around the start of the millennium. These companies offered to search out the 'best buys' on the market for investors and sell them to you for a fee.
Some worked by reserving..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... market for investors and sell them to you for a fee.
Some worked by reserving large numbers of properties on new developments at a discount from the builder and then selling them on with slogans such as '20% below the market value'.
In the early days most of these companies were fairly..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In the early days most of these companies were fairly genuine with well presented arguments about an area and good discounts because they were buying in volume. As time went on there were stories about great profits being made by people who had done nothing themselves but sign on the dotted line. It was clear that there were a large number of would-be investors who were too lazy to do their own research and ready to believe the spreadsheets of an organisation they had never done business with.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...The better companies become wilder in their claims about profit potential and many new and more suspect businesses also entered the field, all offering similar services. Long before the Credit Crisis struck hundreds (perhaps thousands) were loosing money on purchases that were just simply overpriced, others were falling victim to full on scams where the investment company, developer, insurer, financier and sometimes even the surveyor providing the valuation, were one.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Victim is a kind word. In reality people were buying over-priced properties that were impossible to rent at the rate that had been promised because they had simply not done their own homework. They were expecting substantial profit in exchange for no effort or risk on their part and some were stretching themselves financially on the naive assumption that everything they had been told was true.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...It is essential, when buying through a property investment company, to double check all their figures to your own satisfaction and this is something that can be done, in most cases, over the internet. First look at property prices and rentals in the immediate area. Next call local agents to see what actual values are being achieved. For example, is it the norm at the point that you are buying for property to be selling at 10% below the asking price and for tenants to be negotiating 5% off the rental values. These are the real market figures.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...Assume that the best a property investment company can offer you is a discount because you are buying in bulk along with others. Avoid gimmicks such as 'guaranteed rent for the first x months' as these suggest finding tenants will actually be difficult and this short term comfort zone will have been factored in to the sale price.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... and this short term comfort zone will have been factored in to the sale price.
Compare the mortgage deals offered with those from other brokers and lenders to ensure you really are getting the best deal.
In short do not believe for one moment what is presented before you or persuade..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... really are getting the best deal.
In short do not believe for one moment what is presented before you or persuade yourself that you have found your way into Easy Street. The offer may be totally valid and a great deal but do your own homework to make sure.
- Considering current housing..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... have found your way into Easy Street. The offer may be totally valid and a great deal but do your own homework to make sure.
- Considering current housing stock -
One of the techniques often used by investment companies is to paint an area as promising because something is about to happen..."
"... to make sure.
- Considering current housing stock -
One of the techniques often used by investment companies is to paint an area as promising because something is about to happen there. These might be such things as:
a major company is locating/relocating there,
there are..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... companies is to paint an area as promising because something is about to happen there. These might be such things as:
a major company is locating/relocating there,
there are planned infrastructure projects such as upgraded road or rail links,
the local government is considering..."
"... is about to happen there. These might be such things as:
a major company is locating/relocating there,
there are planned infrastructure projects such as upgraded road or rail links,
the local government is considering modernisation of the city centre,
and so on and so on.
All these..."
"... is locating/relocating there,
there are planned infrastructure projects such as upgraded road or rail links,
the local government is considering modernisation of the city centre,
and so on and so on.
All these things are likely to increase demand for housing but what is rarely..."
"... infrastructure projects such as upgraded road or rail links,
the local government is considering modernisation of the city centre,
and so on and so on.
All these things are likely to increase demand for housing but what is rarely considered is how much supply currently exists. If..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... All these things are likely to increase demand for housing but what is rarely considered is how much supply currently exists. If there are plenty of empty properties then all these improvements will achieve is a reduction in vacant homes with any major price increases being very unlikely.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... any major price increases being very unlikely.
At the extreme, for example, is Middlesborough. With so many empty houses and flats the local council currently offers to pay owners if they will “bring their empty home back into use”.
So even if a large company was to announce it would..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...So even if a large company was to announce it would be creating a presence in the town there is ample stock to soak up this demand and with terraced houses available for as little as £25,000 even a 20% increase in property prices would not make sense in terms of an investment once costs are taken into account.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... as £25,000 even a 20% increase in property prices would not make sense in terms of an investment once costs are taken into account.
- Summary -
From the late nineteen-nineties, for nearly a decade, it seemed that almost everyone was a have-a-go investor. The press poured out stories..."
"...From the late nineteen-nineties, for nearly a decade, it seemed that almost everyone was a have-a-go investor. The press poured out stories of everyday people who were suddenly lording over property portfolios. Negative stories, like the ones in this chapter, were neatly ignored because they were not the fashion of the day.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In reality buying to let or buying for an investment has always been a tricky business although it is made slightly easier when property prices are continually rising. But if you want to make a purchase that will perform no matter what the market is doing you will need to leave your emotions at the door and make cold, level headed decisions that require a good deal of homework on your part.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... deal of homework on your part.
Finally be prudent, hold back funds in case short term problems need to be covered and trust no one but yourself. If you really want to use a property investment company double check their figures yourself before signing up.
True Story - Over Stretching in..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... but yourself. If you really want to use a property investment company double check their figures yourself before signing up.
True Story - Over Stretching in Leeds
Anthony was looking to invest in property but the South East of Britain was proving expensive. He found a company on-line that..."
"...Anthony was looking to invest in property but the South East of Britain was proving expensive. He found a company on-line that offered to help investors find sound buy-to-let investments in Leeds and they offered him two newly refurbished flats in a converted house for £230,000 and £280,000 each which was 'substantially below the market value because they bought large volumes from this builder'.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... they bought large volumes from this builder'.
The rental figures on paper offered a 10% yield and there was plenty of blurb to explain why tenants would snap up such flats and why the capital gain would be excellent over the coming years.
They would organise the mortgage and even work..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... and why the capital gain would be excellent over the coming years.
They would organise the mortgage and even work with a local lettings agent to get the tenants in so Anthony would never have to leave his armchair.
This was property investment the way he wanted it - easy and seemingly..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... would never have to leave his armchair.
This was property investment the way he wanted it - easy and seemingly safe. He did not check prices or talk to local agents about the area or street. He did not even make the four hour drive to visit the site.
In the event the values, both sale price..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In the event the values, both sale price and rental, were at the absolute top end of the market and the builders finish was poor which meant a number of items would need to be replaced in the near future. But Anthony had stretched himself financially and had no way to cover the mortgage payments as the properties lay vacant or to subsidise them when tenants moved in.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"... lay vacant or to subsidise them when tenants moved in.
Valuations by agents revealed that if he needed to sell fast he would have to accept a ten to fifteen percent loss which, after paying their fees, might not cover the loan.
The investment company blamed an unusual and unexpected..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...The investment company blamed an unusual and unexpected number of properties on the market to rent was the reason he could not now get the yield they had promised in their literature and that there had been a temporary dip in the areas prices which they could not have foreseen. There was nothing in his contract with them that guaranteed anything within the sales brochures so there was nothing he could do.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
"...In the end the properties, both still vacant, were repossessed by the bank and Anthony's great property investment had cost him over £120,000. £76,000 for the original the deposit, £18,000 for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
..."
"... for the property investment company's fee, £10,700 in stamp duty and £15,600 in mortgage repayments that he ultimately could not keep up with.
What's covered in this chapter
The mentality needed for investing in property;
Choosing between cash flow and capital gain;
Property types..."
Chapter 9:
Getting on the Property Ladder
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home. What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a less desirable..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... few years you should be putting up your feet where you want them to be, in your own home. The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a less desirable property can help;
When 100%+ mortgages are..."
"... you want them to be, in your own home. How to get someone else to pay your first deposit;
Why buying a less desirable property can help;
When 100%+ mortgages are not evil;
Working out if you are better off..."
"... in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a less desirable property can help;
When 100%+ mortgages are not evil;
Working out if you are better off buying or renting, even in a falling market;
Why it's..."
"... on the property ladder;
How to get someone else to pay your first deposit;
Why buying a less desirable property can help;
When 100%+ mortgages are not evil;
Working out if you are better off buying or renting, even in a falling market;
Why it's worth buying where you don't want to..."
"... pay your first deposit;
Why buying a less desirable property can help;
When 100%+ mortgages are not evil;
Working out if you are better off buying or renting, even in a falling market;
Why it's worth buying where you don't want to live;
How to outpace price rises.
There are a couple..."
"... help;
When 100%+ mortgages are not evil;
Working out if you are better off buying or renting, even in a falling market;
Why it's worth buying where you don't want to live;
How to outpace price rises.
There are a couple of myths which need to be set aside. Myths that stop many people..."
"... out if you are better off buying or renting, even in a falling market;
Why it's worth buying where you don't want to live;
How to outpace price rises.
There are a couple of myths which need to be set aside. Myths that stop many people trying to get on the ladder.
Myth: You..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... it's worth buying where you don't want to live;
How to outpace price rises.
There are a couple of myths which need to be set aside. Myths that stop many people trying to get on the ladder.
Myth: You need a 5% deposit
Myth: You can't afford to buy where you want
Knowing that..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... rises.
There are a couple of myths which need to be set aside. Myths that stop many people trying to get on the ladder.
Myth: You need a 5% deposit
Myth: You can't afford to buy where you want
Knowing that the market will continue to rise over the long term means many buyers..."
"... of myths which need to be set aside. Myths that stop many people trying to get on the ladder.
Myth: You need a 5% deposit
Myth: You can't afford to buy where you want
Knowing that the market will continue to rise over the long term means many buyers assume they will never be able to buy a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... You can't afford to buy where you want
Knowing that the market will continue to rise over the long term means many buyers assume they will never be able to buy a property in an area they want and so give up and resign themselves to years of renting.
- The Deposit for Buying a Property -..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... they will never be able to buy a property in an area they want and so give up and resign themselves to years of renting.
- The Deposit for Buying a Property -
Almost everything you read will tell you that in order to buy your first place you will need a cash deposit of between 5 and..."
"... Buying a Property -
Almost everything you read will tell you that in order to buy your first place you will need a cash deposit of between 5 and 10%. As such many first time buyers wait and save while pouring money down the drain in rent. There are three ways round this:
Buy in a new..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... first time buyers wait and save while pouring money down the drain in rent. There are three ways round this:
Buy in a new development where the builder offers to pay your deposit
Get a mortgage for 100%+ of the property value
Buy somewhere that you don't want to live!
- Buying..."
"... the drain in rent. There are three ways round this:
Buy in a new development where the builder offers to pay your deposit
Get a mortgage for 100%+ of the property value
Buy somewhere that you don't want to live!
- Buying Property on a New Development -
Reading the papers and surfing..."
"... this:
Buy in a new development where the builder offers to pay your deposit
Get a mortgage for 100%+ of the property value
Buy somewhere that you don't want to live!
- Buying Property on a New Development -
Reading the papers and surfing the net will give you no end of new..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... offers to pay your deposit
Get a mortgage for 100%+ of the property value
Buy somewhere that you don't want to live!
- Buying Property on a New Development -
Reading the papers and surfing the net will give you no end of new developments where the builder is offering special deals on..."
"...Reading the papers and surfing the net will give you no end of new developments where the builder is offering special deals on selected plots. These may be free flooring, stamp duty covered, or more significantly a 5% or 10% deposit paid. Many buyers avoid these because their dream property is a twee Victorian flat with fireplaces and walls that seep period features.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...Remember that you are not looking for your ideal property, you haven't got the deposit so by definition you cannot afford it. You are looking for a stepping stone to your ideal property. If you are also financially stretched, even if someone else would be happy to pay your deposit on that lovely Victorian flat, what happens when the roof needs to be replaced and each leaseholder has to find £5,000?
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...The beauty of new developments is that they have little character. They are also extremely cheap to maintain unless you are paying for the upkeep of a communal gym, porterage, swimming pool, etc. Everything inside is also guaranteed for at least twelve months and the fabric of the building (roof, walls, foundations, etc.) are usually guaranteed for ten years.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... are usually guaranteed for ten years.
A newly built property's value will change in the same manner as the rest of the market. When prices are rising you are gathering equity (profit) which will eventually become the deposit on your dream property.
Do not however assume that the new..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...Do not however assume that the new development will rise in value so fast you will be able to sell it as soon as it is ready and make a small fortune. This is and has been the case in a large number of off-plan purchases but it is not guaranteed. To see some examples of places where it did not work see Buying Property for an Investment.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... but it is not guaranteed. To see some examples of places where it did not work see Buying Property for an Investment.
- Buying Property Where You Don't Want to Live -
Who says the first property you buy has to be one you actually live in? You can, for example, buy a property anywhere you..."
"...Who says the first property you buy has to be one you actually live in? You can, for example, buy a property anywhere you can afford it. Rent it and wait for it to rise in value. You can then sell it or re-mortgage it to provide the deposit and/or purchase price for the place you actually want. Remember a canny buy in a particular area means you could outpace the prices in the place you want to live. For example in the London postcode of E3 between 2000 and 2004 the average price of a flat rose from £108,952 to £178,411 or 64%. Over the same time a flat in SW1, a much more desirable area, moved from £338,632 to £444,654 or 31% .
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...E3 is not the area most would have wanted to live back in 2000, but it was, still is and always will be three stops from Liverpool Street on the Underground. If you had bought and rented a property out there while you yourself rented a different place where you wanted to live you would be over £70,000 better off. An extra £17,500 per year that you would not otherwise have had to put towards your dream home.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...This idea is slowly beginning to catch on with people not only starting to buy rental investments elsewhere in the city they live in but also in other cities where prices are expected to increase more rapidly such as Manchester and Birmingham. Those who pursue the 'out of their own city' option have become known as Mouse Holders. This is something to do with the way City Mice become Country Mice, apparently!
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...The out of town option has become more attractive because for Buy-to-Let mortgages you will need a 15%+ deposit and this is more affordable with cheaper properties in towns, rather than cities. The downside is that a property three hours drive away is difficult to manage or find tenants for and so you will probably have to pay agents to carry out most of the work for you.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... drive away is difficult to manage or find tenants for and so you will probably have to pay agents to carry out most of the work for you.
100% Mortgages -
If you shop around enough you will find 100% mortgages, even 125% mortgages. Although they have become much harder to find since the start..."
"... carry out most of the work for you.
100% Mortgages -
If you shop around enough you will find 100% mortgages, even 125% mortgages. Although they have become much harder to find since the start of the Credit Crisis they will creep back.
These credit products are often frowned on as taking..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...These credit products are often frowned on as taking the property market back to the bad old days of the early 1990s but as we have already seen in Understanding the Property Market, even if you had bought a property at the height of that boom, you would still be significantly better off today. Another way to look at it is this:
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... better off today. Another way to look at it is this:
Scenario One:You spend three years saving up a deposit because you don't want a 100% mortgage and buy a flat for £200,000. Three years of renting could easily have cost you £36,000.
Scenario Two:You spend three years saving for a deposit..."
"... cost you £36,000.
Scenario Two:You spend three years saving for a deposit and spend £36,000 on rent but the market moves down 10%. You save £20,000 on the property you were looking to buy but with the rent taken into account the delay has still cost you £16,000.
Scenario Three:You spend..."
"... into account the delay has still cost you £16,000.
Scenario Three:You spend three years saving for a deposit and the market moves up 10%. You have lost £36,000 in rent payments and £20,000 in capital gain. A total cost of £56,000.
Scenario Four:You buy a flat for £200,000 with a 100%..."
"...Scenario Four:You buy a flat for £200,000 with a 100% mortgage and three years later it has lost 10% of its value because the market has fallen, the total cost to you is £20,000 but you have a place of your own and you have already paid off some of the loan. Keep it for the long term and, as history has shown, your loss will have been temporary.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... your loss will have been temporary.
In almost every scenario you would have been better off to buy than wait and even where the market falls (and you have waited) your savings are insignificant compared to the costs where the market rises.
125% mortgages are also useful in that they..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... 125% mortgages are also useful in that they provide you with extra capital to improve the property. Done properly this will secure your investment's value. Further it may help rid you of credit card debts and other high interest loans that were stopping you raising the deposit in the first place.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... the deposit in the first place.
If you have no debts then the extra 25% could even be the deposit on your dream property. Within the space of 6 months you could have gone from owning nothing to lording over the embryonic beginnings of a property portfolio.
100%+ mortgages are not the evil..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"...100%+ mortgages are not the evil that they are painted with but the press does like to jump on stories of people who have used them and then run into financial problems. This is simply confusing very useful products with people who cannot manage their finances. Don't let yourself get confused as well. How the press can manipulate stories is covered in more detail in the chapter The Media and Property Prices.
..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... get confused as well. How the press can manipulate stories is covered in more detail in the chapter The Media and Property Prices.
- Summary -
The greatest hurdle to buying a property is often the deposit. Your salary might well show that you can afford the monthly payments of a..."
"... - Summary -
The greatest hurdle to buying a property is often the deposit. Your salary might well show that you can afford the monthly payments of a mortgage but saving for the deposit (while your hard earnings are being syphoned off renting a place) can be near impossible.
There are a..."
"... as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home.
What's covered in this chapter
The myths about getting on the property ladder;
How to get someone else to pay your first deposit;
Why buying a..."
"... near impossible.
There are a number of ways to clear this hurdle. Not all may be highly desirable in the short term but so long as they are all treated as a means to an end then within a few years you should be putting up your feet where you want them to be, in your own home...."
Chapter 10:
Working with Estate Agents
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are dealing with a..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... reduce the time you spend on your search and the stress it involves.
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are dealing with a quality agent;
Why good agents ask the..."
"... search and the stress it involves.
How you can use agents to your advantage;
How to know you are dealing with a quality agent;
Why good agents ask the questions they do;
How to be focused in your..."
"... covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are dealing with a quality agent;
Why good agents ask the questions they do;
How to be focused in your property search;
How to treat agents during your..."
"... buyers work with estate agents;
How you can use agents to your advantage;
How to know you are dealing with a quality agent;
Why good agents ask the questions they do;
How to be focused in your property search;
How to treat agents during your property search;
What are the questions you..."
"... use agents to your advantage;
How to know you are dealing with a quality agent;
Why good agents ask the questions they do;
How to be focused in your property search;
How to treat agents during your property search;
What are the questions you should be answering.
There are plenty of..."
"... are dealing with a quality agent;
Why good agents ask the questions they do;
How to be focused in your property search;
How to treat agents during your property search;
What are the questions you should be answering.
There are plenty of poor quality estate agents around as the..."
"... ask the questions they do;
How to be focused in your property search;
How to treat agents during your property search;
What are the questions you should be answering.
There are plenty of poor quality estate agents around as the industry is fairly unregulated. However at the same time..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... answering.
There are plenty of poor quality estate agents around as the industry is fairly unregulated. However at the same time there are a large number of highly professional firms and individuals who are well educated and have a wide experience of the property market.
A potential..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...A potential buyer who takes the view that every estate agent is below them will often have the most stressful experience. The majority are also first time buyers or amateur investors. Almost anyone who is well on their way to building a property portfolio will treat agents with respect and interest. These people realise the agent can be a solid mine of local knowledge, a person continuously in touch with the ever changing world of property finances and an excellent contact for the future.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... person continuously in touch with the ever changing world of property finances and an excellent contact for the future.
- The Way Professionals Work with Estate Agents -
The best advice is to try and treat the sales negotiator as a friend of a friend. There is no need to talk about what you..."
"...The best advice is to try and treat the sales negotiator as a friend of a friend. There is no need to talk about what you have been up to at the weekend but showing an interest in that person and what they do may reveal a great deal of useful information and could place you at the front of the queue should the right property come up.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... you at the front of the queue should the right property come up.
If you are going to buy successfully you will benefit from having a professional Estate Agent on your side, you will need them to like you and respect you
Despite what the press or colleagues may tell you do not treat them..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... you and respect you
Despite what the press or colleagues may tell you do not treat them with outright suspicion and be sure to include a little empathy. This does not mean imagining how hard their lives might be but instead consider why they ask certain questions.
For example some agents..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... hard their lives might be but instead consider why they ask certain questions.
For example some agents may refuse to show you a property until you have proved your identity and your finances. Why do they do it?
Firstly there is the question of security. You are going into someone else's..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...Firstly there is the question of security. You are going into someone else's home and the person taking you there knows nothing about you. To all intense and purposes you might be looking for the best apartment for your next robbery. After all, how often can someone walk into a building and ask, "So, is there an alarm here?" and "What are the locks on the window like?".
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... Secondly if you are seriously thinking of buying you will have given some consideration to your budget and looked at various mortgage possibilities. Show these to the agent without hesitation as they prove you are a serious buyer, not someone with nothing to do on a Tuesday afternoon.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... buyer, not someone with nothing to do on a Tuesday afternoon.
Incidentally, the agent who asks for this kind of information is exactly the type of agent you should be looking for when you come to sell for exactly the same reasons.
A negotiator wants to see:
That you are well prepared for..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... this kind of information is exactly the type of agent you should be looking for when you come to sell for exactly the same reasons.
A negotiator wants to see:
That you are well prepared for your search in terms of finances but are happy to discuss further options
That you have given some..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... looking for when you come to sell for exactly the same reasons.
A negotiator wants to see:
That you are well prepared for your search in terms of finances but are happy to discuss further options
That you have given some thought to a solicitor but this is open to discussion
That you are..."
"... you are well prepared for your search in terms of finances but are happy to discuss further options
That you have given some thought to a solicitor but this is open to discussion
That you are focused on what you want
That you will listen to advice and not think you know best just..."
"... but are happy to discuss further options
That you have given some thought to a solicitor but this is open to discussion
That you are focused on what you want
That you will listen to advice and not think you know best just because you have read some articles, watched a TV show and have a..."
"... to discussion
That you are focused on what you want
That you will listen to advice and not think you know best just because you have read some articles, watched a TV show and have a distant uncle who writes about the economy for The Times!
In other words you are prepared for buying but..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...In other words you are prepared for buying but reasonably open minded in your search. To prove a point ask any estate agent how often a person buys a property they were not looking for. It happens every day of the week. Someone may buy in a neighbourhood that they had ruled out because the apartment is perfect or they may buy a lower ground floor flat that they had previously dismissed when they see the large size of the garden.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...In the same vain consider your own industry. How often does a client come to you and tell you all about your job and what is likely to happen. They don't because that is why they are on your doorstep but sometimes media coverage of the property market seems to turn certain people into overnight "experts".
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...Remember always that the individual negotiator is usually paid on commission and they know they are more likely to get that payment (i.e. get a property to exchange) from a buyer who is prepared, focused and listening than someone who thinks they are fantastic and knows it all. The latter will often end up on an endless and fruitless search.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... knows it all. The latter will often end up on an endless and fruitless search.
Don't think because you are a first time buyer or are looking to spend half a million pounds you are God's gift to Estate Agents.
- Being Prepared for Your Property Search -
You will gain a huge amount of..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... because you are a first time buyer or are looking to spend half a million pounds you are God's gift to Estate Agents.
- Being Prepared for Your Property Search -
You will gain a huge amount of respect from an agent if you can show that you have given some thought to:
Your finances -..."
"... pounds you are God's gift to Estate Agents.
- Being Prepared for Your Property Search -
You will gain a huge amount of respect from an agent if you can show that you have given some thought to:
Your finances - see Sorting Out Your Mortgage
Your solicitor - see Choosing a Conveyancer or..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... Search -
You will gain a huge amount of respect from an agent if you can show that you have given some thought to:
Your finances - see Sorting Out Your Mortgage
Your solicitor - see Choosing a Conveyancer or Solicitor
What you want and why you want it
The negotiator in a..."
"... from an agent if you can show that you have given some thought to:
Your finances - see Sorting Out Your Mortgage
Your solicitor - see Choosing a Conveyancer or Solicitor
What you want and why you want it
The negotiator in a successful and professional agency is busy, especially in a..."
"... given some thought to:
Your finances - see Sorting Out Your Mortgage
Your solicitor - see Choosing a Conveyancer or Solicitor
What you want and why you want it
The negotiator in a successful and professional agency is busy, especially in a busy rising market, and he will make a..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...The negotiator in a successful and professional agency is busy, especially in a busy rising market, and he will make a calculated decision on who to call first when that bargain of the month or that extra special property comes onto the market. They want to sell a new property faster than any of their colleagues and so the best buyers get the first call. Those who have not considered their finances or shown they are ready to have an open relationship go to the bottom of the list.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... who have not considered their finances or shown they are ready to have an open relationship go to the bottom of the list.
- What You Want and Why You Want it -
This may seem bizarre but if the agent is going to help you and not drag you round irrelevant properties you are going to have..."
"...This may seem bizarre but if the agent is going to help you and not drag you round irrelevant properties you are going to have to help them by verbalising what you want and why you want it. It does not matter at the early stages if this is fairly vague as you may not be aware of what you can buy until you have seen a few places and then you can refine things further.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... buy until you have seen a few places and then you can refine things further.
Take some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a..."
"... what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big..."
"... rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like..."
"... rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground..."
"... rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like..."
"... are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not..."
"... rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like..."
"... for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about security
Not above the 4th..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... like homes with character
Big Windows
Preferrable
You like somewhere nice and light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... light
Not ground floor
Essential
Worried about security
Not x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... about security
Not x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... with the ever changing world of property finances and an excellent contact for the future.
- The Way Professionals Work with Estate Agents -
The best advice is to try and treat the sales negotiator as a friend of a friend. There is no need to talk about what you have been up to at the..."
"... x-council
Essential
Worried about security
Not above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No..."
"... rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice for the summer
Period Property
Preferrable
You like homes with character
Big Windows
Preferrable
You like..."
"... security
Not above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... above the 4th floor
Essential
Your mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the price
This gives..."
"... and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet road
Essential
You are a very light sleeper
Outside space
Preferrable
Nice..."
"... mortgage deal does not allow it
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the price
This gives any agent a starting point. They can then..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"...
10 mins. to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the price
This gives any agent a starting point. They can then show you some properties before..."
"... to the tube
Preferrable
Easier to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the price
This gives any agent a starting point. They can then show you some properties before you revisit..."
"... to sell?
£250,000 or less
Essential
Don't want to pay the stamp duty
Will do work
No preferance
If it is reflected in the price
This gives any agent a starting point. They can then show you some properties before you revisit the list. You may conclude..."
"... some time before you start to write down what is essential, what is nice to have and why you want each asset. Something like this:
What You Want
How Much You Want it
Why You Want it
2 double bedrooms
Essential
The rent will help pay your mortgage
Quiet..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...This gives any agent a starting point. They can then show you some properties before you revisit the list. You may conclude after seeing ten places, for example, that ground floor flats which you had discounted earlier, are actually not too bad in certain locations, especially as they give you patio gardens which are larger than the balconies on higher floors.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... than the balconies on higher floors.
Make sure every time that your requirements change to call every agent that you are registered with and let them know. If you do not then your dream property might come and go and you will be none the wiser.
To do this it is essential that you keep..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...To do this it is essential that you keep a list of all the agents you are registered with. Too many buyers register for say, a two bedroom flat, and then call up four weeks later asking about a one bedroom property they have seen on the net which looks perfect. Chances are it has already sold but the negotiator might have called you before it even went on the internet had he been aware of your change in requirements.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...Also be at pains to point out to any agent the one factor that you will not compromise on, most buyers have to think on this when asked so do it now. Do you really want to go out on a wet and windy Thursday night to view the perfect property only to find out it is on the A3 trunk road and you would never get a wink of sleep if you lived there?
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... and you would never get a wink of sleep if you lived there?
Many buyers think that because they have gone to such efforts to organise themselves they can just write it down and fax, email or drop off a sheet with every agent.
Do not fax, email or photocopy your requirements to every agent..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... organise themselves they can just write it down and fax, email or drop off a sheet with every agent.
Do not fax, email or photocopy your requirements to every agent and then sit back and wait
You need, need, need to build a relationship with an agent that makes sure you are the first one..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...You need, need, need to build a relationship with an agent that makes sure you are the first one into a property. The negotiator needs to believe you are well motivated if he is going to spend time for you or with you. The easiest way for him to differentiate that is to split buyers between those who call up and register and those who register by email or over the internet.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...As an example a negotiator may be registering ten new people by 'phone every day and getting two emails from applicants who want details sent in the post because they are thinking of moving in the next three months. Who do you think he will spend time with? This is also the reason why so many potential buyers never receive the details they request. Its not excuse making, it is simply the reality of a market where you are dealing with people paid on commission for what they sell.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... paid on commission for what they sell.
Finally keep in touch with all the agents you are registered with about once a week. It reminds them you exist and keeps you at the top of their mind as they see new properties coming onto the market.
- Irrelevant Questions -
Many first time,..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... once a week. It reminds them you exist and keeps you at the top of their mind as they see new properties coming onto the market.
- Irrelevant Questions -
Many first time, and even second time, buyers get into a habit of asking text book questions that they think they should be asking...."
"... Many first time, and even second time, buyers get into a habit of asking text book questions that they think they should be asking. Questions should be material to you, not to a book you have just read. Some of those not worth asking when you start your search are, depending on your requirements:
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... not to a book you have just read. Some of those not worth asking when you start your search are, depending on your requirements:
Has the owner enjoyed living here?
Are the neighbours nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing..."
"... of those not worth asking when you start your search are, depending on your requirements:
Has the owner enjoyed living here?
Are the neighbours nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the..."
"... you start your search are, depending on your requirements:
Has the owner enjoyed living here?
Are the neighbours nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this..."
"... on your requirements:
Has the owner enjoyed living here?
Are the neighbours nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this property?
Will this property..."
"... living here?
Are the neighbours nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this property?
Will this property rise in value?
What does it matter if the..."
"... nice people?
Does the road get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this property?
Will this property rise in value?
What does it matter if the neighbours are really lovely people,..."
"... get busier than this?
Could the service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this property?
Will this property rise in value?
What does it matter if the neighbours are really lovely people, they could sell up or rent out..."
"... service charge rise?
Will they leave the washing machine, curtains, etc?
Why is the vendor moving?
Would you buy this property?
Will this property rise in value?
What does it matter if the neighbours are really lovely people, they could sell up or rent out their places next week. Is it..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...What does it matter if the neighbours are really lovely people, they could sell up or rent out their places next week. Is it important what the service charge is if you hate the road that the property is on. Is it critical that the washing machine stays if the reception room is going to be far too small for you?
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... Concentrate on how the property meets your requirements and feeding this back to the agent. Constructive comments like, "I really love the reception room size but the kitchen is too small and I hate the way the bedroom looks onto a high rise block" are far more helpful to the agent.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... high rise block" are far more helpful to the agent.
Buyers who ask irrelevant questions compared to their requirements loose respect in the negotiator's eyes and a frustrated negotiator is not going to call you first about new properties.
Ask only questions where the answer will change your..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... eyes and a frustrated negotiator is not going to call you first about new properties.
Ask only questions where the answer will change your mind in either way - is it material to you? If not, don't ask it
True Story - A Property on the Market for 14 MonthsA house had been on the market for..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...True Story - A Property on the Market for 14 MonthsA house had been on the market for fourteen months in Northchurch Terrace, N1. It was placed on the market at £650,000 but this proved too expensive at the beginning. The vendor was not interested in reducing the asking price as she had no mortgage on the property and no urgent need for the funds.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"...The market continued to rise month after month and just over a year later it began to look good value. Three parties viewed the property and all three wanted to offer. They were immediately suspicious when they were each told they were not the only people interested and assumed it was just the agent trying to get them to bid higher.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... to bid higher.
One party did think the price was reasonable and offered the asking price. The other two parties believed they were being led up the garden path by the agent and knowing how long the property had been on the market assumed they could get a low offer agreed.
They only..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... on the market assumed they could get a low offer agreed.
They only realised the asking price offer from the third party was successful when they were told it had been agreed and the vendor was not taking their interest any further.
- Summary -
There are good and bad estate agents out..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... from the third party was successful when they were told it had been agreed and the vendor was not taking their interest any further.
- Summary -
There are good and bad estate agents out there but it is the better and more professional ones that often have and get the widest selection..."
"...There are good and bad estate agents out there but it is the better and more professional ones that often have and get the widest selection of properties. Despite the press and the endless stories from family and friends do not stereo-type as gaining the respect of a good negotiator, by showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
"... showing (and not just saying) you are a serious buyer can dramatically reduce the time you spend on your search and the stress it involves.
What's covered in this chapter
How professional buyers work with estate agents;
How you can use agents to your advantage;
How to know you are..."
Chapter 11:
Sorting Out Your Mortgage
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard. What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial adviser;
How the same..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... will need for a loan and ensuring there are no skeletons in your credit cupboard. Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial adviser;
How the same mortgage from the same bank can be cheaper in two..."
"... in your credit cupboard. Why you should talk to more than one financial adviser;
How the same mortgage from the same bank can be cheaper in two different places;
The difference between Agreements in..."
"... should arrange a mortgage before making an offer;
Why you should talk to more than one financial adviser;
How the same mortgage from the same bank can be cheaper in two different places;
The difference between Agreements in Principle and Pre Arranged Mortgages;
What could be in your history..."
"... than one financial adviser;
How the same mortgage from the same bank can be cheaper in two different places;
The difference between Agreements in Principle and Pre Arranged Mortgages;
What could be in your history that will stop you getting a mortgage;
Why the best mortgage deal may not be..."
"... be cheaper in two different places;
The difference between Agreements in Principle and Pre Arranged Mortgages;
What could be in your history that will stop you getting a mortgage;
Why the best mortgage deal may not be right for you;
How choosing the wrong lender can stop you buying;
Why you..."
"... Agreements in Principle and Pre Arranged Mortgages;
What could be in your history that will stop you getting a mortgage;
Why the best mortgage deal may not be right for you;
How choosing the wrong lender can stop you buying;
Why you should avoid financial advisers who charge you a..."
"... could be in your history that will stop you getting a mortgage;
Why the best mortgage deal may not be right for you;
How choosing the wrong lender can stop you buying;
Why you should avoid financial advisers who charge you a fee.
This is the chapter most buyers will want to ignore...."
"... mortgage;
Why the best mortgage deal may not be right for you;
How choosing the wrong lender can stop you buying;
Why you should avoid financial advisers who charge you a fee.
This is the chapter most buyers will want to ignore.
It is far easier to get on the Web or on the 'phone..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... choosing the wrong lender can stop you buying;
Why you should avoid financial advisers who charge you a fee.
This is the chapter most buyers will want to ignore.
It is far easier to get on the Web or on the 'phone and start the exciting task of looking for your new home. It is..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to ignore.
It is far easier to get on the Web or on the 'phone and start the exciting task of looking for your new home. It is also the way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you can't get the one..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you can't get the one you offered..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you can't get the one you offered on. Everything you see on your new..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... can't afford what you thought you could.
All the properties you have seen are irrelevant and you can't get the one you offered on. Everything you see on your new budget will pale in comparison.
You can afford more than you thought you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... irrelevant and you can't get the one you offered on. Everything you see on your new budget will pale in comparison.
You can afford more than you thought you could.
Surprisingly common. You then decide you should see what you can get for the extra money wasting all the time from..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... pale in comparison.
You can afford more than you thought you could.
Surprisingly common. You then decide you should see what you can get for the extra money wasting all the time from previous viewings.
You can afford what you thought but you have nothing to prove..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... decide you should see what you can get for the extra money wasting all the time from previous viewings.
You can afford what you thought but you have nothing to prove it.
You loose the property to someone else who bids at the same time but can prove their finances.
You can..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... previous viewings.
You can afford what you thought but you have nothing to prove it.
You loose the property to someone else who bids at the same time but can prove their finances.
You can afford what you thought but have only had one quote which you got because someone..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... loose the property to someone else who bids at the same time but can prove their finances.
You can afford what you thought but have only had one quote which you got because someone insisted.
You suddenly see the right property but in order to move fast use the only quote you have got..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... insisted.
You suddenly see the right property but in order to move fast use the only quote you have got or rush around and only get a few more quotes. The panic means you miss the best deals on the market and pay hundreds of pounds more than you have to in mortgage payments.
Anyone of..."
"... way to loose the place you want, waste time and cause a lot of arguments. Here is what can happen if you don't have your finances in place.
EVENT
RESULT
You can't afford what you thought you could.
All the properties you have seen are irrelevant and you..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... hundreds of pounds more than you have to in mortgage payments.
Anyone of these will loose your standing in the Estate Agents eyes making it harder to get the next deal agreed (see Viewing Properties and Making Offers).
You should see as many financial advis0rs as you see agents. After..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...You should see as many financial advis0rs as you see agents. After the first two or three you will soon get the hang of what they want to know and so the time it takes to get further quotes reduces exponentially. Classic information you will need to have at hand include your earnings, how much deposit you have, any debts or arrears, etc., etc. The reasons for spending so much time with these people are simple:
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... or arrears, etc., etc. The reasons for spending so much time with these people are simple:
When you come to offer they will be ready to tell you instantly what the best deal is at that time.
Different financial advisers are given different special deals by different lenders at different..."
"... you instantly what the best deal is at that time.
Different financial advisers are given different special deals by different lenders at different times. If Bank X is the best deal with one adviser it may be an even better deal with another.
Different financial advisers are paid different..."
"... it may be an even better deal with another.
Different financial advisers are paid different commissions on the various products which, although they shouldn't, can tend to make them push you gently towards products most profitable for them.
If you are offered financial advise by an Agent..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to make them push you gently towards products most profitable for them.
If you are offered financial advise by an Agent then as long as the adviser is qualified, don't shy away, welcome it! If you aren't offered, ask.
- Agreements in Principle (AIPs) and Pre Arranged Mortgages (PAMs) -
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... by an Agent then as long as the adviser is qualified, don't shy away, welcome it! If you aren't offered, ask.
- Agreements in Principle (AIPs) and Pre Arranged Mortgages (PAMs) -
- Agreements in Principle (AIP) -
Most buyers are now aware of the Agreement in Principles (AIPs). These are..."
"... don't shy away, welcome it! If you aren't offered, ask.
- Agreements in Principle (AIPs) and Pre Arranged Mortgages (PAMs) -
- Agreements in Principle (AIP) -
Most buyers are now aware of the Agreement in Principles (AIPs). These are however, exactly what they say they are. Briefly..."
"...Most buyers are now aware of the Agreement in Principles (AIPs). These are however, exactly what they say they are. Briefly translated an AIP is the bank saying, "If what you have told us is true then we are prepared to lend you this much". The problem is that we often forget, or don't know it is important, that:
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... then we are prepared to lend you this much". The problem is that we often forget, or don't know it is important, that:
credit card debt which will be counted against us,
we haven't been in the country much in the last few years so have little credit history,
we had an argument with a loan..."
"... forget, or don't know it is important, that:
credit card debt which will be counted against us,
we haven't been in the country much in the last few years so have little credit history,
we had an argument with a loan company five years ago that went to court,
we have moved home six..."
"... against us,
we haven't been in the country much in the last few years so have little credit history,
we had an argument with a loan company five years ago that went to court,
we have moved home six times in the last three years and never got on the electoral register,
we have never..."
"... little credit history,
we had an argument with a loan company five years ago that went to court,
we have moved home six times in the last three years and never got on the electoral register,
we have never been in debt before and so have no credit history,
we recently applied for other..."
"... that went to court,
we have moved home six times in the last three years and never got on the electoral register,
we have never been in debt before and so have no credit history,
we recently applied for other credit, even if it wasn't used,
And so on, and so on.
Sometimes you forget,..."
"... years and never got on the electoral register,
we have never been in debt before and so have no credit history,
we recently applied for other credit, even if it wasn't used,
And so on, and so on.
Sometimes you forget, sometimes you don't even know they are relevant, but each of the..."
"... have never been in debt before and so have no credit history,
we recently applied for other credit, even if it wasn't used,
And so on, and so on.
Sometimes you forget, sometimes you don't even know they are relevant, but each of the above can change the way a bank looks at..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... applied for other credit, even if it wasn't used,
And so on, and so on.
Sometimes you forget, sometimes you don't even know they are relevant, but each of the above can change the way a bank looks at you.
Forgotten Debts - if you are paying off a credit card or a small loan on a..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Forgotten Debts - if you are paying off a credit card or a small loan on a monthly basis, in the rush to apply for a mortgage you may forget about it. But the lender will find out and usually remove that amount from the mortgage application. In the worst case scenario they could refuse to lend to you because they are no longer confident you have told them the whole truth.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Living Outside the Country - If you have been living abroad or come from abroad there may be nothing wrong with the way you ran your finances but the bank will want to check. In some countries this is a fast proceedure, in others it can take weeks to complete. Because a survey on the property you hope to buy is not booked until the credit check is completed the vendor can get the impression that nothing is happening and decide to look for another buyer.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Arguments with Loan Companies - These are not unusual and you may have gone to court and won the day. Many people do when the creditor puts unusual clauses in very small print within the contract. But to the lender you are now applying it means you may be trouble - rightly or wrongly - and they could take a negative view on your application for this reason alone.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Regularly Moving Home - It is very common for people to move around while they are renting and on their way up the career ladder but if there was no proof that you were ever at a particular address the lender is going to get suspicious. Remember to always register yourself to vote, tell your mobile phone company your new address, and so on. Create a verifiable paper trail.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Never Been in Debt - The one that catches so many people out. You can be very pleased with the sensible way you have handled money and never needed a loan. Or perhaps you have had Mum and Dad to help you out. From the mortgage lenders point of view, however, there is nothing to show you know how to handle debt and so you are more of a risk. This could affect how much they will want to lend you.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Recently applied for credit - Every time you apply for credit your credit rating takes a hit, even if you ultimately don't take out the loan. The classic case is with store cards and goes a little like this. Mr X is out on a shopping spree and in several shops he is offered a discount on his purchases if he applies and pays for his purchase with the store's credit card. He has the money in the bank but he could make substantial savings so he takes the cards and pays them off within the month. But each card has represented an application for credit and so hit his rating. It will recover but if he applies for a mortgage in the near future he may be turned down as the lender is suspicous about the amount of credit he has been taking out.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...We can add on top of this, the totally unexpected - a mistake on your credit record. Even in a computerised world the opportunity for your name to be confused with someone else's, and someone else's debt mismanagement, is still a common occurance but you will remain blissfully unaware until it's too late.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...So if you have only arranged an Agreement in Principle there is still a great deal which could affect the bank's actual decision. The credit scoring they carry out may radically change what you can borrow. As such if you have found a really good loan or you expect to find a property quickly you should apply for the mortgage there and then even though you do not have a property in mind. Most financial advisers and lenders will try to resist this as it means more work without a full guarantee that they will get the business. Insist on it. This means you can be completely confident when you offer that you can afford it and the process will proceed smoothly and without stress.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... you can be completely confident when you offer that you can afford it and the process will proceed smoothly and without stress.
- Pre Arranged Mortgages (PAM) -
This is offered by some financial advisers and allows you to be credit checked and ready to go without having to bully your bank..."
"...This is offered by some financial advisers and allows you to be credit checked and ready to go without having to bully your bank to do it. The Sequence estate agency group are one such business that offer this service. The other advantage of a PAM is that because you have applied for the mortgage the interest rate and other features of that particular product are often held for up to three months, even if the lender removes that product from the market or increases their rates!
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... rates!
As a word of caution only apply for the mortgage or mortgages you would definitely go for as each lender will carry out a credit check on you. As mentioned earlier too many checks on your credit history makes lenders suspicious that you are trying to apply for too much debt.
Finally..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Finally and crucially check early with each lender or financial adviser what documentation they will require and organise it now. Discovering you have lost your passport and need to order six months worth of bank statements is going to be of no interest to a vendor when you are in a contract race or competing in sealed bids.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... of bank statements is going to be of no interest to a vendor when you are in a contract race or competing in sealed bids.
- What Do You Need Your Mortgage to do? -
This may sound like a bizarre question but many people loose the property they are trying to buy because they only consider a..."
"... You Need Your Mortgage to do? -
This may sound like a bizarre question but many people loose the property they are trying to buy because they only consider a single aspect of the mortgage or loan product that they are choosing. You need it to do two things:
Be the best deal on the market..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... aspect of the mortgage or loan product that they are choosing. You need it to do two things:
Be the best deal on the market for your circumstances so that you don't end up paying too much every year.
From when you apply you need it to actually get processed within a reasonable amount of time,..."
"... on the market for your circumstances so that you don't end up paying too much every year.
From when you apply you need it to actually get processed within a reasonable amount of time, say four weeks.
You want a lender who uses a quality surveyor
The first point is obvious but the second..."
"... every year.
From when you apply you need it to actually get processed within a reasonable amount of time, say four weeks.
You want a lender who uses a quality surveyor
The first point is obvious but the second and third may sound a little strange and many buyers loose the property they..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... four weeks.
You want a lender who uses a quality surveyor
The first point is obvious but the second and third may sound a little strange and many buyers loose the property they want to buy because they are never considered.
Firstly, if the mortgage product that is right for you will..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Firstly, if the mortgage product that is right for you will take ten weeks to be issued there is a good chance the vendor will get bored, or suspicious, and go in search of another buyer who can get a loan faster. The vendor usually suspects there must be something wrong with the buyers credit if things are taking too long. From your perspective you loose the property, the survey fee, the arrangement fee, legal fees and time.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Finding a fast lender is another good reason to use financial advisers, they will know who is fast and who is slow, and who is really, really slow. This varies from month to month as banks experience busy and quiet periods. If the mortgage product you want is from a really, really slow lender there is a way round it. Buy the property using a bank that is fast and choose a mortgage that has no redemption penalties. Three months after you move in re-mortgage to the product you actually wanted safe in the knowledge you have the property and it doesn't matter if the lender takes forever to process it.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...Secondly there is no point getting a great deal if the lender uses a cheap surveyor to value your property. This is a little known point but cheap surveyors are often over cautious or from outside the area. Both are reasons why they may down value your property leaving you to pay their fee, the mortgage application fee, some legal fees and have nothing to show for it.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...As an example the Britannia Building Society went through a period where they tried to cut costs on surveys by using cheaper companies or one man bands. But this lead to so few applications being agreed that they reversed the policy. For more detail on why and how this works see the chapter What a Property Survey Really Means.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... that they reversed the policy. For more detail on why and how this works see the chapter What a Property Survey Really Means.
- Financial Advisers Who Charge -
The advise here is simple. There are enough financial advisers on the market who won't charge you anything for their services that..."
"...The advise here is simple. There are enough financial advisers on the market who won't charge you anything for their services that you should not need to talk to anyone who wants a fee from you. Financial Advisers are paid a fee by the lender every time they get a new customer signed up. The idea that they should also charge you a fee for the pleasure is cheek in itself but there are plenty out there who do. Watch out for them and avoid them, even if they have a particularly good deal from a lender that suits you down to the ground the chances are by the time you have taken into account the advisers fee it won't be that tempting.
..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"... that suits you down to the ground the chances are by the time you have taken into account the advisers fee it won't be that tempting.
Summary -
The last thing any buyer wants to do is spend time with financial advisers, finding out about their own credit record or poking around the..."
"... tempting.
Summary -
The last thing any buyer wants to do is spend time with financial advisers, finding out about their own credit record or poking around the internet for mortgage deals when they could be out looking at potential new homes - much more exciting.
But this crucial step..."
"... to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard.
What's covered in this chapter
Why you should arrange a mortgage before making an offer;
Why you should talk to more than one financial..."
"...But this crucial step ensures you do not find a perfect home only to watch it disappear because of unexpected factors that could have been foreseen and resolved. While you are gathering together properties to view you should also be gathering together the documents you will need for a loan and ensuring there are no skeletons in your credit cupboard...."
Chapter 12:
Choosing a Conveyancer or Solicitor
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a property;
How different..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... take too long to transact the deal
|NO |
Shortlist!
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a property;
How different solicitors work;
Why the cheapest..."
"...
Shortlist!
Why it's worth choosing a solicitor before you start looking for a property;
How different solicitors work;
Why the cheapest solicitor can kill your purchase;
How your lender can force..."
"... this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a property;
How different solicitors work;
Why the cheapest solicitor can kill your purchase;
How your lender can force you to pay for a second solicitor;
Why you should..."
"... solicitors;
Why it's worth choosing a solicitor before you start looking for a property;
How different solicitors work;
Why the cheapest solicitor can kill your purchase;
How your lender can force you to pay for a second solicitor;
Why you should avoid small firms;
How to tell if a..."
"... you start looking for a property;
How different solicitors work;
Why the cheapest solicitor can kill your purchase;
How your lender can force you to pay for a second solicitor;
Why you should avoid small firms;
How to tell if a solicitor is 'trapped in the past';
Why a friend's..."
"... solicitors work;
Why the cheapest solicitor can kill your purchase;
How your lender can force you to pay for a second solicitor;
Why you should avoid small firms;
How to tell if a solicitor is 'trapped in the past';
Why a friend's recommendation can lead to disaster;
The quick check-list for..."
"... can kill your purchase;
How your lender can force you to pay for a second solicitor;
Why you should avoid small firms;
How to tell if a solicitor is 'trapped in the past';
Why a friend's recommendation can lead to disaster;
The quick check-list for choosing a solicitor;
True stories of..."
"... to pay for a second solicitor;
Why you should avoid small firms;
How to tell if a solicitor is 'trapped in the past';
Why a friend's recommendation can lead to disaster;
The quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start..."
"... small firms;
How to tell if a solicitor is 'trapped in the past';
Why a friend's recommendation can lead to disaster;
The quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to..."
"... 'trapped in the past';
Why a friend's recommendation can lead to disaster;
The quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... can lead to disaster;
The quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor..."
"...The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we will use 'solicitor' to mean solicitor or conveyancer). It is however, one of the single most important decisions you will make and getting it wrong wastes your time and money and could result in you loosing the property you want for no good reason. In the vast majority of cases the following principle applies:
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... majority of cases the following principle applies:
If you buy the property the solicitor gets paid but may be sued for missing something. If you do not buy the property the solicitor still gets paid and has no chance of getting sued.
It is therefore subconsciously in the solicitors..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... sued.
It is therefore subconsciously in the solicitors interest to make sure the deal does not happen although not that many spend too much time thinking about this. They have, after all, got to marry the advantageous of you not buying with the disadvantageous of you not recommending.
In..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... not buying with the disadvantageous of you not recommending.
In almost any location the choice of solicitors and the variations in price are mind boggling but there are quick and simple ways to narrow the choice down quickly.
Finding the right solicitor has nothing to do with price, this..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Finding the right solicitor has nothing to do with price, this is truly a field of getting what you pay for. If you are at offer stage and almost all of your savings have been taken up in deposit money and stamp duty it's tempting to try and save a few hundred pounds on the legal services. It's also a mistake that you will kick yourself for as you sit on hold, or wait for your fourth call of the day to be returned, or chase them to raise the enquiries that will allow exchange.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...A well financed conveyancing firm will charge a higher fee, but it will be appropriately staffed and have the technology to move things through quickly. Leaving your decision until after your offer has been accepted will lead to the same panic as not organising your finances and could leave you with many regrets.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... and could leave you with many regrets.
If the cheapy solicitor that you choose does not return calls or is overloaded with work there is an extremely high chance the vendor will loose confidence in you as a serious buyer and pull out of the deal.
Remember above everything that swift..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... confidence in you as a serious buyer and pull out of the deal.
Remember above everything that swift progress to exchange is crucial (see Chapter 19: Time Costs Deals). An efficient solicitor who knows this should work as follows:
Receives contract and title deeds (or office copy entries) and..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... (see Chapter 19: Time Costs Deals). An efficient solicitor who knows this should work as follows:
Receives contract and title deeds (or office copy entries) and starts the local searches
As soon as the sellers questionnaire, fixtures and fittings form and managing agents accounts (in the..."
"... deeds (or office copy entries) and starts the local searches
As soon as the sellers questionnaire, fixtures and fittings form and managing agents accounts (in the case of a Leasehold purchase) come through he raises enquiries
The local searches come back, perhaps prompting a couple of..."
"... managing agents accounts (in the case of a Leasehold purchase) come through he raises enquiries
The local searches come back, perhaps prompting a couple of queries, which can be resolved quickly
He asks you for the funds to allow exchange and gets you to sign the contract, even before all..."
"... searches come back, perhaps prompting a couple of queries, which can be resolved quickly
He asks you for the funds to allow exchange and gets you to sign the contract, even before all enquires are back
The mortgage offer arrives
He calls you, informs you of any unusual circumstances, and..."
"... be resolved quickly
He asks you for the funds to allow exchange and gets you to sign the contract, even before all enquires are back
The mortgage offer arrives
He calls you, informs you of any unusual circumstances, and confirms you are happy to exchange
In other words everything happens..."
"... and gets you to sign the contract, even before all enquires are back
The mortgage offer arrives
He calls you, informs you of any unusual circumstances, and confirms you are happy to exchange
In other words everything happens at once which dramatically reduces timescales. An inefficient..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... you of any unusual circumstances, and confirms you are happy to exchange
In other words everything happens at once which dramatically reduces timescales. An inefficient or "traditional" solicitor works like this:
Receives contract and title deeds which he files
He waits to get the..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... happens at once which dramatically reduces timescales. An inefficient or "traditional" solicitor works like this:
Receives contract and title deeds which he files
He waits to get the mortgage offer through (3-4 weeks). No point doing any work that will cost you money until the bank has..."
"... works like this:
Receives contract and title deeds which he files
He waits to get the mortgage offer through (3-4 weeks). No point doing any work that will cost you money until the bank has given the green light.
He then starts the local searches (2-10 weeks). This was not done earlier..."
"... cost you money until the bank has given the green light.
He then starts the local searches (2-10 weeks). This was not done earlier as there is a fee involved and he didn't want to spend this until the mortgage offer was confirmed.
Once the local searches are back he then gathers all the..."
"...Once the local searches are back he then gathers all the papers together at one time. He looks at the contract, title and lease along with the local searches. He now raises enquiries all at once as this is easier and takes less of his time. These will take 2-4 weeks, often depending on the efficiency of the managing agents, the local council and the vendors solicitor.
..."
"... often depending on the efficiency of the managing agents, the local council and the vendors solicitor.
He receives these enquiries and raises a couple more for clarity (Another 1-2 weeks)
He receives these replies and posts you the contract (2-3 days)
You sign it and return it with a cheque..."
"... and the vendors solicitor.
He receives these enquiries and raises a couple more for clarity (Another 1-2 weeks)
He receives these replies and posts you the contract (2-3 days)
You sign it and return it with a cheque (1 week to clear)
You exchange
The traditional approach will easily take..."
"... raises a couple more for clarity (Another 1-2 weeks)
He receives these replies and posts you the contract (2-3 days)
You sign it and return it with a cheque (1 week to clear)
You exchange
The traditional approach will easily take three to four months from offer to exchange whereas the..."
"... 1-2 weeks)
He receives these replies and posts you the contract (2-3 days)
You sign it and return it with a cheque (1 week to clear)
You exchange
The traditional approach will easily take three to four months from offer to exchange whereas the modern approach can usually keep the..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...The traditional approach will easily take three to four months from offer to exchange whereas the modern approach can usually keep the timescales to within four weeks! The traditional solicitor will argue that if anything were to go wrong at any stage he has saved you money. If your survey is a problem, for example, at least you will not have paid for local searches or his time to look at the contract. It's a contradiction - the longer a sale drags on, the more likely it is to fall through (see Chapter 19: Time Costs Deals) and cost you money anyway.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Traditional solicitors are more likely to be found in rural areas of the UK where, to be fair, there is less urgency on a sale and they may save you money. They are not to be used for purchases in a major city or booming markets where their slow pace can have the vendor doubting how serious you are.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... where their slow pace can have the vendor doubting how serious you are.
If you are in doubt and if you want an easy life one of the best ways to choose a solicitor is ask several Estate Agents who they would recommend.
Any of these names are likely to be good. Estate Agents only recommend..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Any of these names are likely to be good. Estate Agents only recommend solicitors who work fast and return calls. It makes their lives easier too, especially when there is a change of buyers and sellers involved. Collusion between solicitors and agents is extremely rare as the law surrounding the obligations of solicitors and your rights to sue are very advanced.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... is extremely rare as the law surrounding the obligations of solicitors and your rights to sue are very advanced.
- How your lender can force you to pay for a second solicitor -
Before we move onto how you can chose a good solicitor it is worth bearing in mind the following. No matter who you..."
"... you to pay for a second solicitor -
Before we move onto how you can chose a good solicitor it is worth bearing in mind the following. No matter who you chose your lender, if you are taking out a mortgage, might end up forcing you to hire a second solicitor.
Lenders are risking their money on..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... end up forcing you to hire a second solicitor.
Lenders are risking their money on your property. If you stop paying your mortgage they will take the property and try to sell it in order to get their cash back. So far that seems obvious.
The surveyor will confirm the market value of the..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...The surveyor will confirm the market value of the property but it is the solicitor who will raise flags on anything unusual that may affect this value. If, after receiving the paperwork from the solicitor you hired, the lender feels the conveyancing has not been carried out competently they will refuse to lend until a solicitor they trust has been over the documents and raised any enquiries of their own.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... the documents and raised any enquiries of their own.
This comes as a profound shock to many buyers because they also find out that the lender is expecting them to pay for the second solicitor as well. These situations are common where:
There is a high Loan to Value (LTV) - in other words..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... is expecting them to pay for the second solicitor as well. These situations are common where:
There is a high Loan to Value (LTV) - in other words the buyer is borrowing most of the money.
The solicitor is small and relatively unknown - and this usually means cheap which was why they were..."
"... is a high Loan to Value (LTV) - in other words the buyer is borrowing most of the money.
The solicitor is small and relatively unknown - and this usually means cheap which was why they were chosen.
In the end the buyer ends up paying for the cheap solicitor and the lenders more expensive..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... cheap which was why they were chosen.
In the end the buyer ends up paying for the cheap solicitor and the lenders more expensive solicitor which, in total, cost more than if the buyer had simply chosen a quality conveyancer in the first place.
If you are in doubt, or your finances are..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... the first place.
If you are in doubt, or your finances are stretched and you do not want to risk this outcome, it is recommended that you contact the lender and ask them for a list of solicitors that they recommend. Most have specific panels for each area of the country.
Otherwise the..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... they recommend. Most have specific panels for each area of the country.
Otherwise the remainder of this chapter explains how to find a good quality solicitor who will do the job right within a sensible time scale.
- Big Firms and Little Firms -
Small companies are to be avoided at all..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... remainder of this chapter explains how to find a good quality solicitor who will do the job right within a sensible time scale.
- Big Firms and Little Firms -
Small companies are to be avoided at all costs. A one man band or a couple of partners are too risky for the following..."
"... do the job right within a sensible time scale.
- Big Firms and Little Firms -
Small companies are to be avoided at all costs. A one man band or a couple of partners are too risky for the following reasons:
They can very easily become overloaded with work
It can be difficult to get..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... companies are to be avoided at all costs. A one man band or a couple of partners are too risky for the following reasons:
They can very easily become overloaded with work
It can be difficult to get through by 'phone
They do not always have email
Their computer systems can be lacking
They..."
"... man band or a couple of partners are too risky for the following reasons:
They can very easily become overloaded with work
It can be difficult to get through by 'phone
They do not always have email
Their computer systems can be lacking
They are not always on the DX system
Holidays and..."
"... risky for the following reasons:
They can very easily become overloaded with work
It can be difficult to get through by 'phone
They do not always have email
Their computer systems can be lacking
They are not always on the DX system
Holidays and illness have a big impact on their ability..."
"... can very easily become overloaded with work
It can be difficult to get through by 'phone
They do not always have email
Their computer systems can be lacking
They are not always on the DX system
Holidays and illness have a big impact on their ability to handle your case
You have no..."
"... with work
It can be difficult to get through by 'phone
They do not always have email
Their computer systems can be lacking
They are not always on the DX system
Holidays and illness have a big impact on their ability to handle your case
You have no one to complain to
- Work Overload -..."
"... do not always have email
Their computer systems can be lacking
They are not always on the DX system
Holidays and illness have a big impact on their ability to handle your case
You have no one to complain to
- Work Overload -
One, two or three solicitors working in an office may..."
"... can be lacking
They are not always on the DX system
Holidays and illness have a big impact on their ability to handle your case
You have no one to complain to
- Work Overload -
One, two or three solicitors working in an office may seem all very cosy. This is the traditional model but..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... always on the DX system
Holidays and illness have a big impact on their ability to handle your case
You have no one to complain to
- Work Overload -
One, two or three solicitors working in an office may seem all very cosy. This is the traditional model but in a rising market with much..."
"...One, two or three solicitors working in an office may seem all very cosy. This is the traditional model but in a rising market with much activity they can very quickly become overloaded with work. Holidays, illness or someone leaving only compounds this problem. They may have been recommended to you by a friend or a colleague but this will be little consolation if they are slow and you get gazumped or the vendor pulls out, frustrated at a lack of process and assuming you are not serious about the purchase.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... and you get gazumped or the vendor pulls out, frustrated at a lack of process and assuming you are not serious about the purchase.
- Getting Through -
When things get busy solicitors can end up spending all day answering calls from their clients and not looking at the legalities which..."
"...
When things get busy solicitors can end up spending all day answering calls from their clients and not looking at the legalities which they need to get resolved in order to progress the sale. Justifiably they take shelter behind a secretary or answering machine so they can get on with things.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... machine so they can get on with things.
If they have no email then you are stranded leaving messages. If they have email you simply have to wait for them to come back to you when they have finished the paperwork they are dealing with.
- Computer Systems -
Any good modern..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... If they have email you simply have to wait for them to come back to you when they have finished the paperwork they are dealing with.
- Computer Systems -
Any good modern solicitor should have their systems automated. This means they can quickly access your file or, in their absence,..."
"...Any good modern solicitor should have their systems automated. This means they can quickly access your file or, in their absence, someone else can bring you up to speed. For an agent it is very easy to spot an out of date solicitor. If they 'phone up and ask on progress the solicitor does one of the following
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... to spot an out of date solicitor. If they 'phone up and ask on progress the solicitor does one of the following
Is non specific about progress but says everything is 'in hand'
Says he is going to get the file and disappears for a couple of minutes as he digs out the hard copy
As a buyer..."
"... does one of the following
Is non specific about progress but says everything is 'in hand'
Says he is going to get the file and disappears for a couple of minutes as he digs out the hard copy
As a buyer you won't be able to hear this until it is too late so make sure to ask how they..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... As a buyer you won't be able to hear this until it is too late so make sure to ask how they track the deal and who can access that information in your solicitors absence. Some very modern companies now offer internet access so you can keep informed on progress at any time of the day or night.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Also check and make sure the solicitor has email. It is a much more efficient way of keeping in touch as they are usually extremely busy and chances are, if you can afford to buy in a major city, so are you! Avoid solicitors without email, it says a great deal about their understanding of modern technology, and about the way they work in general.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... solicitors without email, it says a great deal about their understanding of modern technology, and about the way they work in general.
- The DX System -
Unbeknown to most people solicitors have their own postal system known as DX (Document Exchange) which allows them to move large documents..."
"...Unbeknown to most people solicitors have their own postal system known as DX (Document Exchange) which allows them to move large documents rapidly between each other. Very small solicitors or extremely old fashioned ones have not invested in this and so much backwarding and forwarding is reliant on the post. Considering the number of strikes at individual sorting offices over the last few years the last place you want your signed contract is in a sorting office while postal workers argue over health and safety or pay and conditions.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... or pay and conditions.
If a solicitor does not have DX avoid them - it speaks volumes about their investment in their own business and their understanding of even the most basic technologies. It also speaks volumes about how fast they intend to transact the deal.
- Holidays -
When your..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... and their understanding of even the most basic technologies. It also speaks volumes about how fast they intend to transact the deal.
- Holidays -
When your solicitor disappears off on his spring break he will either leave your case to one of his partners or hire a locum (a temporary..."
"...When your solicitor disappears off on his spring break he will either leave your case to one of his partners or hire a locum (a temporary solicitor). They may want to read over the paperwork again and, knowing that it is them who will take the fall for any issues they allowed to get through at exchange, raise some more enquiries. The result is that when you thought you were exchanging on Tuesday morning, suddenly your solicitor wants a bunch of new questions answered. Depending how rocky the transaction has been to date this can often be the straw that breaks the camel's back for the vendor.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Make sure the solicitor you choose has a colleague (not a temporary solicitor drafted in from somewhere else) who will handle your case in his absence and that within the firm there are agreed protocols on what questions must be answered before exchange to avoid any nasty delays. Most importantly check your solicitors holiday plans at the start of the transaction and make the vendor and/or agent aware so no one is taken by surprise.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... your solicitors holiday plans at the start of the transaction and make the vendor and/or agent aware so no one is taken by surprise.
- Who to Complain to -
The big advantage of large companies is that you are unlikely to be dealing with the boss or senior partner. This means you will be..."
"...The big advantage of large companies is that you are unlikely to be dealing with the boss or senior partner. This means you will be able to push the matter higher if you think the solicitor acting for you is inefficient. With a small partnership you probably are dealing with the boss and any complaints procedure will involve external parties. The investigation will take so long you are bound to have lost the property before anything is resolved.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... external parties. The investigation will take so long you are bound to have lost the property before anything is resolved.
- The New Breed of Conveyancers -
In recent years there have been two changes in the world of conveyancing solicitors:
Small firms have recognised the future is..."
"... are bound to have lost the property before anything is resolved.
- The New Breed of Conveyancers -
In recent years there have been two changes in the world of conveyancing solicitors:
Small firms have recognised the future is in size and merged, bought other firms or been taken over..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... there have been two changes in the world of conveyancing solicitors:
Small firms have recognised the future is in size and merged, bought other firms or been taken over themselves to justify the investment required
New companies have started up offering a totally new approach
Both of..."
"... future is in size and merged, bought other firms or been taken over themselves to justify the investment required
New companies have started up offering a totally new approach
Both of these are offering all or some of the following:
Longer opening hours (some including late evenings..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... over themselves to justify the investment required
New companies have started up offering a totally new approach
Both of these are offering all or some of the following:
Longer opening hours (some including late evenings and weekends)
Call centres to ensure you can speak to someone who..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... have started up offering a totally new approach
Both of these are offering all or some of the following:
Longer opening hours (some including late evenings and weekends)
Call centres to ensure you can speak to someone who has access to your records
Access to web sites so you can..."
"... offering all or some of the following:
Longer opening hours (some including late evenings and weekends)
Call centres to ensure you can speak to someone who has access to your records
Access to web sites so you can track the progress of your purchase
These firms are well worth considering..."
"... late evenings and weekends)
Call centres to ensure you can speak to someone who has access to your records
Access to web sites so you can track the progress of your purchase
These firms are well worth considering as long as you can be satisfied on two counts.
They know the area..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... who has access to your records
Access to web sites so you can track the progress of your purchase
These firms are well worth considering as long as you can be satisfied on two counts.
They know the area that you are buying in
They do not operate a conveyer belt service.
Knowing..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... the progress of your purchase
These firms are well worth considering as long as you can be satisfied on two counts.
They know the area that you are buying in
They do not operate a conveyer belt service.
Knowing Where You Are Buying -
A solicitor needs some sort of local..."
"... firms are well worth considering as long as you can be satisfied on two counts.
They know the area that you are buying in
They do not operate a conveyer belt service.
Knowing Where You Are Buying -
A solicitor needs some sort of local knowledge or to work with colleagues that do...."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... you can be satisfied on two counts.
They know the area that you are buying in
They do not operate a conveyer belt service.
Knowing Where You Are Buying -
A solicitor needs some sort of local knowledge or to work with colleagues that do. Otherwise they will not be able to picture the..."
"...A solicitor needs some sort of local knowledge or to work with colleagues that do. Otherwise they will not be able to picture the type of property you are buying and this will lead to irrelevant inquiries being raised that frustrate and annoy the vendor. They will also not have contacts within the area (such as the local borough council) which mean that certain enquiries cannot be resolved instantly.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Furthermore a city centre solicitor should understand the urgency of taking an agreed price to exchange in a highly competitive market. A point often lost on a solicitor in North Wales who may constantly tell you to relax and not worry about anything as he gazes out over the green hills contemplating what to do when he leaves at three o'clock that afternoon!
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... about anything as he gazes out over the green hills contemplating what to do when he leaves at three o'clock that afternoon!
The following two cases say it all!
True Story - an unstable building on Essex RoadMr Bollen was looking for a one bedroom flat for his daughter. Something..."
"...True Story - an unstable building on Essex RoadMr Bollen was looking for a one bedroom flat for his daughter. Something straightforward to buy in a safe location. He was happy when he found an apartment in Roberts Court on Essex Road. The development was only four years old and in extremely good order.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... years old and in extremely good order.
He actually lived in Harpenden and initially wanted to use his own solicitor that did most of the family business but did listen to reason and instructed a solicitor based in the next street to the property.
When the local search came back it..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...When the local search came back it revealed that the building had a 'dangerous structure' notice issued against it. The solicitor called a friend in the local council who found out within the hour that this related to a porta-cabin that had become unstable during a storm when the building was actually constructed.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... A solicitor with a poor understanding of the local area may well have taken the news of a dangerous structure to the buyers who could have panicked and pulled out. If they had not the solicitor would have had to write to the local council which may have delayed the exchange by another two weeks.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... have had to write to the local council which may have delayed the exchange by another two weeks.
In either case Mr Bollen could have lost the property (and the legal fees) for no good reason.
True Story - planning permission from 1903!
Frank and Sarah had offered on a Mansion Block..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... by another two weeks.
In either case Mr Bollen could have lost the property (and the legal fees) for no good reason.
True Story - planning permission from 1903!
Frank and Sarah had offered on a Mansion Block apartment in Clapham. The price was agreed but they wanted to use a solicitor..."
"... permission from 1903!
Frank and Sarah had offered on a Mansion Block apartment in Clapham. The price was agreed but they wanted to use a solicitor based in Exeter because the firm had been recommended by a friend and was cheaper than any quote they had had from London.
The Mansion Block had..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... than any quote they had had from London.
The Mansion Block had been built in 1903 but this was not the kind of building that the Exeter solicitor was used to dealing with and so she requested the planning consent and the architects original drawings.
The vendor thought that the buyers were..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... architects original drawings.
The vendor thought that the buyers were probably not serious and considered whether to withdraw the papers and look for a new buyer. He only backed down after the buyers interceded and asked their solicitor to drop the enquiry.
- The Conveyer Belt Method -..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... papers and look for a new buyer. He only backed down after the buyers interceded and asked their solicitor to drop the enquiry.
- The Conveyer Belt Method -
Some large conveyancing firms feel it is efficient to break down the process into bits which are dealt with one by one. First they..."
"...Some large conveyancing firms feel it is efficient to break down the process into bits which are dealt with one by one. First they check the title, fixtures and fittings list, sellers questionnaire and contract have all arrived. Only when all documents are in do they then pass it onto the next stage. This is handled by a different team who order the local searches and wait for the results.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... searches and wait for the results.
Once local searches have come back the whole lot gets passed to the next team who then raise enquiries on the title, contract, fixtures and fittings, sellers questionnaire, local searches and maybe even on the survey.
When the replies have come back they..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... even on the survey.
When the replies have come back they pass the results onto the next team who are qualified solicitors. They look at the replies and all the paperwork and then raise further enquiries where their standard systems have not closed off the gaps.
This system is slow and..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... then raise further enquiries where their standard systems have not closed off the gaps.
This system is slow and so annoying to the vendor that they often feel the sale is going nowhere and withdraw.
It is because of the way they work that they are efficient in terms of 'cost per case'..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...
It is because of the way they work that they are efficient in terms of 'cost per case' which tempts many buyers. Avoid them when buying in a town or major city or when the market is busy and rising, they take too long to process the transaction making them unsuitable for the city markets.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... city or when the market is busy and rising, they take too long to process the transaction making them unsuitable for the city markets.
- No Sale, No Fee -
This is a very tempting offer from solicitors and even though it is not quite as good as it sounds, it means your solicitor is motivated..."
"...This is a very tempting offer from solicitors and even though it is not quite as good as it sounds, it means your solicitor is motivated to get the conveyancing completed quickly. Technically the "no fee" relates to the labour part of the fee. In other words you will still have to pay for local searches and other charges but they won't charge you for their service.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... of the fee. In other words you will still have to pay for local searches and other charges but they won't charge you for their service.
- Fixed Fee -
A fixed fee offer from a solicitor is another relatively new product. It is usually more expensive than a standard estimated quote but..."
"...A fixed fee offer from a solicitor is another relatively new product. It is usually more expensive than a standard estimated quote but remember that estimated quotes are based on everything going through without a hitch. This is rarely the case, especially with strange leaseholds and various extra legal documents such as deeds of variation can often lead to unexpected costs.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... to unexpected costs.
Depending on your financial circumstances the Fixed Fee option may be well worth considering. It is also a bonus to see a solicitor offer this as it shows they are forward thinking in their business attitudes and have control over their costs.
- Recommended by a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... to see a solicitor offer this as it shows they are forward thinking in their business attitudes and have control over their costs.
- Recommended by a Friend -
This is potentially one of the worst ways to choose a solicitor but an understandable mistake made by many buyers. If someone says to..."
"...This is potentially one of the worst ways to choose a solicitor but an understandable mistake made by many buyers. If someone says to you 'use solicitor X because they are really thorough" ask them how they know. The only way to be sure a solicitor has been thorough is when you come to sell and your solicitor at this time doesn't say, "who the hell let this transaction go through?"
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Many people base the word "through" on how many questions and enquiries their solicitor raises but has no idea if these are actually relevant. There is a fine line between being thorough and going over the top to cover any eventuality under the sun. Too many enquiries that are seen by the vendor as irrelevant can simply lead him or her to believe that you are not a serious buyer and pull out of the deal.
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... as irrelevant can simply lead him or her to believe that you are not a serious buyer and pull out of the deal.
A friends recommendation should only be considered if you are also:
Buying a similar property (e.g. a leasehold period flat)
Buying in a similar area
Your friend, for..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... not a serious buyer and pull out of the deal.
A friends recommendation should only be considered if you are also:
Buying a similar property (e.g. a leasehold period flat)
Buying in a similar area
Your friend, for example, may have bought a brand new apartment where the builder has an..."
"... friends recommendation should only be considered if you are also:
Buying a similar property (e.g. a leasehold period flat)
Buying in a similar area
Your friend, for example, may have bought a brand new apartment where the builder has an experienced legal team that drew up a full..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"...Your friend, for example, may have bought a brand new apartment where the builder has an experienced legal team that drew up a full set of papers months ago. A solicitor has to be seriously incompetent to cock up that transaction whereas they only need to be mildly incompetent to mess things up with your Victorian leasehold where the freeholder who produced the lease is a bank in Japan or the Earl of Cornwall!
..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... or the Earl of Cornwall!
Your friend may also have bought a property in Wandsworth using a Wandsworth solicitor. That solicitor knows Wandsworth and the idiosyncratic nature of Wandsworth legalities but when it comes to your place in Leytonstone he is all at sea.
- Summary -
Choosing..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... knows Wandsworth and the idiosyncratic nature of Wandsworth legalities but when it comes to your place in Leytonstone he is all at sea.
- Summary -
Choosing the right solicitor saves time, money and stress and ensures you will get the property you want. At the same time you can rest easy..."
"... he is all at sea.
- Summary -
Choosing the right solicitor saves time, money and stress and ensures you will get the property you want. At the same time you can rest easy that there will be no nasty surprises when you come to sell your home.
The flowchart on the following page is a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... nasty surprises when you come to sell your home.
The flowchart on the following page is a simplified version of what has been described in this chapter but acts as a quickly accessible checklist when you consider the services you are offered.
On a final note be prepared for the fact that not..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... you are offered.
On a final note be prepared for the fact that not every solicitor will actually want your work. The most successful firms can pick and choose. Some decide, for example, not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... choose. Some decide, for example, not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
..."
"... and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the..."
"...
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid -..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid - you can spend all day trying to get through to one person and if they..."
"... and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the..."
"... that allows other staff in his office to give you feedback?
--- NO --->
Avoid - you can spend all day trying to get through to one person and if they are off sick no one else can process the transaction
|YES |
Does the solicitor have email?
--- NO --->
..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid -..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... trying to get through to one person and if they are off sick no one else can process the transaction
|YES |
Does the solicitor have email?
--- NO --->
Avoid - it says a great deal about how they understand technology and modern working methods
|YES..."
"... and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the..."
"... the transaction
|YES |
Does the solicitor have email?
--- NO --->
Avoid - it says a great deal about how they understand technology and modern working methods
|YES |
Does the solicitor have DX?
--- NO --->
Avoid - it says a..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid -..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... Avoid - it says a great deal about how they understand technology and modern working methods
|YES |
Does the solicitor have DX?
--- NO --->
Avoid - it says a great deal about how they understand technology and modern working methods
|YES ..."
"... and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the..."
"... the transaction
|YES |
Does the solicitor have email?
--- NO --->
Avoid - it says a great deal about how they understand technology and modern working methods
|YES |
Does the solicitor have DX?
--- NO --->
Avoid - it says a..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid -..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... deal about how they understand technology and modern working methods
|YES |
Does the solicitor regularly carry out conveyancing in the area that you are buying?
--- NO --->
Avoid - small issues will take a long time to get resolved as they do not have the..."
"... and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the..."
"... that you are buying?
--- NO --->
Avoid - small issues will take a long time to get resolved as they do not have the contacts within the area to resolve matters quickly and he will not be familiar with the types of properties and their legalities.
|YES |
Does..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on their ability to process your transaction
|YES |
Does the solicitor have a computer system that allows other staff in his office to give you feedback?
--- NO --->
Avoid -..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quickly and he will not be familiar with the types of properties and their legalities.
|YES |
Does the solicitor operate a 'conveyer belt' system?
--- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
..."
"... with the types of properties and their legalities.
|YES |
Does the solicitor operate a 'conveyer belt' system?
--- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
..."
"...
|YES |
Does the solicitor operate a 'conveyer belt' system?
--- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... operate a 'conveyer belt' system?
--- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... belt' system?
--- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
..."
"... not to handle leasehold work, others not to deal with first time buyers, and so on.
Flowchart for Choosing the Right Solicitor
Does the solicitor have three or more staff members?
--- NO --->
Avoid - Holidays and sickness have a massive impact on..."
"... quick check-list for choosing a solicitor;
True stories of solicitors who made mistakes.
- Before You Start Viewing Properties -
The last thing you want to do when you have made the decision to start house hunting is bother with looking for a solicitor (and in this chapter we..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
"... --- YES --->
Avoid in a busy market - they will take too long to transact the deal
|NO |
Shortlist!
What's covered in this chapter
The secret agenda of some solicitors;
Why it's worth choosing a solicitor before you start looking for a..."
Chapter 13:
Your Own Homework
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank does;
How to find out..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php What will happen to property prices where you want to buy;
How to check your credit record before the bank does;
How to find out if a property is in a flood zone;
How to check..."
"... How to check your credit record before the bank does;
How to find out if a property is in a flood zone;
How to check if a property has planning permission (or if it needs..."
"... will happen to property prices where you want to buy;
How to check your credit record before the bank does;
How to find out if a property is in a flood zone;
How to check if a property has planning permission (or if it needs it);
How to find out what the current owner paid and if..."
"... buy;
How to check your credit record before the bank does;
How to find out if a property is in a flood zone;
How to check if a property has planning permission (or if it needs it);
How to find out what the current owner paid and if this really matters;
How to find the nearest park, railway,..."
"... out if a property is in a flood zone;
How to check if a property has planning permission (or if it needs it);
How to find out what the current owner paid and if this really matters;
How to find the nearest park, railway, busy road, etc. from your armchair;
Checking the schools in a given..."
"... permission (or if it needs it);
How to find out what the current owner paid and if this really matters;
How to find the nearest park, railway, busy road, etc. from your armchair;
Checking the schools in a given area;
What crime is like in any particular neighbourhood.
There is..."
"... the current owner paid and if this really matters;
How to find the nearest park, railway, busy road, etc. from your armchair;
Checking the schools in a given area;
What crime is like in any particular neighbourhood.
There is plenty you, as a buyer, can check about any particular..."
"... to find the nearest park, railway, busy road, etc. from your armchair;
Checking the schools in a given area;
What crime is like in any particular neighbourhood.
There is plenty you, as a buyer, can check about any particular property and much of it can be carried out over the..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"...There is plenty you, as a buyer, can check about any particular property and much of it can be carried out over the internet. This will help you in deciding whether or not to view a property in the first place, how much you are prepared to offer and even give you bargaining chips in the negotiations. Some of the most common questions that you can find answers for yourself are in this chapter.
..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... chips in the negotiations. Some of the most common questions that you can find answers for yourself are in this chapter.
- What will Happen to the Property Market? -
Unfortunately this is a black hole many buyers fall down. There are numerous sources on the web with average house prices,..."
"...Unfortunately this is a black hole many buyers fall down. There are numerous sources on the web with average house prices, average salaries and a wealth of other data which you can use to start building your own model of what will happen to the market. But these rarely work. A visit to the archives of housepricecrash.co.uk will reveal some very sensibly argued predictions that never came to pass.
..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... the archives of housepricecrash.co.uk will reveal some very sensibly argued predictions that never came to pass.
For more on this see Chapter 5: Is the Property Market Overvalued?
- Am I in a Good Financial Position to Buy Property? -
If your property purchase is going to involve..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... argued predictions that never came to pass.
For more on this see Chapter 5: Is the Property Market Overvalued?
- Am I in a Good Financial Position to Buy Property? -
If your property purchase is going to involve borrowing money it is worth checking your current credit ratings. Many..."
"...If your property purchase is going to involve borrowing money it is worth checking your current credit ratings. Many people who have lead a prudent life are often surprised to find they have a very poor rating. Others are also taken aback when a mortgage is rejected because of some event in the past that has long been cleared up but the settlement was never properly passed on to the credit rating agency.
..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... was never properly passed on to the credit rating agency.
Use an online agency such as Experian to check your record. Note it takes several days to register with postal verification required so do not leave it to the last minute.
- Is the Property in a Flood Zone? -
The Environment..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... your record. Note it takes several days to register with postal verification required so do not leave it to the last minute.
- Is the Property in a Flood Zone? -
The Environment Agency has a complete map of the United Kingdom showing all the flood zones. These can be seen online at their..."
"... - Is the Property in a Flood Zone? -
The Environment Agency has a complete map of the United Kingdom showing all the flood zones. These can be seen online at their website https://www.environment-agency.gov.uk/homeandleisure/floods/default.aspx.
- Is There Planning Permission for This..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... These can be seen online at their website https://www.environment-agency.gov.uk/homeandleisure/floods/default.aspx.
- Is There Planning Permission for This Property? -
If you have looked at a property that is new or appears to have had an extension you can check if planning permission..."
"... Permission for This Property? -
If you have looked at a property that is new or appears to have had an extension you can check if planning permission exists for this before going down the expensive road of hiring a solicitor and paying a surveyor.
It is important to note that some..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... expensive road of hiring a solicitor and paying a surveyor.
It is important to note that some small extensions in certain areas do not require planning permission - check with the local authority for exact details in your location.
To find out if the property you are buying has got planning..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... exact details in your location.
To find out if the property you are buying has got planning permission the files are freely available at walk in centres operated by the local council. Some now even keep their databases on the internet for public access.
- How Much Did the Vendor Buy the..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... at walk in centres operated by the local council. Some now even keep their databases on the internet for public access.
- How Much Did the Vendor Buy the Property for? -
The last time a property was sold (if this happened within the last decade), and the value it sold for, are listed on the..."
"... Property for? -
The last time a property was sold (if this happened within the last decade), and the value it sold for, are listed on the Right Move website at https://www.rightmove.co.uk/house-prices.html. In considering the current asking price you should take into account:
How long ago..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... In considering the current asking price you should take into account:
How long ago the last transaction was and what has happened in the market since then.
If you are aware of major improvements (has it been renovated by a developer, has the current owner..."
"... what has happened in the market since then.
If you are aware of major improvements (has it been renovated by a developer, has the current owner added an extension or converted the loft, etc.) Ask the selling agent or the vendor if you are unsure.
Note that this can sometimes be a case of a..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"...Note that this can sometimes be a case of a little knowledge being a dangerous thing. If you know the property was purchased twelve months ago for £100,000 and is now on the market for £200,000 this does not mean it is overvalued even if you find it hard to accept the profit that the vendor is making.
..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... you find it hard to accept the profit that the vendor is making.
Remember not all buyers will have carried out as much research as you and if surrounding and similar properties are selling at this level, then so will this one.
- How Far is the Nearest Park, Busy Road, Railway? -
Google..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... as much research as you and if surrounding and similar properties are selling at this level, then so will this one.
- How Far is the Nearest Park, Busy Road, Railway? -
Google Maps now offer an excellent way to look at your prospective property from above and allow you to check for..."
"... Park, Busy Road, Railway? -
Google Maps now offer an excellent way to look at your prospective property from above and allow you to check for anything which may put you off. This might include large buildings that could be factories, busy roads, airfields, etc.
Recent improvements mean it..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... include large buildings that could be factories, busy roads, airfields, etc.
Recent improvements mean it is even possible to look around many streets using Google Earth before you even go to view a property.
- What are the Schools in the Area Like? -
You can check the performance of..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... improvements mean it is even possible to look around many streets using Google Earth before you even go to view a property.
- What are the Schools in the Area Like? -
You can check the performance of schools close to the property you are buying at Zoopla.co.uk but if you are thinking of one..."
"... the Schools in the Area Like? -
You can check the performance of schools close to the property you are buying at Zoopla.co.uk but if you are thinking of one particular school be sure to contact them directly. Many have strict post code dictated boundaries.
- What is Crime Like in the Area..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... if you are thinking of one particular school be sure to contact them directly. Many have strict post code dictated boundaries.
- What is Crime Like in the Area -
There are cold statistics on sites such as Zoopla.co.uk but if crime seriously concerns you then getting in contact with the..."
"...There are cold statistics on sites such as Zoopla.co.uk but if crime seriously concerns you then getting in contact with the nearest police station can be very useful. Many have community officers who are very much in touch with specific neighbourhoods and can tell you the reality, good or bad, far better than a few percentage figures.
..."
"... You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php
What's covered in this chapter
What will happen to property prices where you want to buy;
How to check your credit record before the bank..."
"... are very much in touch with specific neighbourhoods and can tell you the reality, good or bad, far better than a few percentage figures.
- Summary -
The amount of self-education that is possible continues to grow with every year as technology moves forward and especially as the internet..."
"...
The amount of self-education that is possible continues to grow with every year as technology moves forward and especially as the internet evolves. You can keep up to date with the latest online tools at your disposal on the webpage https://howtoreallybuyaproperty.co.uk/property-resources.php..."
Chapter 14:
Viewing Properties and Making Offers
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted. What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that could cause you..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... Part III, From Offer to Exchange but first let's cover how to make offers which get accepted. Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that could cause you offence;
The terminology used by..."
"... let's cover how to make offers which get accepted. What documents you should have to hand;
Why agents ask questions that could cause you offence;
The terminology used by agents;
The difference between Chain Free and..."
"... Why agents ask questions that could cause you offence;
The terminology used by agents;
The difference between Chain Free and Vacant Possession;
Why you can't get a mortgage..."
"... it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that could cause you offence;
The terminology used by agents;
The difference between Chain Free and Vacant Possession;
Why you can't get a mortgage on some properties;
The characteristics of a..."
"... you should have to hand;
Why agents ask questions that could cause you offence;
The terminology used by agents;
The difference between Chain Free and Vacant Possession;
Why you can't get a mortgage on some properties;
The characteristics of a leasehold property;
What lease lengths..."
"... that could cause you offence;
The terminology used by agents;
The difference between Chain Free and Vacant Possession;
Why you can't get a mortgage on some properties;
The characteristics of a leasehold property;
What lease lengths affect a properties value;
How lease lengths can be..."
"... used by agents;
The difference between Chain Free and Vacant Possession;
Why you can't get a mortgage on some properties;
The characteristics of a leasehold property;
What lease lengths affect a properties value;
How lease lengths can be extended;
Why Share of Freehold is not always..."
"... Free and Vacant Possession;
Why you can't get a mortgage on some properties;
The characteristics of a leasehold property;
What lease lengths affect a properties value;
How lease lengths can be extended;
Why Share of Freehold is not always attractive;
The agent's obligations if you make an..."
"... get a mortgage on some properties;
The characteristics of a leasehold property;
What lease lengths affect a properties value;
How lease lengths can be extended;
Why Share of Freehold is not always attractive;
The agent's obligations if you make an offer.
- How the System Works -..."
"... characteristics of a leasehold property;
What lease lengths affect a properties value;
How lease lengths can be extended;
Why Share of Freehold is not always attractive;
The agent's obligations if you make an offer.
- How the System Works -
It is an incredible thought that many of..."
"... lengths affect a properties value;
How lease lengths can be extended;
Why Share of Freehold is not always attractive;
The agent's obligations if you make an offer.
- How the System Works -
It is an incredible thought that many of the viewings on properties are carried out by..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... lease lengths can be extended;
Why Share of Freehold is not always attractive;
The agent's obligations if you make an offer.
- How the System Works -
It is an incredible thought that many of the viewings on properties are carried out by agents who have absolutely no idea what the..."
"... -
It is an incredible thought that many of the viewings on properties are carried out by agents who have absolutely no idea what the applicant is looking for or if they can afford anything more than a broom cupboard in Aberdeen. A typical telephone conversation can look something like this:
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... can afford anything more than a broom cupboard in Aberdeen. A typical telephone conversation can look something like this:
AGENT: Hello, Nice Estate Agents, Jim Speaking
CALLER: Hi, I've seen your sign outside 26 Easy Avenue. What is it and how much?
AGENT: That's a four bedroomed house going..."
"... telephone conversation can look something like this:
AGENT: Hello, Nice Estate Agents, Jim Speaking
CALLER: Hi, I've seen your sign outside 26 Easy Avenue. What is it and how much?
AGENT: That's a four bedroomed house going for £550,000
CALLER: Fantastic, when can I see it
AGENT:..."
"... Nice Estate Agents, Jim Speaking
CALLER: Hi, I've seen your sign outside 26 Easy Avenue. What is it and how much?
AGENT: That's a four bedroomed house going for £550,000
CALLER: Fantastic, when can I see it
AGENT: Well, I'm free in about half an hour
It really is that simple and, when..."
"... I've seen your sign outside 26 Easy Avenue. What is it and how much?
AGENT: That's a four bedroomed house going for £550,000
CALLER: Fantastic, when can I see it
AGENT: Well, I'm free in about half an hour
It really is that simple and, when you come to sell your property, it really is..."
"... What is it and how much?
AGENT: That's a four bedroomed house going for £550,000
CALLER: Fantastic, when can I see it
AGENT: Well, I'm free in about half an hour
It really is that simple and, when you come to sell your property, it really is that insecure. Try it yourself word for word..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...It really is that simple and, when you come to sell your property, it really is that insecure. Try it yourself word for word and see what happens! For you as a buyer it can be a sure sign that the day you are desperate to get a second viewing on the fantastic flat you have seen, the agent is showing a bored housewife around a Georgian property she has no intention of buying!
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Even more jaw-dropping is that the law requires an Estate Agent to pass on any offer you make to a vendor, in writing, within twenty-four hours. You do not have to prove that you can actually back this offer up with any sort of funding. Beware however that they call this type of offer, to the vendor, "reckless" and so it does you no favours at all as a buyer.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...This all means that you can step out and start viewing properties straight away although if you do not want to waste your own time it is worth taking a moment to familiarise yourself with the common terminology that will be bounded around. You will also find the more professional agents do require certain documents before they are prepared to spend time with you. As such you will need to know:
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... professional agents do require certain documents before they are prepared to spend time with you. As such you will need to know:
How to prepare for your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation..."
"... certain documents before they are prepared to spend time with you. As such you will need to know:
How to prepare for your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find..."
"... before they are prepared to spend time with you. As such you will need to know:
How to prepare for your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... spend time with you. As such you will need to know:
How to prepare for your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your requirements
- Useful..."
"... will need to know:
How to prepare for your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your requirements
- Useful Documentation -
Some agents do require you..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... your viewings
Common terminology
How to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your requirements
- Useful Documentation -
Some agents do require you to prove that you have at least thought..."
"... to make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your requirements
- Useful Documentation -
Some agents do require you to prove that you have at least thought about your finances before they..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out your requirements
- Useful Documentation -
Some agents do require you to prove that you have at least thought about your finances before they will take you on a viewing...."
"...Some agents do require you to prove that you have at least thought about your finances before they will take you on a viewing. Although the majority will never ask for anything you do not want to be rushing around trying to prove your worth when you see that perfect property on a particular agents web site. While you are sorting out your documents someone else may be viewing and offering on the property!
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... Many buyers take offense here but for no good reason. You 'phone an agent who says he needs to see proof of finances before going on a viewing. Your first instinct may well be to feel insulted, here is someone who does not believe you. You almost feel as if you are being accused of lying!
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Turn the tables for a moment and imagine you are selling a property. For the security of the property you really want an agent that will make sure the applicants appear to be genuine rather than someone casing your place to identify expensive items. You will also want an agent who only shows serious applicants around the property, not your curious neighbours while you are out at work!
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... while you are out at work!
When it's put this way it suddenly begs the question, why doesn't every agent qualify their applicants? This is covered in Why Vendors Choose Bad Agents. For now its worth knowing the two documents that are requested the most:
An Agreement in Principle or Pre..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... Bad Agents. For now its worth knowing the two documents that are requested the most:
An Agreement in Principle or Pre Arranged Mortgage - see Sorting Out Your Mortgage - to show you can afford the property
A copy of your bank statement to show you can afford the deposit
An Agreement in..."
"... in Principle or Pre Arranged Mortgage - see Sorting Out Your Mortgage - to show you can afford the property
A copy of your bank statement to show you can afford the deposit
An Agreement in Principle (AIP)
If you will need a mortgage to buy a property the lender will be able to..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... Out Your Mortgage - to show you can afford the property
A copy of your bank statement to show you can afford the deposit
An Agreement in Principle (AIP)
If you will need a mortgage to buy a property the lender will be able to supply you with an agreement in principle based on a few..."
"...If you will need a mortgage to buy a property the lender will be able to supply you with an agreement in principle based on a few simple questions. They will generally want to know how much you earn every year and how much you pay in debts every month (say to credit cards or bank loans). They take one from the other and come up with a figure that they think you can afford to pay them every month. Calculating this backwards over the term of the mortgage (the time they will give you to pay it back, usually twenty-five years) gives the amount they are prepared to loan.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...It is a very basic calculation and issued without making any checks on your financial history. Everything from you is taken at face value, it is so simple that some lenders claim to be able to provide you with one in less than sixty seconds! For the professional agent however, it is a sure sign that you are taking your search vaguely seriously.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Getting an AIP is also a useful exercise in helping you consider your budget carefully. Not every lender will offer you three and a half times your salary (something that many first time buyers assume) as a mortgage. You will also start to get a feel of the various restrictions that certain mortgage products have. Some, for example, do not allow you to buy in blocks more than four stories high, others will only loan on properties with more than two bedrooms, and so on.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... you to buy in blocks more than four stories high, others will only loan on properties with more than two bedrooms, and so on.
A Pre Arranged Mortgage (PAM)
For information on PAMs and how they can speed up your purchase see Sorting Out Your Mortgage
Bank Statements
If you are buying..."
"... only loan on properties with more than two bedrooms, and so on.
A Pre Arranged Mortgage (PAM)
For information on PAMs and how they can speed up your purchase see Sorting Out Your Mortgage
Bank Statements
If you are buying with cash or if a large part of your purchase will be cash it is..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... so on.
A Pre Arranged Mortgage (PAM)
For information on PAMs and how they can speed up your purchase see Sorting Out Your Mortgage
Bank Statements
If you are buying with cash or if a large part of your purchase will be cash it is reasonable to expect that the agent may want you to prove..."
"... your purchase see Sorting Out Your Mortgage
Bank Statements
If you are buying with cash or if a large part of your purchase will be cash it is reasonable to expect that the agent may want you to prove you are good for the money.
If you are lucky enough to have a ridiculously large amount..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... you to prove you are good for the money.
If you are lucky enough to have a ridiculously large amount of cash but you don't want the agent to know that simply ask the bank for a fax or letter confirming you have a certain sum available if required.
Your Requirements
Before viewing..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... make an offer
Preparing for Viewings -
There are two parts to your preparation:
Documentation you will find useful
Working out Your Requirements
- Useful Documentation -
Some agents do require you to prove that you have at least thought about your finances before they will..."
"...Before viewing properties it really is worth taking twenty minutes or so just to consider what it is you are setting out to buy. The easiest way to do this is by writing down what it is you want and what it is you need. The wants should come quite easily but the needs are far more important. These will be your fallback position. You may want two bedrooms so you can have guests in comfort but you may need a garden for your cat. If you cannot afford both be clear in your own mind which requirement will be dropped.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... garden for your cat. If you cannot afford both be clear in your own mind which requirement will be dropped.
See Working With Estate Agents for details on how the professionals do it.
Common Terminology -
Before you step through the door of your first viewing there are a number of new..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... in your own mind which requirement will be dropped.
See Working With Estate Agents for details on how the professionals do it.
Common Terminology -
Before you step through the door of your first viewing there are a number of new words and terms to be familiar with. Some of these are..."
"...Before you step through the door of your first viewing there are a number of new words and terms to be familiar with. Some of these are surrounded by myths and hearsay. This terminology is used by the estate agents both on their details and when they speak to you, in other words they generally assume you know them.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... is used by the estate agents both on their details and when they speak to you, in other words they generally assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... both on their details and when they speak to you, in other words they generally assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time..."
"... when they speak to you, in other words they generally assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this..."
"... you, in other words they generally assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean..."
"... they generally assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it..."
"... assume you know them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it said, "A buyer who has..."
"... them.
The most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it said, "A buyer who has nothing to..."
"... most frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it said, "A buyer who has nothing to sell because..."
"... frequently used are:
First Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it said, "A buyer who has nothing to sell because this is..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... Time Buyer
Chain Free and Vacant Possession
Tenanted
Cash Purchasers Only
Repossession
Leasehold
Share of Freehold
Freehold
- First Time Buyer -
Originally this term arose to mean exactly what it said, "A buyer who has nothing to sell because this is their first purchase". Over..."
"...Originally this term arose to mean exactly what it said, "A buyer who has nothing to sell because this is their first purchase". Over time it has become associated with anyone who does not need to sell in order to buy, be this their first or their twentieth property purchase. It's worth letting any agent know if this is your situation as you will be much more attractive to many vendors.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Your advantage is that, should you make an offer, the vendor is only reliant on you and your solicitor to get the sale through. If you have something to sell, even if an offer has been agreed on it, there is still twice as much to go wrong and the vendor you wish to purchase from knows absolutely nothing about the stability of your buyer.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...
In recent years it has become increasingly popular for home owners to sell and move into rented accommodation before they start looking for something to buy. Many have realised the cost of renting is often outweighed by the lower offers that are accepted by vendors from First Time Buyers.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... cost of renting is often outweighed by the lower offers that are accepted by vendors from First Time Buyers.
Such buyers are also sometimes referred to as chain free (see below)
- Chain Free and Vacant Possession -
The two terms are often mixed up but they can mean very different..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... that are accepted by vendors from First Time Buyers.
Such buyers are also sometimes referred to as chain free (see below)
- Chain Free and Vacant Possession -
The two terms are often mixed up but they can mean very different things:
Chain Free Buyer: A buyer who does not need to sell..."
"... buyers are also sometimes referred to as chain free (see below)
- Chain Free and Vacant Possession -
The two terms are often mixed up but they can mean very different things:
Chain Free Buyer: A buyer who does not need to sell anything in order to buy (see above)
Chain Free..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... and Vacant Possession -
The two terms are often mixed up but they can mean very different things:
Chain Free Buyer: A buyer who does not need to sell anything in order to buy (see above)
Chain Free Property: A vendor who will sell his property and move out as soon as the solicitors sort..."
"...Chain Free Property: A vendor who will sell his property and move out as soon as the solicitors sort out the paperwork and the buyer has the funds in place. This is different from the chain situation where a vendor accepts an offer subject to him finding a place to buy. Chain Free Properties are extremely attractive as any purchase should only involve five parties - you, the vendor, the lender and the two solicitors. The fewer people involved and the shorter the timescales, the more likely it is that everything will happen successfully
..."
"... it is that everything will happen successfully
Vacant Possession: This is often confused with chain free properties. Just because a property is empty it does not necessarily follow that it is being offered chain free so always double check.
- Tenanted -
It is possible to buy a..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... properties. Just because a property is empty it does not necessarily follow that it is being offered chain free so always double check.
- Tenanted -
It is possible to buy a property which is currently rented out. A landlord, for example, may want to sell his property but the tenants are..."
"...It is possible to buy a property which is currently rented out. A landlord, for example, may want to sell his property but the tenants are only halfway through their twelve month lease. Many investors do buy tenanted properties, it saves having to find tenants themselves! It's possible but its not easy and both the lender and solicitors will need some badgering to make it happen.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... and solicitors will need some badgering to make it happen.
If a property is advertised as tenanted and you want to buy it that way it is always worth checking what references the tenants provided and what deposit they have lodged.
- Cash Purchase Only -
These are few and far between and..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... and you want to buy it that way it is always worth checking what references the tenants provided and what deposit they have lodged.
- Cash Purchase Only -
These are few and far between and you rarely see them advertised as they are often snapped up by developers or sent to auction. They..."
"...
- Cash Purchase Only -
These are few and far between and you rarely see them advertised as they are often snapped up by developers or sent to auction. They are properties that no lender will accept a mortgage application on and this might be because:
They are structurally unsound..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... auction. They are properties that no lender will accept a mortgage application on and this might be because:
They are structurally unsound and no insurance company will cover them
They have no inside bathroom
The lease is extremely short (see below)
They have no kitchen
-..."
"... accept a mortgage application on and this might be because:
They are structurally unsound and no insurance company will cover them
They have no inside bathroom
The lease is extremely short (see below)
They have no kitchen
- Repossession -
Every so often someone does not keep up their..."
"... this might be because:
They are structurally unsound and no insurance company will cover them
They have no inside bathroom
The lease is extremely short (see below)
They have no kitchen
- Repossession -
Every so often someone does not keep up their payments on a debt secured on a..."
"... are structurally unsound and no insurance company will cover them
They have no inside bathroom
The lease is extremely short (see below)
They have no kitchen
- Repossession -
Every so often someone does not keep up their payments on a debt secured on a property. The lenders' response is..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... and no insurance company will cover them
They have no inside bathroom
The lease is extremely short (see below)
They have no kitchen
- Repossession -
Every so often someone does not keep up their payments on a debt secured on a property. The lenders' response is to take the property back..."
"... -
Every so often someone does not keep up their payments on a debt secured on a property. The lenders' response is to take the property back to sell themselves. They do so in an attempt to recover the debt, usually the mortgage but it could be any debt that is secured on the property.
The..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... on the property.
The lender will organised for anyone in the property to be removed, locks to be changed, and a solicitor to be instructed. They have not come to this decision lightly, it has been expensive and they are now sitting on an empty property. They are in a hurry.
This means..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...This means repossessions can be cheaper than the normal market rate but only slightly, about ten percent. There are often far stricter requirements placed on you as the buyer. The lender may say they are only prepared to accept offers from buyers able to exchange within two weeks so check these restrictions carefully.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... may say they are only prepared to accept offers from buyers able to exchange within two weeks so check these restrictions carefully.
- Leasehold -
A property that is leasehold can be bought for a certain number of years. As an example, a leasehold flat might have seventy years left on..."
"...A property that is leasehold can be bought for a certain number of years. As an example, a leasehold flat might have seventy years left on the lease. If you buy this property it is on the understanding that you will give it to the freeholder in seventy years time, for free. The freeholder is the ultimate owner of the property. It is important to be aware that a leasehold property is not necessarily a flat or apartment. England and Wales are awash with Leasehold houses as well.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... that a leasehold property is not necessarily a flat or apartment. England and Wales are awash with Leasehold houses as well.
The Characteristics of a leasehold are:
Having a Freeholder: When the owner of a building sells off parts of that structure as leaseholds he is saying, "For this..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Having a Freeholder: When the owner of a building sells off parts of that structure as leaseholds he is saying, "For this amount of money, you may use this part of the building for the next one hundred years. After that time you must give it back to me as I gave it to you." That is the basis of leasehold. The Freehold is a separate entity to the leasehold flats and can be sold with the leaseholders hardly noticing. As such the freeholder at the time you buy a property may be different a week later!
..."
"...The Lease: What the freeholder expects of you and what you expect from the freeholder over this hundred year period is laid out in the lease. This includes who should maintain what, when and how. It may also dictate what pets you are allowed, restrictions on changes you can make to the property, even where you are, and are not, allowed to hang your laundry out to dry! There are thousands of freeholders and because of this all leases are not the same. In fact there are probably tens of thousands of differently worded leases in any one city
..."
"...Lease length and Value: There is usually a great deal of confusion amongst buyers as to what is a "good" lease length. One hundred years or more is often quoted but while this is quite easy to find in say, Islington, it is rare in some other areas such as Clapham. The affect the lease length has on a property value is based simply on the number of people who believe they can afford it at any given time at how they perceive it will affect their ability to resell later.
..."
"... simply on the number of people who believe they can afford it at any given time at how they perceive it will affect their ability to resell later.
Over 100 years: almost any lender will be happy for you to borrow on this so there will be no detrimental affect on the value
80 to 100 years:..."
"... any given time at how they perceive it will affect their ability to resell later.
Over 100 years: almost any lender will be happy for you to borrow on this so there will be no detrimental affect on the value
80 to 100 years: again almost any lender will approve this but the perception of..."
"... affect on the value
80 to 100 years: again almost any lender will approve this but the perception of buyers may be that it is difficult to resell reducing the number of potential applicants interested. Note that any affect on price here is caused by perception, not reality
70 to 80 years:..."
"... 70 to 80 years: once again lenders do not feel this is uncomfortable. There will be only a small handful that will turn down such a mortgage application. Concern by potential buyers, especially if the lease is in the low seventies, over the difficulties to resell are much higher although they have little foundation
..."
"... 60 to 70 years: although the number of lenders prepared to secure a loan on this will have reduced there will still be a healthy number with competitive products that will make it an easy purchase. Value will definitely have decreased however because of concerns over resale value or the cost and hassle of extending the lease
..."
"... the lease
50 to 60 years: It is still possible to raise a mortgage on such lease lengths although the perception of buyers is very different. A higher degree of concern over resale value or the costs of a lease extension will now start to have a substantial affect on the value
Less than 50..."
"... Less than 50 years: It can now be difficult, but not impossible, to find a mortgage. The lender is expecting you to pay the money back over twenty-five years so as long as there is time to do that and you are not borrowing a large percentage of the purchase price a fair few companies might be interested. For many buyers fear over the ability to sell will profoundly affect the value
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Paying Ground Rent: The Freeholder is the person who owns the land beneath the property and the structure itself, you are simple leasing a section of it. As such he will usually charge you rent for this land. The term for this is Ground Rent. The amount you will need to pay varies dramatically but for flats it is usually between £10 and £500 per year. The lease can allow for this amount to increase as the length of the lease decreases.
..."
"...Paying a Service Charge: This is usual where the building has been split into flats or has been built as a block of flats. The Freeholder is responsible for maintaining the external structure from repainting the external walls to replacing the roof. It's the dull and boring side of being a freeholder and so he often hires managing agents to do the job for him. Whether or not he does, you will need to contribute towards these costs. He is responsible for doing them but you are responsible for providing the funds. The exact ins and outs of how this works, what he is responsible for, what percentage you must contribute and a whole lot more are laid out in the lease.
..."
"...Extending the Lease: You may not be particularly happy about giving the property back to the freeholder after seventy years. The good news is that whether he wants it or not, if you have used the property as your main residency for the last year, you can force an extension on the lease. There will be a fee and this is usually calculated at what the property is worth now compared to how much it will be worth after the extension is granted. As such a twenty year extension on a property with a one hundred year lease is considerably cheaper than it would be on a property with a fifty year lease. As an example increasing a lease length from one hundred years to one hundred and twenty years may increase the value of the property by £2,000. In other words an amount too small to be recognisable . A reasonable fee for the freeholder to charge you would be £2,000 plus legal and administrative costs. For a fifty year lease the extension may increase the value of the property by £50,000. and so that would be the fee (again plus legal and administrative costs). If your freeholder wants an unreasonably large some it is possible to demand arbitration. A "reasonable" amount will be decided and both parties must abide by it.
..."
"...Making Changes to the Property: You are in essence renting the property for a number of years. When, theoretically, you come to give it back the freeholder will reasonably expect it to look they way it did when he sold the lease. As such any substantial changes must be approved by the Freeholder in writing. These might be the removal of a door or the addition of a conservatory. If it makes a difference to what is on the lease, you'll need his permission. He will grant this in writing by either producing a new lease or by issuing a deed of variation
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... you'll need his permission. He will grant this in writing by either producing a new lease or by issuing a deed of variation
- Share of Freehold -
With all the charges to pay and restrictions to adhere to on a leasehold property it is not surprising that many Leaseholders decide..."
"...With all the charges to pay and restrictions to adhere to on a leasehold property it is not surprising that many Leaseholders decide that they would like to own the freehold of the building in which they live. Under certain conditions they have the right to buy the freehold from the freeholder at a "reasonable" price. It's a lengthy procedure but increasing in popularity, especially as it has a perception of adding value or desirability to a property.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Any buyer should be aware that just because one flat in a building is Share of Freehold, it does not follow that they all are. If you take a building with four flats - A, B, C and D. Flats A, B and C may decide they want to buy the freehold but Flat D wants nothing to do with it. Once A, B and C have successfully purchased the freehold Flat D will still be a leaseholder but will now have to pay charges to the other three flats.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...The administrative side is carried out by setting up a company that is registered at Companies House. This is usually under the name of the building, e.g. 25 Free Street would be registered as 25 Free Street Ltd. Accounts must be submitted annually and so if a property has been share of freehold for a number of years you can check it's financial history online at Companies House to see if has been well managed.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... for a number of years you can check it's financial history online at Companies House to see if has been well managed.
The characteristics of a Share of Freehold are:
Owning Shares: If you buy a Share of Freehold property you will also be buying shares in the freehold company, 25 Free..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Owning Shares: If you buy a Share of Freehold property you will also be buying shares in the freehold company, 25 Free Street Ltd in the example above. The shares will have been issued when the leaseholders bought out the freeholder. They may have simply split them equally (one third each in the example above) or unequally if there is a difference in floor space between the flats. To demonstrate this Flat A may be the top two floors at 25 Free Street while Flats B and C are only on one floor each. As such Flat A may get 50% of the shares and Flats B and C would get 25% each. While that is very nice for Flat A it would also mean that the owner would be responsible for 50% of the maintenance and repair costs!
..."
"...Lease Length and Value: Despite being share of freehold the flats in the above example are still leaseholders. The difference is that they are leaseholders to a freehold company and each one of them owns a share of that company. This means that if the leases are starting to look short on years they can simply agree amongst themselves to grant each other a fifty year extension for say £1 each! As such lease length and value have little connection in a Share of Freehold Property.
..."
"... length and value have little connection in a Share of Freehold Property.
Paying Ground Rent: The partners in a share of freehold may still decide to pay a nominal ground rent to the registered company that they own.
Paying a Service Charge: It is up to the partners in a share of freehold how..."
"...Paying a Service Charge: It is up to the partners in a share of freehold how they pay for the maintenance of the building. There is no right or wrong way but if the freehold company has no savings it would be wise for you to set up your own separate private account just in case the roof decides it has seen better days! The most popular methods for financing a Share of Freehold property are:
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... methods for financing a Share of Freehold property are:
Pay a specific amount every year for day to day maintenance and bills. Any payments purposefully over this are called the Sink Fund and are savings for the unexpected.
Pay for things as they come along.
Hire a managing agent to do..."
"... to day maintenance and bills. Any payments purposefully over this are called the Sink Fund and are savings for the unexpected.
Pay for things as they come along.
Hire a managing agent to do it all! (see leasehold above)
Making Changes to the Property: Many people confuse Share of..."
"... over this are called the Sink Fund and are savings for the unexpected.
Pay for things as they come along.
Hire a managing agent to do it all! (see leasehold above)
Making Changes to the Property: Many people confuse Share of Freehold with total freedom! Someone who owns a share..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...Making Changes to the Property: Many people confuse Share of Freehold with total freedom! Someone who owns a share of freehold is still a leaseholder and must get the permission of the "freeholder" before making any substantial or structural changes to their property. This means agreement from all those in the building who have a percentage stake in the freehold company. As such staying friendly with your neighbours is far more important in a share of freehold situation than if you are a leaseholder! Once again any agreed changes must be spelt out either in a new lease or in a deed of variation.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... than if you are a leaseholder! Once again any agreed changes must be spelt out either in a new lease or in a deed of variation.
- Freehold -
This is the simplest type of property. You own it all and the ground it sits on. It is not necessary to set up any company or pay anyone..."
"... - Freehold -
This is the simplest type of property. You own it all and the ground it sits on. It is not necessary to set up any company or pay anyone anything. On the other hand if anything goes wrong that is not insured, its all down to you to find the cash!
Some solicitors see..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... that is not insured, its all down to you to find the cash!
Some solicitors see Freehold properties as so much easier to deal with that they actually refuse to handle transactions involving leasehold or share of freehold properties.
- Making an Offer on a Property -
Once you have some..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... much easier to deal with that they actually refuse to handle transactions involving leasehold or share of freehold properties.
- Making an Offer on a Property -
Once you have some idea of what you are looking at, you can get on and see if you like the property itself. If and when you find..."
"... freehold properties.
- Making an Offer on a Property -
Once you have some idea of what you are looking at, you can get on and see if you like the property itself. If and when you find the right one, it's time to make an offer.
Offering is much more of an art than most buyers realise and..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... time to make an offer.
Offering is much more of an art than most buyers realise and one that is well put together can actually result in the vendor accepting a lower offer than they might otherwise. The exact way to do it is covered in How to Really Make an Offer.
For the moment you should..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...For the moment you should be aware that any offer made via an agent must be passed on in writing to the vendor within twenty-four hours. Any offer quite literally means any offer. The only exception is where the agent has written instructions from the vendor not to pass on an offer below a certain value.
..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... to pass on an offer below a certain value.
If you are in doubt you can always knock on the door of the vendor and check he has received the offer but be aware that, if the offer was low, you may have to sustain a fair amount of verbal abuse!
If your offer is accepted you have absolutely..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... fair amount of verbal abuse!
If your offer is accepted you have absolutely no commitment to do anything else. You can say, "Well that's very interesting but I was only curious, can we go out and look at something else", and hear the agent whispering obscenities!
From the vendors point of..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"... obscenities!
From the vendors point of view he is also not committed to do anything. He may go out for a spot of lunch, decide your offer is actually too low after all and call the agent to reject it (more obscenities!). What is acceptable today may be unacceptable tomorrow.
An accepted..."
"... a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted.
What's covered in this chapter
Why it's worth preparing for viewings;
What documents you should have to hand;
Why agents ask questions that..."
"...An accepted offer simply means you enter the no mans land that exists between 'Sale Agreed' and 'Exchange of Contracts'. There is absolutely nothing binding about having an offer accepted so its worth knowing what has to be organised in order to get a more concrete deal. This twilight zone is covered in Part III, From Offer to Exchange but first let's cover how to make offers which get accepted...."
Chapter 15:
How to Really Make an Offer on a Property
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me." What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and when;
How the time..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... safer that this buyer is offering a low stress transaction for me." Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and when;
How the time of year will affect your offer;
When to offer below, at or..."
"... for me." What to offer and when;
How the time of year will affect your offer;
When to offer below, at or above the asking price;
How to handle bidding wars and sealed..."
"... agents may push you to offer more even when it is of little financial benefit to them;
What to offer and when;
How the time of year will affect your offer;
When to offer below, at or above the asking price;
How to handle bidding wars and sealed bids;
Why defining your offer can..."
"... when it is of little financial benefit to them;
What to offer and when;
How the time of year will affect your offer;
When to offer below, at or above the asking price;
How to handle bidding wars and sealed bids;
Why defining your offer can save you money;
What should be in your offer..."
"... to offer and when;
How the time of year will affect your offer;
When to offer below, at or above the asking price;
How to handle bidding wars and sealed bids;
Why defining your offer can save you money;
What should be in your offer apart from the price;
How to make a low offer seem..."
"... year will affect your offer;
When to offer below, at or above the asking price;
How to handle bidding wars and sealed bids;
Why defining your offer can save you money;
What should be in your offer apart from the price;
How to make a low offer seem attractive to a vendor;
Why non-refundable..."
"... at or above the asking price;
How to handle bidding wars and sealed bids;
Why defining your offer can save you money;
What should be in your offer apart from the price;
How to make a low offer seem attractive to a vendor;
Why non-refundable deposits rarely work.
- Listening to the..."
"... wars and sealed bids;
Why defining your offer can save you money;
What should be in your offer apart from the price;
How to make a low offer seem attractive to a vendor;
Why non-refundable deposits rarely work.
- Listening to the Estate Agent -
If you have read everything in the..."
"... can save you money;
What should be in your offer apart from the price;
How to make a low offer seem attractive to a vendor;
Why non-refundable deposits rarely work.
- Listening to the Estate Agent -
If you have read everything in the previous chapters you will be pretty worldly wise..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... offer apart from the price;
How to make a low offer seem attractive to a vendor;
Why non-refundable deposits rarely work.
- Listening to the Estate Agent -
If you have read everything in the previous chapters you will be pretty worldly wise as to how to pitch your offer. You will know..."
"...If you have read everything in the previous chapters you will be pretty worldly wise as to how to pitch your offer. You will know to take into account if you are in a rising or falling market along with the motivations of the vendor and so there should be no need to repeat what has already been said. Many buyers suffer some paranoia about letting the agent know what their thoughts are. In a large part they are concerned that the agent will make them go to their absolute maximum budget and to the large part they are actually wrong.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... to their absolute maximum budget and to the large part they are actually wrong.
The agent simply wants to get the deal agreed in a way that he can be sure no one else in his office will gazump his applicant, you.
To put it another way if the Estate Agent is being paid 2% of the sale fee and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...To put it another way if the Estate Agent is being paid 2% of the sale fee and the negotiator is getting 10% of that then on a £240,000 flat the negotiator is going to be paid £480. If you have offered £235,000 and the negotiator is trying to get you to the asking price he is not trying to get £10 (the commission he would earn on the extra £5,000), he is trying to make sure you do not get gazumped!
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... trying to make sure you do not get gazumped!
Although he doesn't really care if you get gazumped because he likes you, he cares because if it is one of his colleagues he won't get paid anything. If you really like the property listen to advice.
- How Much to Offer and When -
This is the..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... he cares because if it is one of his colleagues he won't get paid anything. If you really like the property listen to advice.
- How Much to Offer and When -
This is the quandary many buyers find themselves in. They want to feel they have got a deal but at the same time they don't want to..."
"... Offer and When -
This is the quandary many buyers find themselves in. They want to feel they have got a deal but at the same time they don't want to loose the property. Perhaps the biggest mistake buyers make is to spend too much time concentrating on the vendor's position.
But the vendor's..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... buyers make is to spend too much time concentrating on the vendor's position.
But the vendor's position, or how long the property has been on the market, must be balanced with your competition from other buyers.
If a vendor is desperate they will still achieve the asking price (or more) if..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... buyers.
If a vendor is desperate they will still achieve the asking price (or more) if the market is booming. A property may also have been on the market for over a year but if prices have been rising the true value of the property may have been realised just as you start searching.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... just as you start searching.
Hopefully you will have some idea of the current market (rising or falling) and the vendors motivations from your discussions with the negotiator. You will also need to balance this with your own desire for the property.
The graph below represents the..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... your own desire for the property.
The graph below represents the level of offers versus asking price in an annual market cycle (see Understanding the Property Market) but you should take into account any factors that may have caused the cycle to vary.
Offers agreed above or below asking..."
"... should take into account any factors that may have caused the cycle to vary.
Offers agreed above or below asking price vary throughout the year in an annual property market that has not been affected by other factors
- Choosing your Offer Level -
The following outline the various ways to..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... above or below asking price vary throughout the year in an annual property market that has not been affected by other factors
- Choosing your Offer Level -
The following outline the various ways to offer on a property.
- Paying Below the Asking Price -
If you feel that there is a..."
"... the year in an annual property market that has not been affected by other factors
- Choosing your Offer Level -
The following outline the various ways to offer on a property.
- Paying Below the Asking Price -
If you feel that there is a good choice on the market and you could as easily..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... affected by other factors
- Choosing your Offer Level -
The following outline the various ways to offer on a property.
- Paying Below the Asking Price -
If you feel that there is a good choice on the market and you could as easily buy the property you are about to offer on as..."
"... the Asking Price -
If you feel that there is a good choice on the market and you could as easily buy the property you are about to offer on as another four that you have seen then there is nothing to loose in making a low offer. You want to pitch this at such a level that:
you do not..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... that you have seen then there is nothing to loose in making a low offer. You want to pitch this at such a level that:
you do not alienate yourself completely from the vendor
you do not alienate yourself from the agent
you leave yourself some room for maneuver
In any normal market..."
"... making a low offer. You want to pitch this at such a level that:
you do not alienate yourself completely from the vendor
you do not alienate yourself from the agent
you leave yourself some room for maneuver
In any normal market conditions this should never be more than 10% below the..."
"... at such a level that:
you do not alienate yourself completely from the vendor
you do not alienate yourself from the agent
you leave yourself some room for maneuver
In any normal market conditions this should never be more than 10% below the asking price. To go further may mean the vendor..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... for maneuver
In any normal market conditions this should never be more than 10% below the asking price. To go further may mean the vendor will want nothing further to do with you as they feel insulted. You may increase your offer later but he will refuse it on principle.
A very low offer..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... it on principle.
A very low offer may mean that you embarrass the agent. The vendor will feel the agent is not doing his job. As such the negotiator will then be reluctant to show you further properties and move you to the bottom of his mental list of priorities.
- Paying the Asking..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... the negotiator will then be reluctant to show you further properties and move you to the bottom of his mental list of priorities.
- Paying the Asking Price -
In a fast moving market seriously consider this. It is an extremely strong way of saying to the vendor, "I like your property, I am a..."
"...In a fast moving market seriously consider this. It is an extremely strong way of saying to the vendor, "I like your property, I am a serious buyer and I am prepared to pay what you want". The only downside, for a property that has only just come onto the market, is that the vendor may think he has undervalued the property and that he could get more if he waits. As such impress upon the agent that they should tell the vendor how long you have been looking, how many properties you have seen and why this property is specifically right for you. In other words the vendor should understand that this is not a lucky break where someone logged onto the net and thought, what an undervalued bargain!
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... the net and thought, what an undervalued bargain!
A second line in avoiding this is to make your first offer just below the asking price before coming up. Exactly how to do this is explained in the section on pitching your offer below.
In exchange for offering the asking price you should..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... In exchange for offering the asking price you should expect, and request, that the vendor withdraws his property from the market although they may not be prepared to do this until you have instructed a solicitor and paid for a survey (i.e. spent some money yourself to show you are serious).
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... do this until you have instructed a solicitor and paid for a survey (i.e. spent some money yourself to show you are serious).
- Paying More Than the Asking Price -
No one ever starts by making an offer above the asking price but very often there may be more than one offer at the asking..."
"...No one ever starts by making an offer above the asking price but very often there may be more than one offer at the asking price. In this instance a good agent will take the matter to sealed bids whereas a bad agent will start a bidding war. If it sounds like you are heading for a bidding war try and persuade the agent or the vendor to use sealed bids.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... start a bidding war. If it sounds like you are heading for a bidding war try and persuade the agent or the vendor to use sealed bids.
- Bidding Wars -
The problem with bidding wars is that they work a little like auctions. Buyers get emotional and bid up without properly considering the..."
"... -
The problem with bidding wars is that they work a little like auctions. Buyers get emotional and bid up without properly considering the financial impact of what they are doing. It becomes them versus the other buyer and when the dust settles they all too often regret how high they went.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... versus the other buyer and when the dust settles they all too often regret how high they went.
In most cases bidding wars lead to an agreed price that then falls through in the cool light of day.
- Sealed Bids -
In this scenario the agent tells all offering parties to come back by a..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... often regret how high they went.
In most cases bidding wars lead to an agreed price that then falls through in the cool light of day.
- Sealed Bids -
In this scenario the agent tells all offering parties to come back by a certain time, say close of business the next day, and put forward..."
"...In this scenario the agent tells all offering parties to come back by a certain time, say close of business the next day, and put forward their full and final offer. This gives everyone a reasonable amount of time to make a cool headed decision of exactly how much they feel the property is worth to them.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Be aware that it is not always the highest bid that gets the property. One party may offer £302,000 but they themselves might be in a chain. If another party offered £298,000 and was chain free the vendor may go for what they see as the 'safer' option even though they will loose a potential £4,000.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... may go for what they see as the 'safer' option even though they will loose a potential £4,000.
If you are making a sealed bid choose your figure and then move slightly up to something unusual.
In other words never offer £300,000. Instead offer £301,576. Many properties have been lost or..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... bid choose your figure and then move slightly up to something unusual.
In other words never offer £300,000. Instead offer £301,576. Many properties have been lost or won for the sake of figures as low as £50.
True Story - Sealed Bids at Elmhurst Mansions
A two bedroom mansion block..."
"... offer £300,000. Instead offer £301,576. Many properties have been lost or won for the sake of figures as low as £50.
True Story - Sealed Bids at Elmhurst Mansions
A two bedroom mansion block flat had been on the market for five months. The vendor had verbally accepted an offer £5,000..."
"...A two bedroom mansion block flat had been on the market for five months. The vendor had verbally accepted an offer £5,000 below the asking price of £137,500. Another party then offered to pay the asking price. The original buyer was offered the chance to match this which they did and so the vendor, faced with two very similar offers decided to go to sealed bids.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...The original buyers had already, to some extent, damaged their standing in the vendors eyes by suddenly coming up with an extra £5,000 but they then compounded this by saying their sealed bid would be £137,500, the same as the asking price and their current offer. The other party offered £341,700 and their offer was accepted. The original buyers then came back and said they would be prepared to offer £343,000. It was too late.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Although they were putting even more money on the table the vendor could not feel certain that they were stable because they could not make up their mind and only seemed to bid more when forced by another party, not because they truly felt the property was worth that to them. The vendor suspected they may try to renegotiate later and refused their offer.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... felt the property was worth that to them. The vendor suspected they may try to renegotiate later and refused their offer.
- Clearly Defining You and the Offer -
Whether you are trying to get a low offer agreed or you are competing against other buyers, how you put your offer up can..."
"... their offer.
- Clearly Defining You and the Offer -
Whether you are trying to get a low offer agreed or you are competing against other buyers, how you put your offer up can define your success in buying or loosing a property.
Explaining clearly who you are from the start is a huge..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... Explaining clearly who you are from the start is a huge asset in the eyes of the vendor, even if he did not realise it or want it before. You are also likely to take the average incompetent or amateur agent by surprise but it is a sure root to getting a good, sound offer agreed.
Apart..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... is a sure root to getting a good, sound offer agreed.
Apart from doing this verbally you would be well advised to fax or email the agent in order to make sure there are no arguments later. Your offer should look something like this:
I confirm that I wish to offer £235,000 on 10 High..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...I confirm that I wish to offer £235,000 on 10 High Street, London, E6 2JN. The offer is to include the curtains, carpets and cooker. My offer is made up of a £200,000 mortgage from Barclays Bank and £25,000 in cash. I have nothing to sell and would want to exchange in four weeks time and complete four weeks after that. I attach my Agreement in Principle and a copy of a bank statement to confirm my finances. The solicitor I will be using is ... and their telephone number is ...
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... number is ...
You should provide as much information as possible so that the agent can paint the most rosey picture of you as possible to the vendor. The rosier the picture, the more likely you will get a good offer agreed and the vendor will want to deal with you only.
Show your serious..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... will want to deal with you only.
Show your serious intentions by attaching proof of your ability to proceed (an agreement in principle or pre-arranged mortgage), the solicitor you have chosen and a bank statement or otherwise proving the cash element.
Things that will always act in your..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... or pre-arranged mortgage), the solicitor you have chosen and a bank statement or otherwise proving the cash element.
Things that will always act in your favour are:
Using the solicitor the agent recommends or one with a knowledge of the local area
Using (or at least visiting) the..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... bank statement or otherwise proving the cash element.
Things that will always act in your favour are:
Using the solicitor the agent recommends or one with a knowledge of the local area
Using (or at least visiting) the financial adviser the agent recommends
Being open and clear with your..."
"... act in your favour are:
Using the solicitor the agent recommends or one with a knowledge of the local area
Using (or at least visiting) the financial adviser the agent recommends
Being open and clear with your situation
Laying down timescales
Defining what you want included in the..."
"... recommends or one with a knowledge of the local area
Using (or at least visiting) the financial adviser the agent recommends
Being open and clear with your situation
Laying down timescales
Defining what you want included in the sale
The solicitor you use - the agent can sell you better..."
"... of the local area
Using (or at least visiting) the financial adviser the agent recommends
Being open and clear with your situation
Laying down timescales
Defining what you want included in the sale
The solicitor you use - the agent can sell you better if you are using a solicitor from..."
"... least visiting) the financial adviser the agent recommends
Being open and clear with your situation
Laying down timescales
Defining what you want included in the sale
The solicitor you use - the agent can sell you better if you are using a solicitor from the local area or one that the..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... The solicitor you use - the agent can sell you better if you are using a solicitor from the local area or one that the agent has recommended. They type of solicitor is also important in this process. Full details on how to choose the right solicitor are in Choosing a Conveyancer or Solicitor
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Visiting the financial adviser recommended by the agent - there is absolutely no obligation to use this adviser but as discussed in Sorting Out Your Mortgage the more options you look at, the better the financial deal. If you do have an appointment with a financial adviser suggested by the agent then when he puts your offer forward he can also say, "The buyer has been to see a financial adviser that I work with and he has confirmed the buyer is in a good financial position". This all works in your favour.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... works in your favour.
Being open and clear - the more the agent can tell the vendor, the more your offer will shine. If the agent can say, "This is a cash buyer and he has shown me his bank statement as proof" this is much better than "He says he is a cash buyer".
Laying down timescales -..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... Laying down timescales - these can be changed later or used as part of your negotiation but it will show the vendor you have thought the entire purchase through. It will also avoid arguments and misunderstandings later and remind the vendor that he also needs to think about this.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... to think about this.
Defining what is included in the sale - this is essential to avoid conflict later in the process. It is surprising, even on million pound purchases, how much confusion and bitterness can be caused over things as simple as a washing machine.
By doing these simple..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... as simple as a washing machine.
By doing these simple things the vendor knows exactly where you are coming from and treats you as a serious buyer. It also greatly reduced the possibility of arguments after you have spent money on solicitors and surveys.
When you are considering the..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... solicitors and surveys.
When you are considering the wording of your offer also keep in mind where you are in pitching (see below). In other words if your first offer is low you may suggest that you want nothing included in the sale, adding these in as you increase.
The vendor could, at..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...The vendor could, at this stage, come back to you and say he is interested in considering your offer but would not move out until he has found something to buy himself. You could then counter that by offering to pay more if he will consider moving out and renting or you could agree the exchange date but then offer a long completion date (say 6 months later) to allow the vendor to find and buy. In this way you will lock your property in and have a definite move in date, even if it isn't as soon as you might want.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... lock your property in and have a definite move in date, even if it isn't as soon as you might want.
Whatever happens the actual transaction will move much more smoothly from the outset.
- Pitching an Offer for Negotiation -
You would think that because you have made an acceptable offer..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... it isn't as soon as you might want.
Whatever happens the actual transaction will move much more smoothly from the outset.
- Pitching an Offer for Negotiation -
You would think that because you have made an acceptable offer you should expect:
that the property is taken off the..."
"... transaction will move much more smoothly from the outset.
- Pitching an Offer for Negotiation -
You would think that because you have made an acceptable offer you should expect:
that the property is taken off the market
that you will get the curtains and carpets
that the vendor..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... - Pitching an Offer for Negotiation -
You would think that because you have made an acceptable offer you should expect:
that the property is taken off the market
that you will get the curtains and carpets
that the vendor will leave the built in cooker
that the vendor will want to move..."
"... would think that because you have made an acceptable offer you should expect:
that the property is taken off the market
that you will get the curtains and carpets
that the vendor will leave the built in cooker
that the vendor will want to move out at some point
Nothing could be..."
"... acceptable offer you should expect:
that the property is taken off the market
that you will get the curtains and carpets
that the vendor will leave the built in cooker
that the vendor will want to move out at some point
Nothing could be further from the truth and so pitching an offer in..."
"... is taken off the market
that you will get the curtains and carpets
that the vendor will leave the built in cooker
that the vendor will want to move out at some point
Nothing could be further from the truth and so pitching an offer in a certain way should ensure your expectations are..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Nothing could be further from the truth and so pitching an offer in a certain way should ensure your expectations are actually met. Whether or not you are ready to pay the asking price or just make an offer there is a way that is far more likely to work than simply bumbling in with your best and final figure.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...The best way to pitch your offer is to carefully consider how much you are prepared to pay. Say the property is £260,000 and you are prepared to pay £250,000. As long as you are not in competition with any other buyer make an opening bid approximately 5% below what you are prepared to pay. In this case offer £240,000 and wait for the response.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...It is likely to be 'No!' but then you will be able to increase your offer with strings attached. You could say, "£245,000 as long as the property is taken off the market". It will make the vendor feel that they have been able to increase your offer in return for something they were probably going to do anyway.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...If this does not work you can then say, "OK, £250,000 as long as the property is taken off the market and the carpets and curtains are included". Again it's something you would have insisted on anyway and something the vendor probably didn't want anything for. He will go away pleased that he got an extra £10,000 for simply taking the property off the market and throwing in some old carpets and curtains while you get the property you want at the price you want.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Should you be lucky enough to get the property for a lower offer than your top price you can go back to the agent and say, "I am assuming the property will be taken off the market and that the carpets and curtains are included. Can you confirm this?" If there are any problems offer a nominal amount, say £1,000 more to get things your way.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... are included. Can you confirm this?" If there are any problems offer a nominal amount, say £1,000 more to get things your way.
- Non-Refundable Deposits -
Many buyers are often at pains to show how serious they are about the property they have offered on. As such they offer to pay a..."
"...Many buyers are often at pains to show how serious they are about the property they have offered on. As such they offer to pay a "non-refundable deposit" to the vendor as a sign of their honourable intentions. Estate agents are not allowed to handle these transactions so they must be done through the solicitors.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Your solicitor is likely to be against such an idea. To start with it may seem like a great way to send positive messages to the vendor but any such agreement is likely to be complicated. If in the process of buying it is discovered that, for example, the property has subsidence or the house next door has got planning permission to double in size and block out all the sunlight to your garden, it would be fair for you to pull out of the sale.
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...As such your non-refundable deposit would have to be subject to these and a whole range of other problems. Before you know it your non-refundable deposit is subject to contract and subject to survey and of no security whatsoever to the vendor. Furthermore it will have taken so long to agree the terms of a non-refundable deposit that no work on the actual purchase will get done. This is not a healthy scenario as we will see in Time Costs Deals
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... scenario as we will see in Time Costs Deals
Solicitors that do agree to try and sort out such deposit can take weeks agreeing terms when they could be getting on with doing the paperwork that would allow you to exchange, complete and move in!
- Summary -
Many agents are poorly..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"... take weeks agreeing terms when they could be getting on with doing the paperwork that would allow you to exchange, complete and move in!
- Summary -
Many agents are poorly experienced or badly trained and not even they know how to really put up an offer. But the way you do it and the way..."
"...Many agents are poorly experienced or badly trained and not even they know how to really put up an offer. But the way you do it and the way you present yourself can make a substantial difference to the final price you pay. Sometimes it may allow you to get a sale agreed at a price the vendor would not previously have accepted, sometimes it may mean the vendor will sell to you and not someone else (even if the other party is offering more).
..."
"... "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."
What's covered in this chapter
Why agents may push you to offer more even when it is of little financial benefit to them;
What to offer and..."
"...Put yourself in the shoes of the solicitor and consider their position. The more the buyer shines in terms of the way they have prepared for the purchase, the more comfortable the vendor is going to feel and the more likely they are to say to themselves, "I wasn't thinking of selling at that price but I will because I feel safer that this buyer is offering a low stress transaction for me."..."
Chapter 16:
Who to Trust When Buying Property
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works so completely..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... in coming to the right decision.
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works so completely differently from the reality;
Why the advice of family and friends causes some people to pull out of..."
"... people because the theory of house buying works so completely differently from the reality;
Why the advice of family and friends causes some people to pull out of a purchase and regret it later;
Why the solicitor you are paying may not be acting in your best interests;
Why the surveyor who..."
"... the advice of family and friends causes some people to pull out of a purchase and regret it later;
Why the solicitor you are paying may not be acting in your best interests;
Why the surveyor who values or inspects the property may not be acting in your best interests;
What is..."
"... and regret it later;
Why the solicitor you are paying may not be acting in your best interests;
Why the surveyor who values or inspects the property may not be acting in your best interests;
What is motivating the estate agent and their actions;
How to work out who is telling you what and..."
"... in your best interests;
Why the surveyor who values or inspects the property may not be acting in your best interests;
What is motivating the estate agent and their actions;
How to work out who is telling you what and why.
- Why Buyers Trust the Wrong People -
Most buyers..."
"... or inspects the property may not be acting in your best interests;
What is motivating the estate agent and their actions;
How to work out who is telling you what and why.
- Why Buyers Trust the Wrong People -
Most buyers understandably place their trust in the wrong people because the..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... best interests;
What is motivating the estate agent and their actions;
How to work out who is telling you what and why.
- Why Buyers Trust the Wrong People -
Most buyers understandably place their trust in the wrong people because the theory of house buying works so completely..."
"... telling you what and why.
- Why Buyers Trust the Wrong People -
Most buyers understandably place their trust in the wrong people because the theory of house buying works so completely differently from the reality
To put it another way:
The buyer does not trust the agent because..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... place their trust in the wrong people because the theory of house buying works so completely differently from the reality
To put it another way:
The buyer does not trust the agent because they believe the agent is only trying to get the sale through in order to earn some..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... differently from the reality
To put it another way:
The buyer does not trust the agent because they believe the agent is only trying to get the sale through in order to earn some commission (see Working With Estate Agents)
The buyer does trust their solicitor even though, in most..."
"... to earn some commission (see Working With Estate Agents)
The buyer does trust their solicitor even though, in most cases, the solicitor has a vested interest in the sale not going through (see Choosing a Solicitor or Conveyancer)
The buyer does trust their surveyor even though the surveyor..."
"... the sale not going through (see Choosing a Solicitor or Conveyancer)
The buyer does trust their surveyor even though the surveyor has a vested interest in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person..."
"... the surveyor has a vested interest in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that,..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy in.
- The Advice of..."
"... a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy in.
- The Advice of Family and Friends -
When a potential buyer has had an offer agreed and..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy in.
- The Advice of Family and Friends -
When a potential buyer has had an offer agreed and then asks to bring their mother or friend round to have a look many agents..."
"...When a potential buyer has had an offer agreed and then asks to bring their mother or friend round to have a look many agents refer to this as "The Kiss of Death"! And it is with good reason as they rarely share the same tastes but despite this the advice they hear from someone they respect usually causes them worry and stress.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... this the advice they hear from someone they respect usually causes them worry and stress.
Let's take a look at a perfect, and common, example of a mother and daughter seeking advice from each other:
Mother
Daughter
Requirements: Quiet country house in a small village with a..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... them worry and stress.
Let's take a look at a perfect, and common, example of a mother and daughter seeking advice from each other:
Mother
Daughter
Requirements: Quiet country house in a small village with a close community
Requirements: City apartment close to..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... and stress.
Let's take a look at a perfect, and common, example of a mother and daughter seeking advice from each other:
Mother
Daughter
Requirements: Quiet country house in a small village with a close community
Requirements: City apartment close to transport, bars,..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... and common, example of a mother and daughter seeking advice from each other:
Mother
Daughter
Requirements: Quiet country house in a small village with a close community
Requirements: City apartment close to transport, bars, shops and other aminities
Both parties find..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... Quiet country house in a small village with a close community
Requirements: City apartment close to transport, bars, shops and other aminities
Both parties find what they are looking for and then ask the other to come and have a..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... community
Requirements: City apartment close to transport, bars, shops and other aminities
Both parties find what they are looking for and then ask the other to come and have a look...
Daughter: "It's a lovely house but you are so cut off here, you need to take the car everywhere..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... they are looking for and then ask the other to come and have a look...
Daughter: "It's a lovely house but you are so cut off here, you need to take the car everywhere and the neighbours are probably really nosey."
Mother: "It's very small for so much money and what about drunk people..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... to take the car everywhere and the neighbours are probably really nosey."
Mother: "It's very small for so much money and what about drunk people coming from those pubs, do you think you would really be safe here."
Post visit both parties call their agents
Mother: "I'm not sure any..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... small for so much money and what about drunk people coming from those pubs, do you think you would really be safe here."
Post visit both parties call their agents
Mother: "I'm not sure any more, I've been thinking that it is a bit in the middle of nowhere and the other houses really..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... really be safe here."
Post visit both parties call their agents
Mother: "I'm not sure any more, I've been thinking that it is a bit in the middle of nowhere and the other houses really are quite close to my garden."
Daughter: "I've been having second thoughts that the street might..."
"... in the sale not going through. (see What A Property Survey Really Means)
The buyer does trust a friend or relative even though that person may
have wildly different tastes and lifestyle
not want to be responsible for recommending a property that, later, their friend may be unhappy..."
"... the middle of nowhere and the other houses really are quite close to my garden."
Daughter: "I've been having second thoughts that the street might not be that safe and it could be really noisy at night."
Before you know it both parties are actually looking for something they don't..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"...Before you know it both parties are actually looking for something they don't actually want simply because they respect the opinion of the other. When taking the advice of family and friends consider carefully if you would like to live in their home, and could you afford it? If not, take what they say with a pinch of salt.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... carefully if you would like to live in their home, and could you afford it? If not, take what they say with a pinch of salt.
- The Advice of the Solicitor -
It would be fair to assume the solicitor you are paying will be protecting your interests when it comes to buying a property. They..."
"...It would be fair to assume the solicitor you are paying will be protecting your interests when it comes to buying a property. They should be checking the paperwork and making you aware of any unusual discrepancies that they believe will be material to your decision making. And this is exactly what the most professional solicitors do.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... most professional solicitors do.
But there is a flip side which depends on the type of solicitor you have instructed. You will either be paying a solicitor a flat fee for their services or you will have hired one that offers a 'no purchase, no fee' promise.
Flat fee solicitors - in this..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"...Flat fee solicitors - in this situation the solicitor knows he will get paid no matter what the outcome is. However he knows that if you exchange and complete on the property, and then later find he did not make you aware of some points which you feel were important, he can be sued. It is thus in his vested interest for you to pull out of the purchase - fee paid, no risk. For this reason very small firms of solicitors often appear extremely over protective and often present you with reasons why you should not proceed further on a particular purchase. Reasons a larger and more financially resourced, firm would not suggest.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"...'No purchase, no fee' solicitors - these firms usually calculate into their business model that a certain percentage of purchases will fall through. Those clients that do buy cover these costs which means they are generally more expensive. This aside a 'no purchase, no fee' solicitor has a vested interest in your offer going through to exchange and so may gloss over points that they really should bring to your attention. The likelihood of this will rise if the percentage of fall-throughs they are experiencing is rising above that of their business model.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... if the percentage of fall-throughs they are experiencing is rising above that of their business model.
For more details on solicitors see chapter 12: Choosing a Conveyancer or Solicitor.
- The Advice of the Surveyor -
The surveyor is another property professional who is also paid by you..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... rising above that of their business model.
For more details on solicitors see chapter 12: Choosing a Conveyancer or Solicitor.
- The Advice of the Surveyor -
The surveyor is another property professional who is also paid by you and so should also be acting either in your best interests,..."
"... Solicitor.
- The Advice of the Surveyor -
The surveyor is another property professional who is also paid by you and so should also be acting either in your best interests, or that of your bank. Almost all surveyors work on a flat fee basis.
Here the problem is similar to flat fee..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... surveyors work on a flat fee basis.
Here the problem is similar to flat fee solicitors. If you actually complete on the property and then find discrepancies in their work you can sue. If you don't complete they get paid and there is no risk of being sued.
In general the smaller the firm, the..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"...In general the smaller the firm, the less finances it has for this. Even if the company is insured they will not want to see their annual premiums increase. And so small operations or one-man-bands will often work to undermine the sale through down valuations or picking up on matters which are normal for the building they are looking at.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... or picking up on matters which are normal for the building they are looking at.
To understand how surveyors really work and who they are working for see Chapter 20: What a Property Survey Really Means.
- The Advice of the Estate Agent -
Most people are fully aware that estate agents..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... understand how surveyors really work and who they are working for see Chapter 20: What a Property Survey Really Means.
- The Advice of the Estate Agent -
Most people are fully aware that estate agents work on commission - no sales, no income - and so their motivation is almost..."
"...Most people are fully aware that estate agents work on commission - no sales, no income - and so their motivation is almost always clear. Get the sale through. If they achieve this they will have no risk of any legal action unless you can prove they mislead you or withheld important information that was also no bought to light in the legal process.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... was also no bought to light in the legal process.
It is not surprising then that they are seen as the most evil party in the transaction but perhaps they are perceived as the most evil because their motivation is the most transparent.
However not all of their advice should be dismissed..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... perceived as the most evil because their motivation is the most transparent.
However not all of their advice should be dismissed out of hand. You should, when considering comments made by them, be aware that:
They know the longer the time period between sale agreed and exchange, the more..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... when considering comments made by them, be aware that:
They know the longer the time period between sale agreed and exchange, the more likely the buyer will pull out and you will loose your property. (See The Balance of Power)
They know, if they are experienced, when the surveyor or..."
"... you will loose your property. (See The Balance of Power)
They know, if they are experienced, when the surveyor or solicitor is trying to undermine the purchase and is not really acting in your interests for the reasons covered above
- Summary -
When most buyers enter into the home..."
"... is motivating the estate agent and their actions;
How to work out who is telling you what and why.
- Why Buyers Trust the Wrong People -
Most buyers understandably place their trust in the wrong people because the theory of house buying works so completely differently from the..."
"... the surveyor or solicitor is trying to undermine the purchase and is not really acting in your interests for the reasons covered above
- Summary -
When most buyers enter into the home buying market they are aware of the common stereotypes, especially that of the estate agent. They are..."
"...When most buyers enter into the home buying market they are aware of the common stereotypes, especially that of the estate agent. They are not so aware of some hidden motives and agendas kept by solicitors or surveyors. In the stress and nerve of making such a large financial decision they turn to family and friends for reassurance, only to find their frail confidence undermined by people who live in homes they wouldn't even dream of renting.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... dream of renting.
Countless times this toxic mix leads to a buyer pulling out of a purchase and later regretting it. To avoid the same pit falls always step back when you receive information or advice and consider - who is saying it and why might they be saying it?
Choosing the right..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
"... or advice and consider - who is saying it and why might they be saying it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
..."
"... it?
Choosing the right solicitor and surveyor, which is covered in a later chapter, will help you immeasurable in coming to the right decision.
What's covered in this chapter
Why many buyers place their trust, understandably, in the wrong people because the theory of house buying works..."
Chapter 17:
The Property Buying Process in Theory
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart. What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent can help;
What are..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Deals) every extra week is another chance for your property purchase to fall apart. Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent can help;
What are the responsibilities of the buyer, the vendor..."
"... for your property purchase to fall apart. Who talks to who and how;
Why dealing through an agent can help;
What are the responsibilities of the buyer, the vendor and the solicitors;
Why solicitors..."
"... fall apart. Why dealing through an agent can help;
What are the responsibilities of the buyer, the vendor and the solicitors;
Why solicitors argue with each other;
The pitfalls..."
"... process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent can help;
What are the responsibilities of the buyer, the vendor and the solicitors;
Why solicitors argue with each other;
The pitfalls at each stage;
Explanations of the documents and..."
"... who and how;
Why dealing through an agent can help;
What are the responsibilities of the buyer, the vendor and the solicitors;
Why solicitors argue with each other;
The pitfalls at each stage;
Explanations of the documents and terminology;
When the vendor's solicitor can cause the vendor..."
"... an agent can help;
What are the responsibilities of the buyer, the vendor and the solicitors;
Why solicitors argue with each other;
The pitfalls at each stage;
Explanations of the documents and terminology;
When the vendor's solicitor can cause the vendor stress;
What is a complete document,..."
"... of the buyer, the vendor and the solicitors;
Why solicitors argue with each other;
The pitfalls at each stage;
Explanations of the documents and terminology;
When the vendor's solicitor can cause the vendor stress;
What is a complete document, and what is not.
Before you..."
"... solicitors argue with each other;
The pitfalls at each stage;
Explanations of the documents and terminology;
When the vendor's solicitor can cause the vendor stress;
What is a complete document, and what is not.
Before you can know what really happens, it is essential to..."
"... at each stage;
Explanations of the documents and terminology;
When the vendor's solicitor can cause the vendor stress;
What is a complete document, and what is not.
Before you can know what really happens, it is essential to understand what is supposed to happen because sometimes it..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Before you can know what really happens, it is essential to understand what is supposed to happen because sometimes it does! If you are dealing with an Estate Agent, Solicitor or Vendor who is new to the business this chapter is the set of events that they believe should occur.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... believe should occur.
Arching over all of this is the essential concept that the longer it takes to move from Offer Agreed to Exchange of Contracts, the more likely it is that the purchase will fail. To understand this specifically see Chapter 19: Time Costs Deals.
Once your offer has..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Once your offer has been agreed with the agent (or directly with the vendor if you are buying privately) there should be no need to have any contact with the agent or the vendor. Each party has a specific number of actions that they must take and theoretically this should all occur via the solicitors. Some solicitors feel so strongly about this that they refuse to accept calls from estate agents! It is how these actions are undertaken and their results that cause disagreement because there is no definitive protocol for buying and selling.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...It is because of this that there are regular arguments between solicitors so it is often useful to have a second line of communication. This is either via the agent or, in the case of a private sale, directly with the vendor. Nothing that is spoken about in these secondary lines is binding until both solicitors are aware of it and it has been written into the contract but such discussions can be faster and more accurate as questions and answers are passed through fewer parties. It is worth knowing that:
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Agreed offers through agents tend to have a better chance of success because small queries need only be passed via one party for answers. When emotions become heated the agent is the filter who can remove the obscenities and act as an objective go between. A good agent will also remove any comments you make that he feels may be misinterpreted by the vendor before passing messages or queries on.
..."
"...Privately agreed offers are more likely to fail for exactly the reason explained above. The buyer talks to the vendor and says things they may not truly mean or makes small comments that are taken out of context (and vice versa). You may tell a vendor, for example, that you can't wait to move in and add a fantastic conservatory. The vendor realises he only accepted your offer because he thought it was the top of your budget. Now he knows you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price is agreed are:
You, the..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price is agreed are:
You, the buyer
The vendor
Your solicitor
The..."
"... comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price is agreed are:
You, the buyer
The vendor
Your solicitor
The vendor's solicitor
and the theory of what each party should do..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private..."
"... of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially..."
"... of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price..."
"... the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The Vendor
«»
Your solicitor
«»
The vendor's solicitor
«»
«»
Private Sales Only
«»
The parties officially involved after a sale price is agreed are:
You, the..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... solicitor
and the theory of what each party should do is covered in this chapter. In each section there is an explanation of what the parties do along with some of the most common events that cause things to go wrong. How to get round these is covered in later chapters.
- You, The..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... with some of the most common events that cause things to go wrong. How to get round these is covered in later chapters.
- You, The Buyer in a Property Purchase -
As a buyer your responsibilities are to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion..."
"... cause things to go wrong. How to get round these is covered in later chapters.
- You, The Buyer in a Property Purchase -
As a buyer your responsibilities are to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion date that can be agreed with the vendor
Raise..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... these is covered in later chapters.
- You, The Buyer in a Property Purchase -
As a buyer your responsibilities are to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion date that can be agreed with the vendor
Raise the finances to purchase the..."
"... a Property Purchase -
As a buyer your responsibilities are to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion date that can be agreed with the vendor
Raise the finances to purchase the property
Organise for professionals to inspect the property
Sign the..."
"... to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion date that can be agreed with the vendor
Raise the finances to purchase the property
Organise for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete..."
"... an exchange and completion date that can be agreed with the vendor
Raise the finances to purchase the property
Organise for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer..."
"... date that can be agreed with the vendor
Raise the finances to purchase the property
Organise for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor..."
"... the finances to purchase the property
Organise for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor to act on your behalf. This..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor to act on your behalf. This solicitor will need to do two things:
Check that..."
"... your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor to act on your behalf. This solicitor will need to do two things:
Check that the paperwork related to the property is satisfactory for the lender if you..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... will need a solicitor to act on your behalf. This solicitor will need to do two things:
Check that the paperwork related to the property is satisfactory for the lender if you are applying for a mortgage
Check there is nothing unusual in the paperwork that should be drawn to your..."
"... the paperwork related to the property is satisfactory for the lender if you are applying for a mortgage
Check there is nothing unusual in the paperwork that should be drawn to your attention
Their exact role is explained in Your Solicitor below.
Finding a good solicitor who can handle..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... are applying for a mortgage
Check there is nothing unusual in the paperwork that should be drawn to your attention
Their exact role is explained in Your Solicitor below.
Finding a good solicitor who can handle the local market is not easy so it is worth taking the advice of your lender..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Finding a good solicitor who can handle the local market is not easy so it is worth taking the advice of your lender (who may have someone in the area that they work with regularly) or the Estate Agent (who knows efficient solicitors that they have a good relationships with). Do not ask friends or family unless their recommended solicitor passes certain tests (see Chapter 12: Choosing a Solicitor or Conveyancer)
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Once a solicitor has agreed to represent you they will send you a form to fill in. This is the official instruction. It includes questions on who your lender is and, if you have already chosen a property to buy, what you understand it to consist of (e.g. a private garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a solicitor based outside the area you are buying who does not understand what..."
"... offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a solicitor based outside the area you are buying who does not understand what you are buying and asks irrelevant questions
You choose a solicitor who is incredibly cheap, but then turns out to be..."
"... buying who does not understand what you are buying and asks irrelevant questions
You choose a solicitor who is incredibly cheap, but then turns out to be incredibly slow because they are incredibly overworked
You choose a solicitor who uses the conveyor-belt method (see Chapter 12: Choosing a..."
"... cheap, but then turns out to be incredibly slow because they are incredibly overworked
You choose a solicitor who uses the conveyor-belt method (see Chapter 12: Choosing a Solicitor or Conveyancer)
You choose a solicitor who is a "one-man-band". He then falls ill or goes on holiday
-..."
"... a solicitor who uses the conveyor-belt method (see Chapter 12: Choosing a Solicitor or Conveyancer)
You choose a solicitor who is a "one-man-band". He then falls ill or goes on holiday
- Specifying Exchange and Completion Dates -
It seems obvious to agree a date for the Exchange of..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... a Solicitor or Conveyancer)
You choose a solicitor who is a "one-man-band". He then falls ill or goes on holiday
- Specifying Exchange and Completion Dates -
It seems obvious to agree a date for the Exchange of Contracts. This is the moment that you agree to definitely buy the..."
"... Dates -
It seems obvious to agree a date for the Exchange of Contracts. This is the moment that you agree to definitely buy the property and the vendor agrees to definitely sell it. Up to this point the sale is only agreed subject to contract, and often subject to survey.
Subject to..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Subject to contract means you agree to buy the property only if what you have been led to believe is true. In other words you may think that the garden belongs to the flat because the agent told you that but in fact it is shared with the property upstairs. When you discover this in the contract you decide not to purchase the property.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the property.
Subject to survey means you agree to buy the property in the physical state any layman inspecting the property would believe it to be in. If, once it has been surveyed, you find it needs a vast amount of unexpected and expensive work you may decide not to proceed.
Oddly enough..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Oddly enough even though a sale may be agreed subject to contract you can still decide at any point before exchange not to purchase for any reason you wish. It can have nothing to do with the contract or the survey but could simply be because you don't feel like it. As such the wording is slightly misleading.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Exchange of Contracts is not the date at which you take possession of the property. It is the date which you agree Completion. Completion is the date when the vendor must be out and you can move in, the property legally becomes yours. Completion can take place on the same day as exchange or months afterwards.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... Can Go Wrong
It seems strange then that someone who agrees to buy something from another person should do so without actually agreeing when they want to do it but this is often the case when purchasing a property. Agreeing exchange and completion dates are often sidelined because:
Both..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Both parties believe it is "obvious". The vendor may, for example, have chosen a solicitor in Wales. His solicitor has told him that it normally takes about twelve weeks to move from agreed offer to exchange. In the meantime your solicitor in London tells you there should be an exchange within three weeks. Both you and the vendor sensibly expect that your respective solicitors will have said the same thing and plan your lives accordingly. Fireworks will occur later!
..."
"...Neither party actually wants to talk about it. You may be concerned that if you express a wish to exchange quickly the vendor will perceive you as a desperate buyer in absolute love with their property. This could lead to them being slow or lazy in providing paperwork, relaxed that you are not going anywhere. The vendor may not want to tell you that he wants a rapid exchange because he does not want to appear desperate. He may believe that this will encourage you to attempt a renegotiation of the price before exchange.
..."
"...One party is scared to upset the other. This often happens in a market where the 'Balance of Power' is not even (see Chapter 18 by the same title). You may be desperately in love with the property or prices may be rising quickly. As such you do not want to upset the vendor by rushing him and so you tip toe round the issue waiting for a sign.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... rising quickly. As such you do not want to upset the vendor by rushing him and so you tip toe round the issue waiting for a sign.
- Raising the Finances -
There are two ways to buy a property. You can purchase for cash or by borrowing. Either way you will need to put down a deposit when..."
"...There are two ways to buy a property. You can purchase for cash or by borrowing. Either way you will need to put down a deposit when contracts exchange and pay the balance on completion. The deposit is normally between five and ten percent of the agreed price although it is possible to exchange with anything from zero to one hundred percent.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The deposit is seen as a way of tying the buyer in and insuring the vendor will have some compensation should you disappear. Zero percent deposits are therefore usually only acceptable if you are carrying out a simultaneous exchange and completion. This is often the case with one hundred percent mortgages or where the property is empty and the buyer wants to get in fast.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... is empty and the buyer wants to get in fast.
If you are raising the funds by applying for a mortgage you will need to find a lender that thinks it is a good idea to loan you the money. The lender is essentially interested in four things:
Are you a good borrower?
Is the property worth..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... will need to find a lender that thinks it is a good idea to loan you the money. The lender is essentially interested in four things:
Are you a good borrower?
Is the property worth the money?
Is the property legally sound?
Is it really a good idea?
- Are You a Good Borrower? -
In the..."
"... thinks it is a good idea to loan you the money. The lender is essentially interested in four things:
Are you a good borrower?
Is the property worth the money?
Is the property legally sound?
Is it really a good idea?
- Are You a Good Borrower? -
In the first instance the lender..."
"... you the money. The lender is essentially interested in four things:
Are you a good borrower?
Is the property worth the money?
Is the property legally sound?
Is it really a good idea?
- Are You a Good Borrower? -
In the first instance the lender will give you an Agreement in..."
"... essentially interested in four things:
Are you a good borrower?
Is the property worth the money?
Is the property legally sound?
Is it really a good idea?
- Are You a Good Borrower? -
In the first instance the lender will give you an Agreement in Principle (AIP). This is a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... things:
Are you a good borrower?
Is the property worth the money?
Is the property legally sound?
Is it really a good idea?
- Are You a Good Borrower? -
In the first instance the lender will give you an Agreement in Principle (AIP). This is a superficial agreement which basically..."
"...In the first instance the lender will give you an Agreement in Principle (AIP). This is a superficial agreement which basically says, "If what you have told us about yourself is true and the property you choose is worth what you plan to pay for it, we will lend you a specified amount". You can get such an agreement without specifying a property and lenders issue these more as a guide to what you can afford than anything else.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... more as a guide to what you can afford than anything else.
Once you have found the property the lender will go into more depth, not only to find out about the property, but also to dig thoroughly around your financial past.
When a lender looks at you they are really looking at your..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...When a lender looks at you they are really looking at your earnings (that you can afford to pay the loan back on a month by month basis) and your credit history. Your credit history is a track record of previous debts. Every time you pay a credit card or loan on time you get points. The points go to make up your credit score. Every time you apply for credit such as a loan for a car, and every time you are late making a payment, you loose points.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...This system has some unwelcome side effects. If you apply for a few store cards in a month you may suddenly find it difficult to get a mortgage. This is because your credit history shows you are looking to borrow a lot of money and that might mean you are in financial difficulties. The result is that your credit score goes down and lenders don't want to go near you.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Ironically if you have not been in debt in the past you will also have a poor credit history and a low credit score. This is because there is no proof that you are any good at handling debt. It is the financial angels of life who have never had a credit card or taken a loan that can have the biggest problems securing a mortgage.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...How important your credit score is also depends on how much of the property's value you want to borrow. This ratio is known to lenders as Loan To Value (LTV). As an example if the property is worth £100,000 and you want to borrow £95,000 your LTV is 95%. In the lenders eyes that's risky business. You are only putting in five percent and you want them to stump up the rest. In this situation you may have to provide much more proof of your financial stability than a buyer who is prepared to go halves with the lender.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... than a buyer who is prepared to go halves with the lender.
Once the lender is happy that you are going to be a well behaved debtor, and only once this has been established, do they turn their attention to the property.
- Is the Property Worth the Money? -
If your LTV is very low,..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... are going to be a well behaved debtor, and only once this has been established, do they turn their attention to the property.
- Is the Property Worth the Money? -
If your LTV is very low, say twenty percent, the lender may agree to secure a mortgage on the property without even looking at..."
"...If your LTV is very low, say twenty percent, the lender may agree to secure a mortgage on the property without even looking at it. In their opinion most of the risk is with you and the chances of you paying so much for a property that it is not even worth twenty percent of what you lay out are extremely unlikely. If your LTV is high (usually more than fifty percent LTV) they will organise a survey.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... unlikely. If your LTV is high (usually more than fifty percent LTV) they will organise a survey.
The way lenders organise surveys mean that they can be very fast of very slow. The steps are:
The lender sends the request out to a panel of surveyors. This status is known as 'sent to..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... way lenders organise surveys mean that they can be very fast of very slow. The steps are:
The lender sends the request out to a panel of surveyors. This status is known as 'sent to panel'
The panel may have an umbrella organisation that receives this request. This organisation sends a..."
"... This status is known as 'sent to panel'
The panel may have an umbrella organisation that receives this request. This organisation sends a request to the surveyors they believe will be best suited. The status has now changed to 'survey requested'
The surveyor who receives the request may be..."
"... the surveyors they believe will be best suited. The status has now changed to 'survey requested'
The surveyor who receives the request may be too busy. They send a message back rejecting the request.
The umbrella organisation requests another surveyor until they find one who will accept the..."
"... may be too busy. They send a message back rejecting the request.
The umbrella organisation requests another surveyor until they find one who will accept the work. Once accepted this status is known as 'survey instructed'
The surveyor calls the agent or vendor to organise access to the..."
"... accept the work. Once accepted this status is known as 'survey instructed'
The surveyor calls the agent or vendor to organise access to the property. Once a time has been agreed the status becomes 'survey booked'
The surveyor may either have been instructed to go into the property or..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the status becomes 'survey booked'
The surveyor may either have been instructed to go into the property or just to drive by and make sure it exists (known as a drive by survey). That someone has a trained eye for spotting problems in buildings.
The lender, to some extent, is not..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The lender, to some extent, is not interested in this. They only want to know that, should you stop paying your mortgage, they can sell the property and recover the debt. They don't really care if every single window in the building needs replacing so long as, in its current condition, it will sell for the same or more than the amount they are lending you.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The result of the surveyors visit is a valuation. The surveyor will either agree or disagree with the sale price. The latter is known as a down valuation. Most buyers are unaware that, for this visit, the surveyor is not acting for them and can rightly refuse to tell them the result. He has been instructed by the lender (even though you may have paid the lender a fee for the survey) and only the lender can tell you the surveyor's conclusions.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... can tell you the surveyor's conclusions.
It is worth noting that the surveyor will never say a property is worth more than the agreed sale price even if he believes it to be so. He is only instructed to find out if it is worth the same or less.
The surveyor may decide that the property is..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The surveyor may decide that the property is worth the money you are prepared to pay as long as he can be sure that a certain issue is not going to be a major problem. He may, for example, believe the roof is at the end of its natural life and will need to be replaced. This could cost over £10,000 and may affect the property value. He will therefore place a retention on the value. This may say, "I agree the property is worth £250,000 once the roof has been checked. Until this has been done I am not convinced the property is worth more than £230,000"
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... once the roof has been checked. Until this has been done I am not convinced the property is worth more than £230,000"
- Is the Property Legally Sound? -
The next hurdle is to persuade the lender that there is nothing legally wrong with the property that would affect its value or..."
"... is worth more than £230,000"
- Is the Property Legally Sound? -
The next hurdle is to persuade the lender that there is nothing legally wrong with the property that would affect its value or make it difficult to sell.
Every lender has a different set of things that they want to know...."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Every lender has a different set of things that they want to know. These requirements are collated by The Council of Mortgage Lenders. The result is the CLM Handbook and every solicitor has access to a copy. When your solicitor knows who you are going to be borrowing from they open up the handbook and see what they need to find out.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... to find out.
It is always worth remembering that most of what your solicitor does is actually not for you, but for the lender. The solicitor passes on what he finds to an underwriter who works for the lender. If they are concerned they can decide not to forward you the loan.
- Is it..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... on what he finds to an underwriter who works for the lender. If they are concerned they can decide not to forward you the loan.
- Is it Really a Good Idea? -
For most buyers the assumption is that once all the checks above have been carried out, they are home-free on the financial side of..."
"... Idea? -
For most buyers the assumption is that once all the checks above have been carried out, they are home-free on the financial side of the purchase. That is because in most cases they are. There is however one more step that often occurs without the buyer even realising it.
The..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The mortgage application is sent to the lenders final underwriters. They will take one more look at the entire set of paperwork before issuing the offer. Every now and then they spot something that has been missed by the previous departments and what you thought was in the bag suddenly becomes dead in the water.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... and what you thought was in the bag suddenly becomes dead in the water.
In short nothing is certain until the mortgage offer is in your hands. There are simply greater or lesser degrees of certainty!
What Can Go Wrong
As a cash buyer and the surveyor was instructed by you then..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... of certainty!
What Can Go Wrong
As a cash buyer and the surveyor was instructed by you then there is little that can go wrong in the process, although there is plenty that can be wrong in the report (See Chapter 20: What a Property Survey Really Means).
If you are applying for a mortgage..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... there is plenty that can be wrong in the report (See Chapter 20: What a Property Survey Really Means).
If you are applying for a mortgage there is a great deal more to go wrong.
You have a low credit score due to a lack of credit history or a default at some point in the past
Although..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Really Means).
If you are applying for a mortgage there is a great deal more to go wrong.
You have a low credit score due to a lack of credit history or a default at some point in the past
Although you are earning enough, you have other debts which result in the bank agreeing to lend..."
"... score due to a lack of credit history or a default at some point in the past
Although you are earning enough, you have other debts which result in the bank agreeing to lend you less than you had originally thought
You do not have all the documents that the lender needs (such as bank..."
"... debts which result in the bank agreeing to lend you less than you had originally thought
You do not have all the documents that the lender needs (such as bank statements) which take time to request
You have not been in the country long enough to have an adequate credit history (usually..."
"... the lender needs (such as bank statements) which take time to request
You have not been in the country long enough to have an adequate credit history (usually three years are required, but again it depends on your LTV)
You do not have the right to remain in the country forever
The surveyor..."
"... long enough to have an adequate credit history (usually three years are required, but again it depends on your LTV)
You do not have the right to remain in the country forever
The surveyor is from outside the area and cannot agree with the price you are prepared to pay for the property
The..."
"... again it depends on your LTV)
You do not have the right to remain in the country forever
The surveyor is from outside the area and cannot agree with the price you are prepared to pay for the property
The surveyor is from the area but is out of touch with the market so does not agree with the..."
"... area and cannot agree with the price you are prepared to pay for the property
The surveyor is from the area but is out of touch with the market so does not agree with the price you are prepared to pay for the property
The surveyor has just been sued for over-valuing a property and so, being..."
"... not agree with the price you are prepared to pay for the property
The surveyor has just been sued for over-valuing a property and so, being unusually cautious, does not agree with the price you are prepared to pay for the property
There is a problem with the legal paperwork of the property which..."
"... cautious, does not agree with the price you are prepared to pay for the property
There is a problem with the legal paperwork of the property which does not bother you but causes your lender to withdraw their offer
You have chosen a lender with unusual requirements in the CLM Handbook and your..."
"... of the property which does not bother you but causes your lender to withdraw their offer
You have chosen a lender with unusual requirements in the CLM Handbook and your chosen property cannot fulfil them
You change lender but forget to tell your solicitor who then collates the wrong..."
"... a lender with unusual requirements in the CLM Handbook and your chosen property cannot fulfil them
You change lender but forget to tell your solicitor who then collates the wrong information.
The lender's final underwriter spots an error in the paperwork which means that they refuse to issue..."
"... lender but forget to tell your solicitor who then collates the wrong information.
The lender's final underwriter spots an error in the paperwork which means that they refuse to issue you with a mortgage offer
- Organising Inspections of the Property -
As a buyer there are certain..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... final underwriter spots an error in the paperwork which means that they refuse to issue you with a mortgage offer
- Organising Inspections of the Property -
As a buyer there are certain inspections that you may want to carry out to make sure the property is in the condition that..."
"...As a buyer there are certain inspections that you may want to carry out to make sure the property is in the condition that you believe it to be. The most basic and recognised is a survey. As a cash buyer you may simply want to carry out a valuation survey to get a second opinion of the price you think the property is worth. If you are applying for a mortgage the lender will have carried this out for their own records and will make you aware of the results (see above).
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... aware of the results (see above).
You can go into more detail by requesting a homebuyers survey or a structural survey. If you are applying for a mortgage it usually makes sense for the surveyor who is doing the valuation to also carry out the second survey.
A homebuyers survey is the usual..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...A homebuyers survey is the usual choice for those buying a flat. It looks at any defects on the property such as the windows, flooring, plumbing, damp and, if there is access, the roof. A structural survey is usually chosen by those purchasing a house as it includes everything in the homebuyers report as well as an inspection of the structure.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...It is extremely important to know that the surveyor is qualified to spot tell-tale signs but cannot actually or absolutely state that something is wrong. He may say, for example, that "the windows are in need of refurbishment and that a qualified contractor should assess the cost" or "there appear to be signs that the property is subsiding to the rear and a qualified structural engineer should survey the property to assess the extent of any movement".
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... any movement".
Surveys can be weighty tomes, up to one hundred pages long and usually make frightening reading. From it you need to ascertain what is really important and what is expected in a property of that age. For this see Chapter 20: What a Property Survey Really Means
Once you have..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... a property of that age. For this see Chapter 20: What a Property Survey Really Means
Once you have sorted the wheat from the chaff you may decide you want to have further inspections. The most common are:
Damp - a damp proofing company to see if the damp found by the surveyor is..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... chaff you may decide you want to have further inspections. The most common are:
Damp - a damp proofing company to see if the damp found by the surveyor is significant enough to warrant tampering with the walls.
Electrics - an electrician to see if there is anything unusual or "unsafe" in the..."
"... if the damp found by the surveyor is significant enough to warrant tampering with the walls.
Electrics - an electrician to see if there is anything unusual or "unsafe" in the way the property is wired.
Plumbing - a plumber to check the piping and central heating system (if gas) are..."
"... - an electrician to see if there is anything unusual or "unsafe" in the way the property is wired.
Plumbing - a plumber to check the piping and central heating system (if gas) are sound
Roofing - a roofer to inspect the tiling, flashings, parapets, rafters and chimney stacks.
Structure -..."
"... is wired.
Plumbing - a plumber to check the piping and central heating system (if gas) are sound
Roofing - a roofer to inspect the tiling, flashings, parapets, rafters and chimney stacks.
Structure - a structural engineer to make sure that there is no movement in the building beyond the..."
"... the tiling, flashings, parapets, rafters and chimney stacks.
Structure - a structural engineer to make sure that there is no movement in the building beyond the normal amount expected and that none of the walls are bulging.
Drainage - a specialist company that can place CCTV probes in the..."
"... beyond the normal amount expected and that none of the walls are bulging.
Drainage - a specialist company that can place CCTV probes in the drains and create video footage that shows the condition of the pipes.
As a buyer it is generally expected that you will organise any further..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the pipes.
As a buyer it is generally expected that you will organise any further inspections beyond the survey yourself. Most buyers want to do this anyway rather than let the vendor choose someone. Who pays (although some inspections are free) is usually a thorny issue.
Any good estate..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... a thorny issue.
Any good estate agent will hold lists of companies that they have used in the past and can be a good place to find contractors. Any contractor should be given a copy of the relevant part of the survey so they know what it is that they are there to inspect.
What Can Go..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the relevant part of the survey so they know what it is that they are there to inspect.
What Can Go Wrong
The surveyor is overcautious and believes everything needs to be inspected
The surveyor believes he knows how much needs to be spent and quotes a figure
The contractors that go in are..."
"... inspect.
What Can Go Wrong
The surveyor is overcautious and believes everything needs to be inspected
The surveyor believes he knows how much needs to be spent and quotes a figure
The contractors that go in are looking for work and so see issues where there are none
Neither you nor the..."
"... needs to be inspected
The surveyor believes he knows how much needs to be spent and quotes a figure
The contractors that go in are looking for work and so see issues where there are none
Neither you nor the vendor can agree who will pay for a specific specialist to check the property. As an..."
"...Neither you nor the vendor can agree who will pay for a specific specialist to check the property. As an example the property may need a structural engineer to assess it. The vendor argues that you should pay for it because it will be a document useful to you when you come to sell (the vendor nearly always assumes the situation is ridiculous and their property cannot possibly be structurally unsound). You argue the vendor should pay because you have already spent money on the survey and it is up to the vendor to prove his property is stable. Both parties have justifiable arguments but it doesn't help the process move anywhere!
..."
"... arguments but it doesn't help the process move anywhere!
Both you and the vendor have quotes carried out but they vary dramatically so it continues to remain unclear whether or not there really is an issue to be resolved
- Signing the Contract -
While you are busy making sure the..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... carried out but they vary dramatically so it continues to remain unclear whether or not there really is an issue to be resolved
- Signing the Contract -
While you are busy making sure the property is as sound as you thought it was, your solicitor is busy making sure the paperwork..."
"...While you are busy making sure the property is as sound as you thought it was, your solicitor is busy making sure the paperwork surrounding it is just as solid. Once they are satisfied that they have all the information they will compile a report for you. This will summarise the property you are buying and point out anything the solicitor feels is unusual.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... anything the solicitor feels is unusual.
This is the time to check that all the things you thought were there (such as a parking space or the right to use a communal roof terrace) really are! With this report will be a contract for you to sign.
Putting your signature on this paper is not..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... this report will be a contract for you to sign.
Putting your signature on this paper is not the end of the matter. Your solicitor will usually call you again once he receives it to confirm that you still want to exchange. He will also need:
To have a deposit in his bank account to give to..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... call you again once he receives it to confirm that you still want to exchange. He will also need:
To have a deposit in his bank account to give to the vendor's solicitor (see below).
To know the date you want completion to occur on
Once you give the green light he will call the..."
"... to exchange. He will also need:
To have a deposit in his bank account to give to the vendor's solicitor (see below).
To know the date you want completion to occur on
Once you give the green light he will call the vendors solicitor and effect the exchange of contracts.
What Can Go..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... to the vendor's solicitor (see below).
To know the date you want completion to occur on
Once you give the green light he will call the vendors solicitor and effect the exchange of contracts.
What Can Go Wrong
The contract gets lost in the post and your solicitor did not keep a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... green light he will call the vendors solicitor and effect the exchange of contracts.
What Can Go Wrong
The contract gets lost in the post and your solicitor did not keep a copy
There are things in the report which show the property is not what you thought it was (e.g. there is no parking..."
"... gets lost in the post and your solicitor did not keep a copy
There are things in the report which show the property is not what you thought it was (e.g. there is no parking space when you were led to believe there was one)
You start to try and understand everything in the legal paperwork..."
"... there is no parking space when you were led to believe there was one)
You start to try and understand everything in the legal paperwork and get bogged down checking the work you have paid your solicitor to carry out
Your signed contract gets lost in the post causing a delay
No one can..."
"... everything in the legal paperwork and get bogged down checking the work you have paid your solicitor to carry out
Your signed contract gets lost in the post causing a delay
No one can agree the date for completion
You go on holiday and your solicitor does not exchange because he is waiting..."
"... down checking the work you have paid your solicitor to carry out
Your signed contract gets lost in the post causing a delay
No one can agree the date for completion
You go on holiday and your solicitor does not exchange because he is waiting for your verbal go ahead
- Funds for..."
"... signed contract gets lost in the post causing a delay
No one can agree the date for completion
You go on holiday and your solicitor does not exchange because he is waiting for your verbal go ahead
- Funds for Exchange and Completion -
As discussed in Specifying Exchange and Completion..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... date for completion
You go on holiday and your solicitor does not exchange because he is waiting for your verbal go ahead
- Funds for Exchange and Completion -
As discussed in Specifying Exchange and Completion Dates (see above) your solicitor will usually need a cash deposit to give to..."
"...As discussed in Specifying Exchange and Completion Dates (see above) your solicitor will usually need a cash deposit to give to the vendors' solicitor when exchanging contracts. The only exception is when you are using a one hundred percent mortgage or the vendor has agreed that you will provide a deposit of zero percent.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... is when you are using a one hundred percent mortgage or the vendor has agreed that you will provide a deposit of zero percent.
The deposit must be in cleared funds.
What Can Go Wrong
Your solicitor only asks for the deposit when he has received your signed contract and you have to write a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... percent.
The deposit must be in cleared funds.
What Can Go Wrong
Your solicitor only asks for the deposit when he has received your signed contract and you have to write a cheque which takes five days to clear
The cash is in an account which restricts the amount that can be removed at..."
"... contract and you have to write a cheque which takes five days to clear
The cash is in an account which restricts the amount that can be removed at any one time or the time-scales in which a withdrawal can be made
The cash is in stocks, shares or investments that have decreased in..."
"... restricts the amount that can be removed at any one time or the time-scales in which a withdrawal can be made
The cash is in stocks, shares or investments that have decreased in value
- Your Solicitor in the Property Buying Process -
Once officially instructed by you, your solicitor has..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... in which a withdrawal can be made
The cash is in stocks, shares or investments that have decreased in value
- Your Solicitor in the Property Buying Process -
Once officially instructed by you, your solicitor has a set number of actions to undertake. Most are dictated by the..."
"...Once officially instructed by you, your solicitor has a set number of actions to undertake. Most are dictated by the lender you are using via the CLM Handbook (see above) but if you are lucky enough to be a cash buyer you can choose to opt out of certain requirements such as local searches (see below).
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... you are lucky enough to be a cash buyer you can choose to opt out of certain requirements such as local searches (see below).
Your solicitors responsibilities are to:
Check the set of paperwork sent by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... to opt out of certain requirements such as local searches (see below).
Your solicitors responsibilities are to:
Check the set of paperwork sent by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you..."
"... (see below).
Your solicitors responsibilities are to:
Check the set of paperwork sent by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking..."
"... are to:
Check the set of paperwork sent by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will..."
"... the set of paperwork sent by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers..."
"... by the vendor's solicitor
Request any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor...."
"... any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well..."
"... any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well prepared these..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well prepared these will arrive in one..."
"... the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well prepared these will arrive in one parcel. If not they will be forwarded to your solicitor as soon as the vendor can get hold of them! The documents are as follows:
The Contract -..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The Contract - this is a short document and basically says that you agree to buy and the vendor agrees to sell the property. The contract is only signed by the vendor and you once all the other checks have been made. Once you have signed your part and the vendor has signed theirs the documents are exchanged between the solicitors. Hence this moment is known as Exchange of Contracts or more often as simply the Exchange. It is the moment of no return when you must buy and they must sell even though, usually, no full payment has been made. The first contract that your solicitor receives is usually known as the Draft Contract as it has not yet been agreed.
..."
"...The Title Deeds - this document is only held by the person who owns the property. In most cases this is not actually the vendor but the lender that he has his mortgage with. The vendor's solicitor will ask the lender to send the title deeds to him. The lender can refuse or place conditions on the request if they are concerned the property will be sold for less than the current mortgage balance and the vendor cannot prove where the shortfall will come from.
..."
"...Seller's Questionnaire - this is a list of questions that are answered by the vendor. It includes declarations that there are currently no legal disputes occurring with the neighbours, who is responsible for boundaries, if there are any current guarantees, who is supposed to carry out maintenance work, etc. The vendor is only required to complete it "to the best of their knowledge". As such they can answer "Don't Know". If it can later be shown that they misled you it is possible to claim compensation. This form has many names and could be titled Seller's Property Information Form, Seller's Pack, etc.
..."
"...Fixtures and Fittings - this specifies exactly what the vendor intends to leave. It should confirm any agreement you made at offer stage such as including the curtains and carpets. They may also list items which they are prepared to sell to you should you want them. These could be anything from shower curtains to kitchen appliances.
..."
"...Building Insurance - your solicitor will want to know that the property is either currently insured or that someone is prepared to insure it. The easiest way to confirm this is to find out who is covering the property at the moment. This is essential if you are applying for a mortgage because, should the structure burn to the ground the day after you move in, the lender will be able to recover the money you have borrowed. If you are purchasing for cash you will still want to have the same piece of mind.
..."
"... will still want to have the same piece of mind.
Guarantees - these are the actual guarantees that have been specified in the Seller's Questionnaire. Common items that may be covered by guarantees are the roof, damp proofing, structural work, etc.
Planning Consents - these are only required if..."
"... etc.
Planning Consents - these are only required if the vendor or some previous owner has made changes to the property that required planning permission. An example might be a two storey extension added to the rear of the property but could even include a skylight added in the loft.
Building..."
"...Building Regulation Approval - again these are only required if the vendor or some previous owner made changes to the property that are deemed to be structural and so should be inspected by the local borough's Building Control department. These can include changes that have been made inside the property and so did not require planning consent. An example could be where two rooms have been made into one and the wall that was removed was a structural part of the property.
..."
"... was a structural part of the property.
The Lease (Leasehold and Share of Freehold Only) - This comes from the vendor's solicitor and defines what the freeholder expects from you as a leaseholder. See Chapter 14: Viewing Properties and Making Offers
Service Charge Accounts (Leasehold Only) -..."
"...Service Charge Accounts (Leasehold Only) - where you are buying a leasehold property it is important to gain an idea of how much the managing agents charge every year to maintain and run the property. These charges could include lift maintenance, cleaning, lighting, care of a communal garden, even looking after the TV aerial and satellite dish. The most important factor is that these charges are consistent and reasonable with what is being provided. As such your solicitor will ask for at least the last three years accounts to confirm this or spot any trends that you should be aware of. Any debts that the vendor may have with the managing agents are identified here and are extremely important. Service Charge debts are based on the property. If you buy when there are outstanding debts they will become your responsibility.
..."
"...Ground Rent Receipts (Leasehold Only) - the ground rent is a charge made by the freeholder. Again the last three years receipts will be sought by your solicitor in order to make sure the premiums are not excessive or rising sharply. Any debts that the vendor may have with the freeholder are identified here and are also extremely important. As with the service charge, ground rent debts are also based on the property. If you buy when there are outstanding debts they will become your responsibility.
..."
"...License to Assign (Leasehold Only) - for most purchases this is a formality. It is a document from the managing agents or freeholder saying they accept you as the new leaseholder. There are some blocks, however, where you will have to provide character references, proof of your financial status and sometimes even attend for an interview. They are rare and, more often than not, in the upmarket apartments of Mayfair and Kensington.
..."
"...Deeds of Variation (Leasehold Only) - when a lease needs to be changed the freeholder may decide that writing an entirely new lease is timely and costly. As such they will issue a deed of variation to the lease to confirm that something in the lease is not true or to make an addition to the lease.
..."
"...Share Certificate (Share of Freehold Only) - where the property you are buying is Share of Freehold you are essentially buying into a percentage of the freehold. The freehold company you are becoming part of is a Limited Company registered at Companies house. As such your part ownership of the freehold must be recognised legally and to do this all the other parties who own a percentage of that freehold must agree to issue you with shares.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... of that freehold must agree to issue you with shares.
What Can Go Wrong
The problems with paperwork fall into issues at the vendor's solicitors side and issues that your solicitor will have. The latter are:
Your solicitor is old fashioned and argues that, despite having some of the..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... will have. The latter are:
Your solicitor is old fashioned and argues that, despite having some of the paperwork, it is not worth starting work until all the documentation has arrived which slows down the process and adds to the risk of the purchase falling through
Your solicitor does not..."
"... down the process and adds to the risk of the purchase falling through
Your solicitor does not believe the contract is legally adequate and gets into an endless argument with the vendor's solicitor over the wording.
There is no definitive protocol for what a seller's pack should look like..."
"... gets into an endless argument with the vendor's solicitor over the wording.
There is no definitive protocol for what a seller's pack should look like and your solicitor believes that the one provided is inadequate.
There is no definitive protocol for what a fixtures and fittings list should..."
"... like and your solicitor believes that the one provided is inadequate.
There is no definitive protocol for what a fixtures and fittings list should look like and your solicitor believes that the one provided is inadequate.
The buildings insurance on the property may not be adequate for the..."
"... look like and your solicitor believes that the one provided is inadequate.
The buildings insurance on the property may not be adequate for the lender you have chosen even though it was fine for the vendor's lender.
The guarantees on work carried out on the property are from companies no..."
"... may not be adequate for the lender you have chosen even though it was fine for the vendor's lender.
The guarantees on work carried out on the property are from companies no longer in business
There has been building work that does not require planning consent but your solicitor is not familiar..."
"... are from companies no longer in business
There has been building work that does not require planning consent but your solicitor is not familiar with the area's requirements and so asks for documents that are not required and do not exist.
There has been building work that does not..."
"... that are not required and do not exist.
There has been building work that does not require Building Regulation Approval but your solicitor is not familiar with the area's requirements and so asks for documents that are not required and do not exist
There has been building work that requires..."
"... not exist
There has been building work that requires Building Regulation Approval but the work was carried out before Building Regulation Approval came into force. Your solicitor is not be familiar with when this actually occurred in the area and so asks for documents that do not exist
Leasehold..."
"... be familiar with when this actually occurred in the area and so asks for documents that do not exist
Leasehold only: The managing agents are extremely slow to provide service charge accounts
Leasehold only: The managing agents have been changed within the last three years and the previous..."
"... The managing agents are extremely slow to provide service charge accounts
Leasehold only: The managing agents have been changed within the last three years and the previous agents are refusing to pass on any documentation.
Leasehold only: Your solicitor believes the service charge accounts are..."
"... years and the previous agents are refusing to pass on any documentation.
Leasehold only: Your solicitor believes the service charge accounts are not adequate but the managing agent refuses to provide any further information
Leasehold only: The vendor owes the managing agents money but is..."
"... to provide any further information
Leasehold only: The vendor owes the managing agents money but is refusing to pay it because he is in dispute with them. An example may be that he has withheld the cleaning charge because no cleaning has occurred!
Leasehold only: The vendor owes the..."
"... may be that he has withheld the cleaning charge because no cleaning has occurred!
Leasehold only: The vendor owes the freeholder money but is refusing to pay it because he is in dispute with them.
Leasehold only: The freeholder is absent (has gone missing and no one knows where they..."
"... is in dispute with them.
Leasehold only: The freeholder is absent (has gone missing and no one knows where they are!) and so no ground rent payments have been made. Your solicitor may be concerned that he will reappear and want to claim the outstanding debt from you.
Leasehold only: Your..."
"... he will reappear and want to claim the outstanding debt from you.
Leasehold only: Your solicitor does not think a deed of variation is adequately worded and wants a new one drawn up. The freeholder is offended and refuses to do so
- Requesting Further Enquiries -
With so many pitfalls in..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... think a deed of variation is adequately worded and wants a new one drawn up. The freeholder is offended and refuses to do so
- Requesting Further Enquiries -
With so many pitfalls in the documentation it is not surprising that your solicitor may want to ask further questions of the..."
"... With so many pitfalls in the documentation it is not surprising that your solicitor may want to ask further questions of the vendor, his managing agents or his freeholder. Much of this comes from the fact that there are no definitive protocols for the forms and documents that pass between them.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...In a perfect world they would ask, the vendors' solicitor would reply, and you could get on with buying the property. It's not a perfect world and solicitors are also a proud race. Taking criticism from another solicitor is not their forte. They also all tend to have their own methods of working and often scorn those of their counterparts.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The most common issue is that your solicitor does not believe a document provided by the vendor's solicitor is legally adequate. To the vendor's solicitor this is a smack in the face and an insult to his professional capabilities. All too often the process can get bogged down in an, "Oh yes it is" - "Oh no it isn't" circular argument. The most fiercely debated are Deeds of Variation, sellers packs and fixtures and fittings lists.
..."
"...If your solicitor is not based in, or familiar with, the area in which you are buying they may not know about local regulations. As such they request documents that do not exist. The vendors' solicitor does not reply for exactly that reason but your solicitor sits and waits for the document that isn't coming. The most common is planning permission. Many solicitors are unaware, for example, that you can build an extension on a freehold house in certain conservation areas up to ten percent of the volume of the original house or fifty cubic metres (whichever is greater) . As such they waste time swapping letters in an endless attempt to find planning consent on something that requires no approval.
..."
"...Your solicitor is lazy (or some might argue clever) and has created a list of enquires that need answered in order to satisfy every lender and client. He does not read the documents that have been sent through but simply sends this enquiry form off. The vendor's solicitor believes your solicitor is simply trying to get him to do all the work by trawling through the documents and extracting the relevant facts. The vendor's solicitor only fills in replies to the questions not answered in the original paperwork. Your solicitor claims that he has not replied to all the enquiries. He claims that the remainder of the enquiries are in the original documentation and both sides refuse to do anything!
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... He claims that the remainder of the enquiries are in the original documentation and both sides refuse to do anything!
- Applying for Local Searches -
These are usually required by the lender and fall into three parts:
The Local Search - this is provided by the local council and..."
"... are in the original documentation and both sides refuse to do anything!
- Applying for Local Searches -
These are usually required by the lender and fall into three parts:
The Local Search - this is provided by the local council and lists all planning applications made in the area..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... parts:
The Local Search - this is provided by the local council and lists all planning applications made in the area immediately surrounding your property since records began. It does not show whether the applications were successful or not. There are three ways to get a local search:
The..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... search:
The Standard Local Search - this is the traditional method and costs the least. Your solicitor applies to the local council who find every single planning application there has ever been in the area. It can take, depending on the council, up to sixteen weeks to process.
A Hand..."
"... to sixteen weeks to process.
A Hand Search - this is arguably less thorough than the standard search as well as being more expensive. It is however very popular because most councils will turn it round within forty-eight hours. It is not accepted by all lenders
An Agency Search - some..."
"... An Agency Search - some entrepreneurial individuals have taken advantage of the fact that councils can be eye-wateringly slow in processing local searches. To plug this gap they have started agencies that buy searches either from the council or solicitors on a regular basis. They put these on the shelf and then sell them to your solicitor for a profit. Needless to say they are more expensive but it is a very useful way to get hold of a Standard Search in days, rather than weeks.
..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"...The Drainage Search - this is again provided by the local council and confirms that your property is entitled to be connected to the local sewerage and drainage systems of the area. It is really aimed at properties in more rural areas that may have their own septic tanks and in major towns and cities it is almost always no more than a formality.
..."
"...The Environmental Search - this is a modern addition and looks at the soil pollution underneath your property. Needless to say in major towns and cities this is generally pretty bad. It is there to protect you from unscrupulous developers who have not prepared the ground adequately before building but means little underneath properties built half a century ago.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... built half a century ago.
Once your solicitor has these searches he may want more information. The most obvious is that there is a planning application in the local search that applies to the property you are hoping to purchase. They will then want to know:
Was the application successful..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... application in the local search that applies to the property you are hoping to purchase. They will then want to know:
Was the application successful and if so:
Was the planning consent acted upon and did building work actually take place and if so:
Was the building work inspected to..."
"... you are hoping to purchase. They will then want to know:
Was the application successful and if so:
Was the planning consent acted upon and did building work actually take place and if so:
Was the building work inspected to confirm that it did match the planning consent that was approved and..."
"... the planning consent acted upon and did building work actually take place and if so:
Was the building work inspected to confirm that it did match the planning consent that was approved and if so:
Was Building Regulation Approval required for the building work and if so:
Was the work..."
"... the building work inspected to confirm that it did match the planning consent that was approved and if so:
Was Building Regulation Approval required for the building work and if so:
Was the work inspected and Building Regulation Approval given.
They may also want to know, however, if..."
"... consent that was approved and if so:
Was Building Regulation Approval required for the building work and if so:
Was the work inspected and Building Regulation Approval given.
They may also want to know, however, if planning consent has been given for something on another property that..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...They may also want to know, however, if planning consent has been given for something on another property that may affect the value of your property in the future. An example would be planning permission to open a nightclub across the road from your property. The local search would show someone had applied for it but they will need to find out if it was denied. If not they will need to tell you and the lender about it as it may materially change the decision of either of you on whether or not you want to proceed.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...A classic example is Highbury Place in Islington. Georgian town houses can sell for well over £2 million yet a few decades ago a planning application was made to tear the whole row down. Thankfully it was rejected but the application shows up on every search so a solicitor must always check that it was rejected. Otherwise they could theoretically be handling the paperwork of a historical pile of rubble!
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the paperwork of a historical pile of rubble!
What Can Go Wrong
Your solicitor is not familiar with the area in which you are buying and applies for a standard local search, unaware that it may take four months to process
Your solicitor is not familiar with agency searches and refuses to..."
"... search, unaware that it may take four months to process
Your solicitor is not familiar with agency searches and refuses to use one (often the case with solicitors based outside major towns and cities where such agencies are rare)
The local borough is taking weeks to process searches but..."
"... based outside major towns and cities where such agencies are rare)
The local borough is taking weeks to process searches but your lender will not accept a hand search and your solicitor does not understand agency searches
Your solicitor has no contacts with the local council and so cannot..."
"... does not understand agency searches
Your solicitor has no contacts with the local council and so cannot get clarity on planning applications and has to do everything in writing which adds weeks to the process as they grind through the council's systems
Your solicitor is based in a rural area..."
"... they grind through the council's systems
Your solicitor is based in a rural area and believes the results of the Environmental Search are a disaster compared to those that he has seen in the green and pleasant rural location where his practice is based
- Checking the Mortgage Offer -..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... are a disaster compared to those that he has seen in the green and pleasant rural location where his practice is based
- Checking the Mortgage Offer -
If you have applied for a mortgage in order to purchase the property then, all being well, the lender will issue you with an offer...."
"...If you have applied for a mortgage in order to purchase the property then, all being well, the lender will issue you with an offer. Your solicitor will not want to exchange until you have this and he has a copy. To do so would mean that you would be liable to complete and pay the balance, without any guarantee that someone will lend you the cash.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the balance, without any guarantee that someone will lend you the cash.
Your solicitor will check the offer to ensure the bank has not made any errors on the offer which would affect the your ability to complete.
What Can Go Wrong
The most common is a mistake in either your details or..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... The most common is a mistake in either your details or the property details. They may have misspelled your name or got the postcode wrong. They could also have made a mistake with the term of the mortgage, expecting you to pay it back within ten years when you thought you had twenty-five!
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... made a mistake with the term of the mortgage, expecting you to pay it back within ten years when you thought you had twenty-five!
- Issuing the Report -
Once all issues have been resolved to your solicitor's satisfaction they will summarise the mountain of paperwork into a report. This..."
"...Once all issues have been resolved to your solicitor's satisfaction they will summarise the mountain of paperwork into a report. This will usually be about five pages long and will repeat the obvious points (such as the address of the property) as well as pointing out the unusual. Solicitors call this 'reporting to their client'. It is as much a way of bringing important facts to your attention as it is a method to cover themselves against any future legal action you might want to take against them so read it carefully.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... read it carefully.
The report usually arrives with all the other paperwork so you can read the actual lease or view the management accounts yourself. Attached to it will be the contract for you to sign. By doing so you are saying that you accept all the attached paperwork.
What Can Go..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... so you are saying that you accept all the attached paperwork.
What Can Go Wrong
You become bogged down trying to understand all the documents rather than trust the person you paid to do that job for you.
The solicitor is extremely slow in putting the report together
The report and all the..."
"... bogged down trying to understand all the documents rather than trust the person you paid to do that job for you.
The solicitor is extremely slow in putting the report together
The report and all the documentation gets lost in the post
- Exchanging the Contracts -
Your solicitor is..."
"... than trust the person you paid to do that job for you.
The solicitor is extremely slow in putting the report together
The report and all the documentation gets lost in the post
- Exchanging the Contracts -
Your solicitor is only able to do this once he has your part of the contract back..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... you.
The solicitor is extremely slow in putting the report together
The report and all the documentation gets lost in the post
- Exchanging the Contracts -
Your solicitor is only able to do this once he has your part of the contract back and signed by you. He will also need to be in..."
"...Your solicitor is only able to do this once he has your part of the contract back and signed by you. He will also need to be in cleared funds (see above). With this he is ready so long as the vendor has signed his part and returned it to his solicitor. Despite having all of this he will probably wait for your final verbal instruction before exchanging.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... before exchanging.
What Can Go Wrong
You think you have signed everything you need to sign and disappear off on holiday, assuming your solicitor will exchange. He does not have your final verbal instruction and so does not do it.
Your solicitor goes on holiday or is off ill and..."
"... solicitor will exchange. He does not have your final verbal instruction and so does not do it.
Your solicitor goes on holiday or is off ill and there is no one else available to affect the exchange.
Your solicitor goes on holiday or is off ill but there is someone else available. They check..."
"... to affect the exchange.
Your solicitor goes on holiday or is off ill but there is someone else available. They check the paperwork and decide there are some enquiries missing that they want answered and refuse to exchange until the vendor's solicitor replies.
The money you gave to your..."
"... enquiries missing that they want answered and refuse to exchange until the vendor's solicitor replies.
The money you gave to your solicitor for him to exchange has not cleared into his account.
- Completion -
When Exchanging Contracts all parties agree the completion date. Completion is..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... until the vendor's solicitor replies.
The money you gave to your solicitor for him to exchange has not cleared into his account.
- Completion -
When Exchanging Contracts all parties agree the completion date. Completion is the day that you pay the balance of any money to the vendors..."
"... cleared into his account.
- Completion -
When Exchanging Contracts all parties agree the completion date. Completion is the day that you pay the balance of any money to the vendors solicitor and legally take possession of the property.
In order to complete successfully your solicitor..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...In order to complete successfully your solicitor will need to have the cleared funds to do so. This may either be the cash from you or the loan from your lender. If the money is coming from you any cheque must have cleared by this day. If it is coming from your lender the solicitor traditionally has to give them five days notice. This is known as drawing down the mortgage.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... to give them five days notice. This is known as drawing down the mortgage.
In this modern day and age there is probably no need for it to take this long but tradition is a powerful thing and everybody accepts it.
Your solicitor will send the money to the vendor's solicitor via an..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...Your solicitor will send the money to the vendor's solicitor via an electronic cash transfer system. This process can take anything from a couple of minutes to a few hours depending how busy the wires are. Your solicitor will be able to tell you the time the money was sent but this does not mean anything until the vendor's solicitor confirms it has been received at his end.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... vendor's solicitor confirms it has been received at his end.
What Can Go Wrong
Your solicitor forgets to ask you for funds in time for a cheque to clear or a bank transfer fails due to technical problems
Your solicitor forgets to draw down your mortgage (unusually common) so no funds are..."
"... for funds in time for a cheque to clear or a bank transfer fails due to technical problems
Your solicitor forgets to draw down your mortgage (unusually common) so no funds are available for completion
Your solicitor is off ill on the day of completion and it is difficult to find someone else..."
"... to draw down your mortgage (unusually common) so no funds are available for completion
Your solicitor is off ill on the day of completion and it is difficult to find someone else to handle the transaction
Your solicitor sends the money too late for it to be received by the vendor's..."
"... is off ill on the day of completion and it is difficult to find someone else to handle the transaction
Your solicitor sends the money too late for it to be received by the vendor's solicitor
Your solicitor sends the money but it is not received by the vendor's solicitor due to technical..."
"... solicitor sends the money too late for it to be received by the vendor's solicitor
Your solicitor sends the money but it is not received by the vendor's solicitor due to technical difficulties
Your solicitor sends an inadequate sum of money to the vendors solicitor and this only..."
"... is not received by the vendor's solicitor due to technical difficulties
Your solicitor sends an inadequate sum of money to the vendors solicitor and this only becomes clear too late in the day to organise another transfer.
The Vendor's Solicitor in the Property Buying Process -
Once..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... sum of money to the vendors solicitor and this only becomes clear too late in the day to organise another transfer.
The Vendor's Solicitor in the Property Buying Process -
Once officially instructed by the vendor the role of this solicitor is to:
Send the standard set of paperwork to..."
"... late in the day to organise another transfer.
The Vendor's Solicitor in the Property Buying Process -
Once officially instructed by the vendor the role of this solicitor is to:
Send the standard set of paperwork to your solicitor
Reply to any further enquiries your solicitor..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Solicitor in the Property Buying Process -
Once officially instructed by the vendor the role of this solicitor is to:
Send the standard set of paperwork to your solicitor
Reply to any further enquiries your solicitor has
Send the approved contract to your solicitor and to the..."
"... instructed by the vendor the role of this solicitor is to:
Send the standard set of paperwork to your solicitor
Reply to any further enquiries your solicitor has
Send the approved contract to your solicitor and to the vendor
Exchange Contracts
Complete
- Sending the Paperwork -..."
"... is to:
Send the standard set of paperwork to your solicitor
Reply to any further enquiries your solicitor has
Send the approved contract to your solicitor and to the vendor
Exchange Contracts
Complete
- Sending the Paperwork -
The vendors solicitor has to collate the paperwork..."
"... any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well..."
"... any further enquiries from the vendor's solicitor
Apply for searches
Check your mortgage offer
Issue you with a report
Exchange Contracts
Complete
- Checking the Paperwork -
Your solicitor will receive a set of papers from the vendor's solicitor. If the vendor is well prepared these..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... further enquiries your solicitor has
Send the approved contract to your solicitor and to the vendor
Exchange Contracts
Complete
- Sending the Paperwork -
The vendors solicitor has to collate the paperwork described in Your Solicitor above. These are sourced from various parties and so..."
"... Contracts
Complete
- Sending the Paperwork -
The vendors solicitor has to collate the paperwork described in Your Solicitor above. These are sourced from various parties and so tend to arrive at different times.
The Contract: Every solicitor usually has their own version of..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... and so tend to arrive at different times.
The Contract: Every solicitor usually has their own version of a contract on file. They will fill in certain details and send it off as a Draft Contract as they expect your solicitor will want some changes.
The Title Deeds: These will either come from..."
"... some changes.
The Title Deeds: These will either come from the vendor or the lender (if there is currently a loan secured on the property). If it is the latter the solicitor will need the mortgage lender's name and account number as well as written permission to apply for them.
The Sellers..."
"... the solicitor will need the mortgage lender's name and account number as well as written permission to apply for them.
The Sellers Questionnaire: From the vendor (see below).
Fixtures and Fittings List: From the vendor (see below).
Building Insurance: From the vendor or if he does not have it,..."
"... number as well as written permission to apply for them.
The Sellers Questionnaire: From the vendor (see below).
Fixtures and Fittings List: From the vendor (see below).
Building Insurance: From the vendor or if he does not have it, from the insurance company once the vendor provides him..."
"... below).
Fixtures and Fittings List: From the vendor (see below).
Building Insurance: From the vendor or if he does not have it, from the insurance company once the vendor provides him with the company name and policy number.
Guarantees: From the vendor (see below).
Planning Consents (where..."
"... or if he does not have it, from the insurance company once the vendor provides him with the company name and policy number.
Guarantees: From the vendor (see below).
Planning Consents (where applicable): From the vendor or, if he does not have them, from the local council.
Building..."
"... him with the company name and policy number.
Guarantees: From the vendor (see below).
Planning Consents (where applicable): From the vendor or, if he does not have them, from the local council.
Building Regulation Approval (where applicable): From the vendor or, if he does not have them,..."
"... applicable): From the vendor or, if he does not have them, from the local council.
Building Regulation Approval (where applicable): From the vendor or, if he does not have them, from the local council.
The Lease (Leasehold and Share of Freehold only): From the freeholder or freehold..."
"... Approval (where applicable): From the vendor or, if he does not have them, from the local council.
The Lease (Leasehold and Share of Freehold only): From the freeholder or freehold company.
Service Charge Accounts (Leasehold only): From the managing agents or from the freeholder if he has..."
"... (Leasehold and Share of Freehold only): From the freeholder or freehold company.
Service Charge Accounts (Leasehold only): From the managing agents or from the freeholder if he has not appointed managing agents.
Ground Rent Receipts (Leasehold only): From the freeholder.
License to Assign..."
"... Accounts (Leasehold only): From the managing agents or from the freeholder if he has not appointed managing agents.
Ground Rent Receipts (Leasehold only): From the freeholder.
License to Assign (Leasehold only): From the freeholder.
Deeds of Variation (Leasehold and Share of Freehold only,..."
"... the freeholder if he has not appointed managing agents.
Ground Rent Receipts (Leasehold only): From the freeholder.
License to Assign (Leasehold only): From the freeholder.
Deeds of Variation (Leasehold and Share of Freehold only, where applicable): From the freeholder or the freehold..."
"... only): From the freeholder.
License to Assign (Leasehold only): From the freeholder.
Deeds of Variation (Leasehold and Share of Freehold only, where applicable): From the freeholder or the freehold company.
Share Certificate (Share of Freehold only): From the freehold company.
What Can Go..."
"... Variation (Leasehold and Share of Freehold only, where applicable): From the freeholder or the freehold company.
Share Certificate (Share of Freehold only): From the freehold company.
What Can Go Wrong
With paperwork to come from so many different sources it is little wonder that it can..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... (Share of Freehold only): From the freehold company.
What Can Go Wrong
With paperwork to come from so many different sources it is little wonder that it can take time and sometimes even prove impossible.
The vendors' solicitor has only just been instructed and it takes weeks for all..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... little wonder that it can take time and sometimes even prove impossible.
The vendors' solicitor has only just been instructed and it takes weeks for all the documentation to be collated and forwarded to your solicitor
The vendors solicitor is old fashioned and refuses to send on any paperwork..."
"... it takes weeks for all the documentation to be collated and forwarded to your solicitor
The vendors solicitor is old fashioned and refuses to send on any paperwork until he has the full set of documentation
The title deeds are with a lender who has lost them which causes weeks of delay. It is..."
"... old fashioned and refuses to send on any paperwork until he has the full set of documentation
The title deeds are with a lender who has lost them which causes weeks of delay. It is surprisingly common!
The sale price is too low and the lender, not convinced the vendor can cover the shortfall..."
"... causes weeks of delay. It is surprisingly common!
The sale price is too low and the lender, not convinced the vendor can cover the shortfall between the outstanding debt secured on the property and your offer, refuses to release the title deeds
The Vendor has the title deeds but cannot find..."
"... secured on the property and your offer, refuses to release the title deeds
The Vendor has the title deeds but cannot find them or has lodged them with a solicitor who has since gone out of business or closed down
There has been building work that required planning consent but none has been..."
"... cannot find them or has lodged them with a solicitor who has since gone out of business or closed down
There has been building work that required planning consent but none has been applied for
There has been building work that required Building Regulation Approval but the work has not been..."
"... been building work that required planning consent but none has been applied for
There has been building work that required Building Regulation Approval but the work has not been inspected and there is no certificate
Leasehold only: The managing agents are extremely slow to provide service charge..."
"... be familiar with when this actually occurred in the area and so asks for documents that do not exist
Leasehold only: The managing agents are extremely slow to provide service charge accounts
Leasehold only: The managing agents have been changed within the last three years and the previous..."
"... The managing agents are extremely slow to provide service charge accounts
Leasehold only: The managing agents have been changed within the last three years and the previous agents are refusing to pass on any documentation.
Leasehold only: Your solicitor believes the service charge accounts are..."
"... been changed within the last three years and the previous agents are refusing to pass on any documentation.
Leasehold only: The freeholder is extremely slow to provide ground rent receipts
Leasehold only: The freeholder is absent (has gone missing and no one knows where they are!) and so no..."
"... only: The freeholder is extremely slow to provide ground rent receipts
Leasehold only: The freeholder is absent (has gone missing and no one knows where they are!) and so no ground rent payments have been made.
Share of Freehold Only: Some of the parties who own part of the freehold are..."
"... knows where they are!) and so no ground rent payments have been made.
Share of Freehold Only: Some of the parties who own part of the freehold are absent and cannot be found so it is not possible to issue a share certificate
Share of Freehold Only: The company has been very badly run and..."
"... be found so it is not possible to issue a share certificate
Share of Freehold Only: The company has been very badly run and accounts are missing so it is not possible to see how much the running costs of the building have been
- Replying to Enquiries -
As described in Your Solicitor..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... been very badly run and accounts are missing so it is not possible to see how much the running costs of the building have been
- Replying to Enquiries -
As described in Your Solicitor this should be straight forward but for the disagreements over:
What the vendor's solicitor thinks..."
"... to see how much the running costs of the building have been
- Replying to Enquiries -
As described in Your Solicitor this should be straight forward but for the disagreements over:
What the vendor's solicitor thinks has already been answered
What the vendor's solicitor thinks..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... to Enquiries -
As described in Your Solicitor this should be straight forward but for the disagreements over:
What the vendor's solicitor thinks has already been answered
What the vendor's solicitor thinks is important to answer
The vendor's solicitor always starts the transaction..."
"... be straight forward but for the disagreements over:
What the vendor's solicitor thinks has already been answered
What the vendor's solicitor thinks is important to answer
The vendor's solicitor always starts the transaction as the most relaxed party. He hopes that he will send off the..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...The vendor's solicitor always starts the transaction as the most relaxed party. He hopes that he will send off the paperwork that he believes your solicitor requires and wait for a call to exchange contracts. Ask a vendor's solicitor if he is ready to exchange and, so long as he has sent out the original set of paperwork, the answer is always, "Yes!"
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the answer is always, "Yes!"
This is a natural response as he actually does not have to collate any answers in any format for either his client or a lender. It does sometimes, however, lead the vendor to believe that the buyer is being awkward.
Imagine if every time you called your..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... believe that the buyer is being awkward.
Imagine if every time you called your solicitor and asked what the situation was he always said, "Well I'm ready, but the buyer wants to know X". You would begin to wonder what the problem was with the buyer!
What Can Go Wrong
The two solicitors..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... wants to know X". You would begin to wonder what the problem was with the buyer!
What Can Go Wrong
The two solicitors become deadlocked on a disagreement over the wording of a document
The Vendor's solicitor refuses to answer enquiries that he claims are already covered by the original..."
"... solicitors become deadlocked on a disagreement over the wording of a document
The Vendor's solicitor refuses to answer enquiries that he claims are already covered by the original paperwork and a stalemate follows
The Vendor's solicitor tells the vendor some enquiries are "not relevant" or..."
"... claims are already covered by the original paperwork and a stalemate follows
The Vendor's solicitor tells the vendor some enquiries are "not relevant" or "too picky" and persuades the vendor to instruct him not to reply
The Vendor's solicitor winds the vendor up by stating how ready he is to..."
"... are "not relevant" or "too picky" and persuades the vendor to instruct him not to reply
The Vendor's solicitor winds the vendor up by stating how ready he is to exchange every time the vendor calls
- Sending the Approved Contracts -
Once the arguing has subsided and both sides have..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... not to reply
The Vendor's solicitor winds the vendor up by stating how ready he is to exchange every time the vendor calls
- Sending the Approved Contracts -
Once the arguing has subsided and both sides have agreed that all enquiries have been cleared up the vendor's solicitor will..."
"... vendor calls
- Sending the Approved Contracts -
Once the arguing has subsided and both sides have agreed that all enquiries have been cleared up the vendor's solicitor will produce the final contract and send it to your solicitor
What Can Go Wrong
For once this is a procedure that..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... solicitor will produce the final contract and send it to your solicitor
What Can Go Wrong
For once this is a procedure that moves as smoothly as the postal service, or hopefully the DX system.
- Exchanging -
When your solicitor has your signed contract and funds for the deposit, and..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... solicitor
What Can Go Wrong
For once this is a procedure that moves as smoothly as the postal service, or hopefully the DX system.
- Exchanging -
When your solicitor has your signed contract and funds for the deposit, and the vendor's solicitor has the vendor's signed contract,..."
"...When your solicitor has your signed contract and funds for the deposit, and the vendor's solicitor has the vendor's signed contract, exchange of contracts can take place. The money is sent electronically between the solicitors and they verbally agree that exchange has taken place at a specified time (say 3.45pm).
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... time (say 3.45pm).
What Can Go Wrong
The vendor thinks he has signed everything he needs to sign and disappears off on holiday, assuming his solicitor will exchange. He does not have the vendor's final verbal instruction and so does not do it.
The vendor's solicitor goes on holiday or is..."
"... exchange. He does not have the vendor's final verbal instruction and so does not do it.
The vendor's solicitor goes on holiday or is off ill and there is no one else available to affect the exchange
- Completion -
There is very little for the vendor's solicitor to do on the big day..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... until the vendor's solicitor replies.
The money you gave to your solicitor for him to exchange has not cleared into his account.
- Completion -
When Exchanging Contracts all parties agree the completion date. Completion is the day that you pay the balance of any money to the vendors..."
"...There is very little for the vendor's solicitor to do on the big day and it is not that essential that he is present as long as there is someone in the office that can confirm the balance of funds has arrived. In many larger law firms the matter is dealt with by clerks as it is simply a yes or no answer.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... many larger law firms the matter is dealt with by clerks as it is simply a yes or no answer.
What Can Go Wrong
There is no one available to confirm funds have been received
The vendor's solicitor does not receive the payment sent by your solicitor due to technical problems
- The..."
"... no answer.
What Can Go Wrong
There is no one available to confirm funds have been received
The vendor's solicitor does not receive the payment sent by your solicitor due to technical problems
- The Vendor in the Property Buying Process -
Once the vendor has agreed to accept your..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... have been received
The vendor's solicitor does not receive the payment sent by your solicitor due to technical problems
- The Vendor in the Property Buying Process -
Once the vendor has agreed to accept your offer for their property his responsibilities are to:
Sign the Estate Agents..."
"... sent by your solicitor due to technical problems
- The Vendor in the Property Buying Process -
Once the vendor has agreed to accept your offer for their property his responsibilities are to:
Sign the Estate Agents Terms and Conditions (if using an agent)
Instruct a Solicitor
Agree to an..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Process -
Once the vendor has agreed to accept your offer for their property his responsibilities are to:
Sign the Estate Agents Terms and Conditions (if using an agent)
Instruct a Solicitor
Agree to an exchange and completion date
Reply to any enquiries raised
Sign the..."
"... to accept your offer for their property his responsibilities are to:
Sign the Estate Agents Terms and Conditions (if using an agent)
Instruct a Solicitor
Agree to an exchange and completion date
Reply to any enquiries raised
Sign the Contract
- Signing the Estate Agent's Terms and..."
"... property his responsibilities are to:
Sign the Estate Agents Terms and Conditions (if using an agent)
Instruct a Solicitor
Agree to an exchange and completion date
Reply to any enquiries raised
Sign the Contract
- Signing the Estate Agent's Terms and Conditions -
This is actually..."
"... the Estate Agents Terms and Conditions (if using an agent)
Instruct a Solicitor
Agree to an exchange and completion date
Reply to any enquiries raised
Sign the Contract
- Signing the Estate Agent's Terms and Conditions -
This is actually an action that the vendor should carry..."
"... date that can be agreed with the vendor
Raise the finances to purchase the property
Organise for professionals to inspect the property
Sign the Contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... a Solicitor
Agree to an exchange and completion date
Reply to any enquiries raised
Sign the Contract
- Signing the Estate Agent's Terms and Conditions -
This is actually an action that the vendor should carry out the moment he decides which agent or agents are going to..."
"...This is actually an action that the vendor should carry out the moment he decides which agent or agents are going to market his property. For Estate Agents it is a risky business to show or advertise a property without this document being signed because the property owner could sue for wrongful representation or damage to the property caused, even accidentally, when a prospective buyer is shown round.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... Despite this many agents may be keen to get a property onto the market either because it is extremely busy or because the property will be "easy to sell" and so waiting for signed terms and conditions may give another agent the opportunity to get good buyers through the door first.
The..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... the door first.
The Terms must be signed before solicitors are instructed or the agent may risk loosing their fee. The vendor could argue he never agreed to pay the agent anything and with the two solicitors talking, there really is no need for the agent anyway.
What Can Go..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... talking, there really is no need for the agent anyway.
What Can Go Wrong
The Vendor has agreed to your offer but is not in the country at the time so delays occur while terms are sent, signed and returned
The Vendor gets into an argument with the agent over the fee and decides not to..."
"... at the time so delays occur while terms are sent, signed and returned
The Vendor gets into an argument with the agent over the fee and decides not to accept your offer after all (usually because he thought the fee was lower)
Although the vendor has agreed to your offer and a fee, he decides..."
"... your offer after all (usually because he thought the fee was lower)
Although the vendor has agreed to your offer and a fee, he decides that he has not been impressed by the agent and wants to renegotiate this fee first
- Instructing a Solicitor -
A vendor will have many of the same..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... for professionals to inspect the property
Sign the contract
Give your solicitor funds to exchange and complete
- Instructing a Solicitor -
Once your offer is agreed you will need a solicitor to act on your behalf. This solicitor will need to do two things:
Check that..."
"... - Instructing a Solicitor -
A vendor will have many of the same problems as you do in finding a solicitor. Once the vendor has found someone they are comfortable with that solicitor will send out documents for them to complete. The vendor must return:
Details of where the Title Deeds..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... they are comfortable with that solicitor will send out documents for them to complete. The vendor must return:
Details of where the Title Deeds are or the Title Deeds themselves
A Sellers Questionnaire
A Fixtures and Fittings List
A copy of the current buildings insurance
Any guarantees..."
"... send out documents for them to complete. The vendor must return:
Details of where the Title Deeds are or the Title Deeds themselves
A Sellers Questionnaire
A Fixtures and Fittings List
A copy of the current buildings insurance
Any guarantees he has concerning work that has been carried out..."
"... to complete. The vendor must return:
Details of where the Title Deeds are or the Title Deeds themselves
A Sellers Questionnaire
A Fixtures and Fittings List
A copy of the current buildings insurance
Any guarantees he has concerning work that has been carried out on the property
Copies of..."
"... of where the Title Deeds are or the Title Deeds themselves
A Sellers Questionnaire
A Fixtures and Fittings List
A copy of the current buildings insurance
Any guarantees he has concerning work that has been carried out on the property
Copies of planning consent or building..."
"... Sellers Questionnaire
A Fixtures and Fittings List
A copy of the current buildings insurance
Any guarantees he has concerning work that has been carried out on the property
Copies of planning consent or building regulation approval if structural changes or additions have been made..."
"... guarantees he has concerning work that has been carried out on the property
Copies of planning consent or building regulation approval if structural changes or additions have been made to the property
Leasehold only: Who the managing agents are and who the freeholder is
Share of..."
"... consent or building regulation approval if structural changes or additions have been made to the property
Leasehold only: Who the managing agents are and who the freeholder is
Share of Freehold only: The last three years accounts
Share of Freehold only: A share certificate
Details of..."
"... or additions have been made to the property
Leasehold only: Who the managing agents are and who the freeholder is
Share of Freehold only: The last three years accounts
Share of Freehold only: A share certificate
Details of these documents can be found in Your Solicitor above
What..."
"... only: Who the managing agents are and who the freeholder is
Share of Freehold only: The last three years accounts
Share of Freehold only: A share certificate
Details of these documents can be found in Your Solicitor above
What Can Go Wrong
The vendor has not instructed a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... is
Share of Freehold only: The last three years accounts
Share of Freehold only: A share certificate
Details of these documents can be found in Your Solicitor above
What Can Go Wrong
The vendor has not instructed a solicitor and it now takes three weeks to find one and..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... found in Your Solicitor above
What Can Go Wrong
The vendor has not instructed a solicitor and it now takes three weeks to find one and furnish him with the necessary paperwork to start the process. They did not do this earlier because:
they were not convinced the property would sell at..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... the necessary paperwork to start the process. They did not do this earlier because:
they were not convinced the property would sell at the price they wanted and so they did not want to incur any costs
they had put their property on the market for both sales and lettings and were waiting..."
"... property would sell at the price they wanted and so they did not want to incur any costs
they had put their property on the market for both sales and lettings and were waiting to see who would bite first
they were badly advised by the agent not to do so
they were selling privately and did..."
"... costs
they had put their property on the market for both sales and lettings and were waiting to see who would bite first
they were badly advised by the agent not to do so
they were selling privately and did not realise they should do so
The Title Deeds are with a lender and even after..."
"... and lettings and were waiting to see who would bite first
they were badly advised by the agent not to do so
they were selling privately and did not realise they should do so
The Title Deeds are with a lender and even after the vendor has completed the necessary paperwork it takes two..."
"... you have extra cash he begins to think he has undersold the property and pulls out of the transaction. Innocent comments, profound results.
Lines of Communication (once the sale price is agreed)
You, the Buyer
«»
The Estate Agent
«»
The..."
"... they should do so
The Title Deeds are with a lender and even after the vendor has completed the necessary paperwork it takes two weeks for the lender to send them to his solicitor (so long as they can find them and lenders loosing title deeds is surprisingly common)
The Title Deeds were..."
"... loosing title deeds is surprisingly common)
The Title Deeds were lodged with a solicitor who has since closed down or gone out of business. Delays are inevitable while the vendor tracks down what happened to the documents held by the solicitor
The vendor has kept the Title Deeds but can't..."
"... of business. Delays are inevitable while the vendor tracks down what happened to the documents held by the solicitor
The vendor has kept the Title Deeds but can't remember where
The vendor is unsure about questions on the sellers' questionnaire and it takes time to find the answers (such as,..."
"... Title Deeds but can't remember where
The vendor is unsure about questions on the sellers' questionnaire and it takes time to find the answers (such as, for example, who is responsible for the garden fence which borders his property with his neighbour's)
The vendor and their partner take days..."
"... who is responsible for the garden fence which borders his property with his neighbour's)
The vendor and their partner take days to agree what should be included on the fixtures and fittings list
The vendor cannot find details of his current building insurance and has to ask the insurance..."
"... days to agree what should be included on the fixtures and fittings list
The vendor cannot find details of his current building insurance and has to ask the insurance company to send him a copy of the current certificate
The vendor has told you something is under guarantee but cannot find the..."
"... and has to ask the insurance company to send him a copy of the current certificate
The vendor has told you something is under guarantee but cannot find the certificate. It takes time to get a copy
The vendor has carried out building works on the property which required planning consent..."
"... is under guarantee but cannot find the certificate. It takes time to get a copy
The vendor has carried out building works on the property which required planning consent but he has not apply for it
The vendor has carried out building works on the property but does not have a copy of the..."
"... works on the property which required planning consent but he has not apply for it
The vendor has carried out building works on the property but does not have a copy of the planning consent that was given
The vendor has carried out building works on the property which required Building..."
"... but does not have a copy of the planning consent that was given
The vendor has carried out building works on the property which required Building Regulation Approval but he has not had the work inspected and so has no certificate
The vendor has carried out building works on the property which..."
"... he has not had the work inspected and so has no certificate
The vendor has carried out building works on the property which required Building Regulation Approval and has a Building Regulation Approval certificate but cannot find it.
- Replying to Further Enquiries -
Once your solicitor..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... property which required Building Regulation Approval and has a Building Regulation Approval certificate but cannot find it.
- Replying to Further Enquiries -
Once your solicitor has been through the first batch of paperwork sent by the vendor's solicitor he is likely to have some extra..."
"... -
Once your solicitor has been through the first batch of paperwork sent by the vendor's solicitor he is likely to have some extra questions that are either required by the particular lender you are using (if you are applying for a mortgage) or because he believes you should know.
These..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"...These enquiries are sent to the vendors’ solicitor who may be able to answer some of them from the existing paperwork (where he thinks your solicitor has missed or not read certain documents) but there may be other points which only the vendor can answer. These may, for example, be with reference to a legal dispute with one of the neighbours or missing guarantees.
..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... one of the neighbours or missing guarantees.
What Can Go Wrong
The vendor does not know the answer to a question and is not aware that he simply has to reply ‘I do not know’. He spends days trying to find the answer
The vendor does not understand why your solicitor needs to know a..."
"... has to reply ‘I do not know’. He spends days trying to find the answer
The vendor does not understand why your solicitor needs to know a particular point and feels it is irrelevant. As such he refuses to answer
- Signing the Contract -
The vendor has agreed to sell to you at a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... carried out but they vary dramatically so it continues to remain unclear whether or not there really is an issue to be resolved
- Signing the Contract -
While you are busy making sure the property is as sound as you thought it was, your solicitor is busy making sure the paperwork..."
"... the Contract -
The vendor has agreed to sell to you at a certain price so as soon as the wording of the contract itself is agreed between the two solicitors he can sign the document and simply wait for you to sign yours when all the other paperwork is out of the way.
But many don't and..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... of the way.
But many don't and often it is because their solicitor does not push them to just in case there are any changes such as a renegotiation of the price after the property has been surveyed. By doing this, and saving themselves the risk of extra work, there is more risk.
What Can Go..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... garden, parking space, two bedrooms, kitchen with cooker, etc.) which helps them verify that this is actually what you are getting.
What Can Go Wrong
You leave it until after having an offer agreed to find a solicitor and have to choose an unsuitable one in a panic
You choose a..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... By doing this, and saving themselves the risk of extra work, there is more risk.
What Can Go Wrong
The vendor assumes everything is in hand and goes on holiday making exchange impossible
The vendor's solicitor only sends the vendor the contract once you have signed your copy. It spends time..."
"... assumes everything is in hand and goes on holiday making exchange impossible
The vendor's solicitor only sends the vendor the contract once you have signed your copy. It spends time and is delayed in the post
- Summary -
Despite the endless pitfalls that seem to be placed between..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart.
What's covered in this chapter
Why the buying process should be as fast as possible;
Who talks to who and how;
Why dealing through an agent..."
"... vendor's solicitor only sends the vendor the contract once you have signed your copy. It spends time and is delayed in the post
- Summary -
Despite the endless pitfalls that seem to be placed between agreeing an offer and exchanging it is heartening to know that over fifty percent..."
"... Despite the endless pitfalls that seem to be placed between agreeing an offer and exchanging it is heartening to know that over fifty percent succeed. It is often the smallest and simplest issues that become the most complex while those that seem insurmountable can be quickly and easily resolved.
..."
"... most common events that cause things to go wrong. How to get round these is covered in later chapters.
- You, The Buyer in a Property Purchase -
As a buyer your responsibilities are to:
Instruct a solicitor to act on your behalf
Specify an exchange and completion date that can be agreed..."
"... can be quickly and easily resolved.
For the most part many of these hurdles simply cause time delays but as ‘Time Costs Deals’ (see Chapter 19: Time Costs Deals) every extra week is another chance for your property purchase to fall apart...."
Chapter 18:
The Balance of Power
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How to know when you..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... on this particular property. She lost the property and all of her expenses.
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How to know when you have the upper hand, and when you don't;
What..."
"... all of her expenses.
When power is real, and when it is perceived;
How to know when you have the upper hand, and when you don't;
What weakens the power of the buyer or the seller;
True..."
"... power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How to know when you have the upper hand, and when you don't;
What weakens the power of the buyer or the seller;
True stories of people who thought they were in control, and lost..."
"... and seller;
When power is real, and when it is perceived;
How to know when you have the upper hand, and when you don't;
What weakens the power of the buyer or the seller;
True stories of people who thought they were in control, and lost it all.
From the moment you make an offer to the..."
"... to know when you have the upper hand, and when you don't;
What weakens the power of the buyer or the seller;
True stories of people who thought they were in control, and lost it all.
From the moment you make an offer to the time you negotiate a completion date and exchange the person..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... and lost it all.
From the moment you make an offer to the time you negotiate a completion date and exchange the person with the upper hand can vary considerably. This is yet another reason to get an agreed deal through to exchange as quickly as possible.
- Real and Perceived Power..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... the upper hand can vary considerably. This is yet another reason to get an agreed deal through to exchange as quickly as possible.
- Real and Perceived Power -
The Balance of Power has two parts, what is actually happening and who actually has the power versus what both parties (buyer and..."
"...The Balance of Power has two parts, what is actually happening and who actually has the power versus what both parties (buyer and vendor) believe is happening and who they believe has the power. This means that just because you, as a buyer, may believe the market is moving down and want to renegotiate the price, the vendor may believe the opposite and think it is worth withdrawing from the sale in order to sell again for more money.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...It is important from day one to understand the vendor's motivation for selling and then, market conditions aside, you will know if it is wise to cause waves after a bad survey - balanced against your particular desire for that property. Far too many buyers try to renegotiate only to find the papers are withdrawn from them by an emotional vendor who then refuses to continue the sale under any circumstances. The selling agent is the best person to ask as they should know why the vendor is selling and their state of mind at any given moment. Note here the key is 'at any given moment'.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... key is 'at any given moment'.
With private sales motivation is much more difficult to gauge as the vendor may well lie in order to make himself look less desperate or conversely to try and get an offer which he can then use to push other potential buyers higher.
- How the Balance of Power..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... himself look less desperate or conversely to try and get an offer which he can then use to push other potential buyers higher.
- How the Balance of Power Changes -
What weakens a vendors' power includes:
the property being vacant and mortgage payments are high
they have found a property..."
"... to try and get an offer which he can then use to push other potential buyers higher.
- How the Balance of Power Changes -
What weakens a vendors' power includes:
the property being vacant and mortgage payments are high
they have found a property they want to buy
the market is..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... other potential buyers higher.
- How the Balance of Power Changes -
What weakens a vendors' power includes:
the property being vacant and mortgage payments are high
they have found a property they want to buy
the market is falling
they are in financial trouble
they are splitting..."
"... of Power Changes -
What weakens a vendors' power includes:
the property being vacant and mortgage payments are high
they have found a property they want to buy
the market is falling
they are in financial trouble
they are splitting up with their partner and jointly own the..."
"... a vendors' power includes:
the property being vacant and mortgage payments are high
they have found a property they want to buy
the market is falling
they are in financial trouble
they are splitting up with their partner and jointly own the property
What weakens your power..."
"... property being vacant and mortgage payments are high
they have found a property they want to buy
the market is falling
they are in financial trouble
they are splitting up with their partner and jointly own the property
What weakens your power includes:
you have been looking..."
"... are high
they have found a property they want to buy
the market is falling
they are in financial trouble
they are splitting up with their partner and jointly own the property
What weakens your power includes:
you have been looking for six months and this is the only place that..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... buy
the market is falling
they are in financial trouble
they are splitting up with their partner and jointly own the property
What weakens your power includes:
you have been looking for six months and this is the only place that matches your requirements and budget
the market is..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... up with their partner and jointly own the property
What weakens your power includes:
you have been looking for six months and this is the only place that matches your requirements and budget
the market is rising
your rental lease is running out
you have a buyer on your property who..."
"... weakens your power includes:
you have been looking for six months and this is the only place that matches your requirements and budget
the market is rising
your rental lease is running out
you have a buyer on your property who has offered an extremely good price and wants to exchange..."
"... have been looking for six months and this is the only place that matches your requirements and budget
the market is rising
your rental lease is running out
you have a buyer on your property who has offered an extremely good price and wants to exchange fast
this is your dream..."
"... that matches your requirements and budget
the market is rising
your rental lease is running out
you have a buyer on your property who has offered an extremely good price and wants to exchange fast
this is your dream property
All of these factors can change very quickly. Imagine you have..."
"... rental lease is running out
you have a buyer on your property who has offered an extremely good price and wants to exchange fast
this is your dream property
All of these factors can change very quickly. Imagine you have got an offer agreed on a vacant property from someone who is in..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... your dream property
All of these factors can change very quickly. Imagine you have got an offer agreed on a vacant property from someone who is in financial trouble, believes the market is falling and wants the flat sold quickly so they can finalise their divorce.
Within a month the same..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... so they can finalise their divorce.
Within a month the same person may have received a fantastic rental offer on the flat, come into some unexpected money, seen reports in the media of a rising market and got back together with their ex-spouse.
You have gone from having power to having..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... got back together with their ex-spouse.
You have gone from having power to having none so no matter what a walk over you believe the vendor to be at the start of a transaction always keep things civil and don't assume that circumstances won't change.
True Story - A Renegotiation on Edgeley..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... the vendor to be at the start of a transaction always keep things civil and don't assume that circumstances won't change.
True Story - A Renegotiation on Edgeley Road
Simon was especially pleased to find out that a married couple who owned a flat in Edgeley Road had found the property of..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... Edgeley Road
Simon was especially pleased to find out that a married couple who owned a flat in Edgeley Road had found the property of their dreams in Balham and were desperate to sell. It was a quiet summer market and only a handful of people had been to view the property.
Simon was a..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... view the property.
Simon was a first time buyer and knew his strong bargaining position. Over a four day period he negotiated through the agent and eventually achieved an agreement at over 10% below the asking price – exceptional for the market place at the time.
The chain moved..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... time.
The chain moved forwards and the vendors of Edgeley Road booked a survey on their house in Balham. The surveyor's report suggested the house needed a great deal of work and, with so many extra costs to take into account, they decided to withdraw from their purchase of the house.
On a..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... to take into account, they decided to withdraw from their purchase of the house.
On a point of morality they felt guilty about stopping the sale of their flat to Simon and so decided to let this process proceed.
Simon's survey did not reveal any great surprises but he did believe he might be..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...Simon's survey did not reveal any great surprises but he did believe he might be able to save a little more by renegotiating on some points regarding damp and timber. The time spent going backwards and forwards gave the vendor plenty of time to think and they concluded that actually they were underselling their own property for no good reason. Furthermore they believed the buyer was now being unreasonable in his demands and so they withdrew from the sale.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... was now being unreasonable in his demands and so they withdrew from the sale.
If Simon had stayed quiet and not overcooked his bargaining the vendors would probably have exchanged but greed got the better of him.
True Story - Chipping the price at Swan YardMelissa had made an offer on a..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...True Story - Chipping the price at Swan YardMelissa had made an offer on a one bedroom flat within sixty seconds of an underground station. It was a safe location and the property had been decked out loft style. The owner had been renting the flat but the tenants were shortly due to move out. Concerned at the prospect of paying two mortgages he reduced the price from £220 to £205.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...When Melissa's offer came in at £195,000 he was relieved and agreed to it immediately. The transaction moved through to the point of exchange within five weeks. At this point Melissa thought she would take a chance and, giving lots of arguments about a falling market (which did not exist) told the vendor that if he wanted to exchange he would have to reduce the price by a further £5,000.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...Three weeks previously the people who owned the flat upstairs from the property in question had approached the vendor and offered him the full £205,000 so that they could change the building back into one whole house. The vendor had done the honourable thing by telling them that he was already under offer and would not back out of an agreement he had already made.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"...Within two hours of Melissa attempting to renegotiate the price the vendor had decided that this meant there was no need for him to remain true to his word, if his buyer was not true to hers. He asked his solicitor to retrieve the contract and called the people in the flat upstairs to give them the good news.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... the good news.
Melissa offered to exchange immediately at the original agreed price of £195,000 but this was still £10,000 short of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
"... of an offer from buyers who had an excellent motivation to exchange on this particular property. She lost the property and all of her expenses.
What's covered in this chapter
How power in a transaction can move between buyer and seller;
When power is real, and when it is perceived;
How..."
Chapter 19:
Time Costs Deals
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains often fail;
The..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... the £20,000 more they ended up paying later in the year for a comparable property.
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains often fail;
The true story of how a buyer lost a property by..."
"... year for a comparable property.
Why buyers stop buying and sellers stop selling;
Why chains often fail;
The true story of how a buyer lost a property by waiting too long;
There should be no real..."
"... covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains often fail;
The true story of how a buyer lost a property by waiting too long;
There should be no real need for all the tricks and short cuts..."
"... push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains often fail;
The true story of how a buyer lost a property by waiting too long;
There should be no real need for all the tricks and short cuts included in these pages but for one..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"...There should be no real need for all the tricks and short cuts included in these pages but for one overriding fact that any good estate agent will tell you, "Time costs deals". Removing all the pitfalls of legalities and survey there are factors far outside the actual transaction that will affect the chances of you getting that dream property. They are the things that happen to us all at some point in our life. Events that make us take stock and change the bigger plans we have, such as moving house.
..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... take stock and change the bigger plans we have, such as moving house.
The longer the time period between offer and exchange of contracts, the more likely it is that the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... exchange of contracts, the more likely it is that the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below collapses
Any part of the..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below collapses
Any part of the chain above..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... makes the seller stop selling
House Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below collapses
Any part of the chain above collapses
Another buyer makes an..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... Prices Falling
House Prices Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below collapses
Any part of the chain above collapses
Another buyer makes an offer
Fire or flood at the..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... Rising
Loosing their buyer
Loosing the Property they want to buy
Any part of the chain below collapses
Any part of the chain above collapses
Another buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the Property they want to buy
Any part of the chain below collapses
Any part of the chain above collapses
Another buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up with a partner
Meeting a new..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... part of the chain below collapses
Any part of the chain above collapses
Another buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... part of the chain above collapses
Another buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises /..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... chain above collapses
Another buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises /..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... buyer makes an offer
Fire or flood at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... or flood at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change -..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... at the property
Redundancy
Splitting up with a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... up with a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... up with a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you consider this..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... a partner
Meeting a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you consider this statistically any one of these..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... a new partner
Inheritance money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you consider this statistically any one of these events has a..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... money
Family crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you consider this statistically any one of these events has a probability of happening in..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... crises / illness
Injury
Bankcruptcy
Preganancy
Death
Job change - promotion/demotion
Job move (geographic)
If you consider this statistically any one of these events has a probability of happening in any one year. For the purposes of..."
"... the deal will fall through, often for no good reason.
Here are just a few events that can stop either the buyer or the vendor proceeding.
What makes the buyer stop buying
What makes the seller stop selling
House Prices Falling
House Prices..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... If you consider this statistically any one of these events has a probability of happening in any one year. For the purposes of proving the point we could say there is a 2% chance of any of the above happening in a year. That means there is a 56% chance the transaction will fail.
If..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"...If you let your purchase drag on for 6 months that's a 28% chance you will loose your solicitors fee, survey fee, hours of time and quite possibly a few thousand pounds more if the market rises. All this before you have even looked at a survey or contract with all the potential those documents have to ruin the deal!
..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... with all the potential those documents have to ruin the deal!
If you are in a chain involving say four properties, the chances of some disaster befalling the transaction over six months is more than 100%! Don't let it happen.
True Story - The Windows at Seymour Street
Sonya and Mark had..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... properties, the chances of some disaster befalling the transaction over six months is more than 100%! Don't let it happen.
True Story - The Windows at Seymour Street
Sonya and Mark had made an offer on a one bedroom flat in the depths of the Winter market. The low level of viewings had..."
"... happen.
True Story - The Windows at Seymour Street
Sonya and Mark had made an offer on a one bedroom flat in the depths of the Winter market. The low level of viewings had persuaded the vendor to accept £240,000 on their £270,000 flat.
David was another buyer who had come to see the flat..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... had persuaded the vendor to accept £240,000 on their £270,000 flat.
David was another buyer who had come to see the flat but a month later he had opted for a similar property in a nearby garden square.
Sonya and Mark instructed a solicitor who was not only painfully slow, but also..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"...Sonya and Mark instructed a solicitor who was not only painfully slow, but also painfully thorough to the extent that the sale dragged on for ten weeks. Their solicitor added new enquiries each week including a request that the freeholder should have all the windows in the building assessed, and get quotes for repainting and repairs, before they would exchange.
..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"...David, in the meantime, was close to exchange on his purchase when the vendor pulled out after loosing his job. David called the agent to talk about new properties he could buy and asked after Seymour Street. He was shocked to find that after nearly three months, and in the middle of a busy Spring market, it had not exchanged and immediately offered to pay the asking price.
..."
"... future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
"... £30,000 extra was too good to refuse and Sonya and Mark lost the property. The few hundred pounds they may have had to pay sometime in the future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
..."
"... the future to get the windows repainted was nothing compared to the £20,000 more they ended up paying later in the year for a comparable property.
What's covered in this chapter
Why you should push your purchase through quickly;
Why buyers stop buying and sellers stop selling;
Why chains..."
Chapter 20:
What a Property Survey Really Means
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it. What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth the cost;
Why..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... £x". And if £x is the price you have agreed with the vendor then so be it. Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth the cost;
Why surveyors should never estimate the cost of potential..."
"... then so be it. The types of survey and which ones are worth the cost;
Why surveyors should never estimate the cost of potential works;
Why retentions don't suggest the cost of repairs;
The..."
"... surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth the cost;
Why surveyors should never estimate the cost of potential works;
Why retentions don't suggest the cost of repairs;
The difference between rising damp and penetrating damp;
How to..."
"... types of survey and which ones are worth the cost;
Why surveyors should never estimate the cost of potential works;
Why retentions don't suggest the cost of repairs;
The difference between rising damp and penetrating damp;
How to check more than a structural survey covers and pay..."
"... surveyors should never estimate the cost of potential works;
Why retentions don't suggest the cost of repairs;
The difference between rising damp and penetrating damp;
How to check more than a structural survey covers and pay less;
Why a sagging roof may not be a real issue;
How to..."
"... works;
Why retentions don't suggest the cost of repairs;
The difference between rising damp and penetrating damp;
How to check more than a structural survey covers and pay less;
Why a sagging roof may not be a real issue;
How to handle subsidence, movement and bulging walls;
When to use a..."
"... difference between rising damp and penetrating damp;
How to check more than a structural survey covers and pay less;
Why a sagging roof may not be a real issue;
How to handle subsidence, movement and bulging walls;
When to use a survey to renegotiate and when to keep quiet;
How to..."
"... damp;
How to check more than a structural survey covers and pay less;
Why a sagging roof may not be a real issue;
How to handle subsidence, movement and bulging walls;
When to use a survey to renegotiate and when to keep quiet;
How to choose a good surveyor, and make sure the lender does..."
"... and pay less;
Why a sagging roof may not be a real issue;
How to handle subsidence, movement and bulging walls;
When to use a survey to renegotiate and when to keep quiet;
How to choose a good surveyor, and make sure the lender does to;
Why you should never ask the vendor to carry out..."
"... to handle subsidence, movement and bulging walls;
When to use a survey to renegotiate and when to keep quiet;
How to choose a good surveyor, and make sure the lender does to;
Why you should never ask the vendor to carry out work;
Most buyers make one mistake here, they believe..."
"... to use a survey to renegotiate and when to keep quiet;
How to choose a good surveyor, and make sure the lender does to;
Why you should never ask the vendor to carry out work;
Most buyers make one mistake here, they believe because they have paid the surveyor to do something, the surveyor..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Most buyers make one mistake here, they believe because they have paid the surveyor to do something, the surveyor is acting on their behalf and in their interests. Wrong. The surveyor is acting very much in his own interests to protect himself from any legal action you may be able to take after the purchase. It is fair that you have the right to sue a surveyor for damages if they miss out something which actually affects the value of the property, but the end result in recent years has been that many Surveyors go completely over the top in order to make sure no legal action is possible. Remember this:
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... no legal action is possible. Remember this:
If you buy the property the surveyor gets paid but may get sued for missing something. If, after survey, you decide not to buy the property, the surveyor still gets paid and has no chance of getting sued.
So ironically it is in the surveyors best..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... no chance of getting sued.
So ironically it is in the surveyors best interest to try and persuade you not to buy the property. For your part you have to try and separate fact in the report from over-the-top speculation and you can do this by considering two points:
What is the survey..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... try and separate fact in the report from over-the-top speculation and you can do this by considering two points:
What is the survey actually saying in terms of cost and hassle
Why did the surveyor say what he said.
In other words, as any historian will tell you, don't just look at what..."
"... speculation and you can do this by considering two points:
What is the survey actually saying in terms of cost and hassle
Why did the surveyor say what he said.
In other words, as any historian will tell you, don't just look at what was said but ask why it was said. You should also be..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...In other words, as any historian will tell you, don't just look at what was said but ask why it was said. You should also be careful to differentiate work that should be expected (e.g. you should expect to repaint the windows every two years) and work that no person offering on the property would expect (e.g. the entire roof needs replaced). This chapter covers:
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... work that no person offering on the property would expect (e.g. the entire roof needs replaced). This chapter covers:
Types of survey - what is said and how to quantify it
Types of surveyor - why different surveyors can say different things about the same property
Types of Survey -
There..."
"... roof needs replaced). This chapter covers:
Types of survey - what is said and how to quantify it
Types of surveyor - why different surveyors can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... - what is said and how to quantify it
Types of surveyor - why different surveyors can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if..."
"... to quantify it
Types of surveyor - why different surveyors can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if the surveyor does not agree..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... - why different surveyors can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if the surveyor does not agree with your offer price the..."
"... surveyors can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if the surveyor does not agree with your offer price the bank won't lend...."
"... can say different things about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if the surveyor does not agree with your offer price the bank won't lend. It is also the..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... about the same property
Types of Survey -
There are three types of survey:
The Valuation
The Homebuyers
The Structural
- The Valuation Survey -
This is crucial as if the surveyor does not agree with your offer price the bank won't lend. It is also the most valuable type of..."
"...This is crucial as if the surveyor does not agree with your offer price the bank won't lend. It is also the most valuable type of survey and probably all you need for almost any purchase. Most people are not aware that the valuation survey will also report on anything crucial that should be investigated. If they believe there is a serious problem with, for example, damp they will hold back all or part of the mortgage until it is investigated (see below). It is much easier to read a two page report that is very specific about major issues that will affect value than a fifty page report telling you that the aerial may need re-fixing and one of the windows in the back bedroom needs to be repainted in the next twelve months.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...It will probably come as a shock to find out how the surveyor actually works but it goes something like this. They visit the property and check for any really big problems that will affect value. They then look up and down the street for sold boards and 'phone up those agents to ask them what they have sold. In the modern world they can also check the history of sold properties in an area on the internet. If they find similar properties sold at similar prices they sign the valuation off and you get your mortgage.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...In the absence of sold signs he calls any local agents and asks them what they have sold recently in the area and tries to match it up. There is nothing more to it than that. If you want to try it for yourself find a sold sign, call up the agent and say, "Hi, this is Fred Smith from Island Surveyors, I see you have sold something in the High Street, can I ask what it was and how much it sold for?". You'll get the complete run down including the actual price it sold for, not its asking price. Note that Estate Agents, by law, are not allowed to tell you (a buyer) the actual price a property has sold for until it exchanges as this is confidential information. Agents are however, always trying to please surveyors because they don't want properties down valued, so if you pose as a surveyor you will find out everything!
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... to please surveyors because they don't want properties down valued, so if you pose as a surveyor you will find out everything!
- The Homebuyers Survey -
Probably one of the biggest waste of times in the whole home buying process. It is a valuation survey followed by a lot of..."
"...Probably one of the biggest waste of times in the whole home buying process. It is a valuation survey followed by a lot of speculation. You are likely to find out fascinating things like screws missing from plug sockets, wood that needs replacing in windows, kitchen cabinet doors that need to be fastened. The crucial thing on this survey is the valuation. If, with all the property defects, the surveyor still concludes the property is worth the agreed price then (unless the vendor is very desperate to sell) don't try to use it for negotiation. If the survey states that 'in it's current condition the property is worth x' and x is the price agreed then there are no grounds for negotiation.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... that 'in it's current condition the property is worth x' and x is the price agreed then there are no grounds for negotiation.
- The Structural Survey -
For older houses these are generally seen as a must have by almost anyone who has written on the subject but again you need to take a..."
"...For older houses these are generally seen as a must have by almost anyone who has written on the subject but again you need to take a view. If there is something structurally wrong with the property a valuation survey will pick that up. Its most important feature is probably that it will be useful when you come to sell the property as you can show it to a potential buyer under the guise, "When I bought this house X, Y and Z were wrong. I had them all fixed and here are the guarantees or receipts." (See Chapter 22: Why Vendors are Poorly Prepared ).
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Aside from this the actual value of a structural survey is questionable. The surveyor is not a specialist in any particular field so the report is filled with vague statements such as "The windows appear in need of replacement and should be inspected by a specialist" or "The roof may be bowing and should be inspected by a specialist." More on this is covered in the section What is in a Survey (below).
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... in the section What is in a Survey (below).
Remember it is not possible to have a structural survey done on a flat as it requires access to all parts of the building and unless the neighbours are all very understanding it is not going to happen.
Requesting structural surveys on flats..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... neighbours are all very understanding it is not going to happen.
Requesting structural surveys on flats generally annoys the vendor who knows they can probably sell to someone else a little less awkward or a little less naive.
- Retentions in a Survey -
If the surveyor, carrying out any..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... on flats generally annoys the vendor who knows they can probably sell to someone else a little less awkward or a little less naive.
- Retentions in a Survey -
If the surveyor, carrying out any of the above surveys, believes the property is worth the price you have agreed to pay for it all is..."
"...If the surveyor, carrying out any of the above surveys, believes the property is worth the price you have agreed to pay for it all is fine. If, however, he sees a major problem such as damp around the windows he will suggest that the bank holds back a certain amount on the mortgage until it has been satisfactorily investigated.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...He will say, "The property is worth £250,000 as long as the windows are sound. Until this has been established no one (including the lender) should pay more than £240,000". The surveyor is not saying that the windows require £10,000 worth of work. He cannot because he is not qualified to cost repairs. So he chooses an arbitrary figure. It is simply a way to make sure something is checked before a loan is secured on the property or you pay out the cash.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...The retention can be a small amount or the total price agreed (usually in the case of suspected subsidence or other major structural issues). The best way to deal with them is as described in the remainder of this chapter. Take them in your stride, in most cases the issue is much smaller than the surveyor believes and retentions are removed after investigation of the issue.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... in most cases the issue is much smaller than the surveyor believes and retentions are removed after investigation of the issue.
- What is in the Survey -
To prove your money is well spent a surveyor will usually want to pick up on something. The choice below is almost a check list of..."
"... of the issue.
- What is in the Survey -
To prove your money is well spent a surveyor will usually want to pick up on something. The choice below is almost a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... to pick up on something. The choice below is almost a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The Plumbing
The Structure
Remember a good surveyor will simply say "there is damp which requires further..."
"... up on something. The choice below is almost a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The Plumbing
The Structure
Remember a good surveyor will simply say "there is damp which requires further investigation". A..."
"... The choice below is almost a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The Plumbing
The Structure
Remember a good surveyor will simply say "there is damp which requires further investigation". A bad surveyor..."
"... below is almost a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The Plumbing
The Structure
Remember a good surveyor will simply say "there is damp which requires further investigation". A bad surveyor will say..."
"... a check list of where the surveyor will choose one or two items for further investigation:
Damp
The Roof
The Electrics
The Plumbing
The Structure
Remember a good surveyor will simply say "there is damp which requires further investigation". A bad surveyor will say "there is probably..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Remember a good surveyor will simply say "there is damp which requires further investigation". A bad surveyor will say "there is probably around £5,000 worth of damp that needs to be repaired". The latter is a ridiculous statement. Does this surveyor own a damp company? In other words remember this
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... is a ridiculous statement. Does this surveyor own a damp company? In other words remember this
The surveyor is not a damp proof specialist and will not carry out the work so should not quote.
The surveyor is not a roofer and will not be carrying out the work so should not quote.
The..."
"... surveyor is not a damp proof specialist and will not carry out the work so should not quote.
The surveyor is not a roofer and will not be carrying out the work so should not quote.
The surveyor is not a qualified electrician and will not be carrying out the work so should not..."
"... quote.
The surveyor is not a roofer and will not be carrying out the work so should not quote.
The surveyor is not a qualified electrician and will not be carrying out the work so should not quote.
The surveyor is not a qualified plumber and will not be carrying out the work so should not..."
"... surveyor is not a qualified electrician and will not be carrying out the work so should not quote.
The surveyor is not a qualified plumber and will not be carrying out the work so should not quote.
The surveyor is not a structural engineer and will not be carrying out the work so should not..."
"... surveyor is not a qualified plumber and will not be carrying out the work so should not quote.
The surveyor is not a structural engineer and will not be carrying out the work so should not quote.
True Story - Damp at Packington Street
Sarah and Nicki had successfully offered on a two..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... so should not quote.
The surveyor is not a structural engineer and will not be carrying out the work so should not quote.
True Story - Damp at Packington Street
Sarah and Nicki had successfully offered on a two bedroom lower ground floor garden flat just off Islington Green in London...."
"...Sarah and Nicki had successfully offered on a two bedroom lower ground floor garden flat just off Islington Green in London. They had seen no end of properties and although this one was above their original budget they stretched to afford it. They then cut costs by going with a lender that had the lowest fees. The surveyor that looked at the property was a self employed individual who agreed that the property was worth £240,000 (their offer) but said £5,000 should be held back as a retention because of damp in the property.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... back as a retention because of damp in the property.
A damp proof company was instructed to give a quote on how much work they believed was in the flat. They found £346 plus VAT! The surveyor had evidently picked a figure out of the air.
Sarah and Nicki doubted the difference in the two..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Sarah and Nicki doubted the difference in the two figures and instructed a second damp proof company who quoted £379 plus VAT. The vendor felt that the buyers were obviously desperate to reduce the price and if it wasn't this they would find something else in the legal paperwork so, having lost confidence in them, withdrew the contract.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Ironically the surveyor is simply someone who is trained to see tell tale signs that then require you to get a further specialist in. If you want to be thorough and save time then get a valuation survey and at the same time pay for a roofer, plumber, electrician and damp specialist to inspect the property (for freehold properties pay a structural engineer as well). You will short-cut the long survey report and you will know the absolute worst case scenario as each specialist going in will be hunting for work. Then you can take a proper quantified view.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...You or the vendor, or both, should expect to pay for the specialists if you do decide to investigate further. This was not always the case but these tradesmen are very aware of how much surveyors are trying to cover themselves now. They are also aware that no matter what they find they are unlikely to get the work as any quote they give will usually just be used as a negotiating tool. As soon as the new buyer moves in they either take a view on the work or get other quotes to see if someone else will do it cheaper.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... soon as the new buyer moves in they either take a view on the work or get other quotes to see if someone else will do it cheaper.
Here is how it works in reality:
Mr X offers and gets a survey carried out
Mr X is very worried about damp and so gets damp specialist in
Damp specialist says..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... take a view on the work or get other quotes to see if someone else will do it cheaper.
Here is how it works in reality:
Mr X offers and gets a survey carried out
Mr X is very worried about damp and so gets damp specialist in
Damp specialist says £3,000 of work required
Mr X tries to..."
"... if someone else will do it cheaper.
Here is how it works in reality:
Mr X offers and gets a survey carried out
Mr X is very worried about damp and so gets damp specialist in
Damp specialist says £3,000 of work required
Mr X tries to negotiate price, the vendor says , "The damp has never..."
"... in reality:
Mr X offers and gets a survey carried out
Mr X is very worried about damp and so gets damp specialist in
Damp specialist says £3,000 of work required
Mr X tries to negotiate price, the vendor says , "The damp has never been a problem to me, when I moved in I took a view on..."
"... damp and so gets damp specialist in
Damp specialist says £3,000 of work required
Mr X tries to negotiate price, the vendor says , "The damp has never been a problem to me, when I moved in I took a view on it"
Mr X eventually successfully gets £1,000 off price and goes through with..."
"... price, the vendor says , "The damp has never been a problem to me, when I moved in I took a view on it"
Mr X eventually successfully gets £1,000 off price and goes through with deal
Three years later Mr X sells his property
Mr X gets an offer which he accepts
Mr Xs buyer has a survey..."
"... to me, when I moved in I took a view on it"
Mr X eventually successfully gets £1,000 off price and goes through with deal
Three years later Mr X sells his property
Mr X gets an offer which he accepts
Mr Xs buyer has a survey which shows up damp
Mr Xs buyer gets a damp specialist in who..."
"... on it"
Mr X eventually successfully gets £1,000 off price and goes through with deal
Three years later Mr X sells his property
Mr X gets an offer which he accepts
Mr Xs buyer has a survey which shows up damp
Mr Xs buyer gets a damp specialist in who says £3,000 of work is required
Mr Xs..."
"... £1,000 off price and goes through with deal
Three years later Mr X sells his property
Mr X gets an offer which he accepts
Mr Xs buyer has a survey which shows up damp
Mr Xs buyer gets a damp specialist in who says £3,000 of work is required
Mr Xs buyer tries to negotiate the price, but Mr..."
"... Mr X sells his property
Mr X gets an offer which he accepts
Mr Xs buyer has a survey which shows up damp
Mr Xs buyer gets a damp specialist in who says £3,000 of work is required
Mr Xs buyer tries to negotiate the price, but Mr X is furious
Mr X tells his agent, "The damp has never been..."
"... buyer has a survey which shows up damp
Mr Xs buyer gets a damp specialist in who says £3,000 of work is required
Mr Xs buyer tries to negotiate the price, but Mr X is furious
Mr X tells his agent, "The damp has never been a problem to me, when I moved in I took a view on it"
Mr X eventually..."
"... says £3,000 of work is required
Mr Xs buyer tries to negotiate the price, but Mr X is furious
Mr X tells his agent, "The damp has never been a problem to me, when I moved in I took a view on it"
Mr X eventually agrees to take £1,000 off as a token of good will to the buyer
In this..."
"... X tells his agent, "The damp has never been a problem to me, when I moved in I took a view on it"
Mr X eventually agrees to take £1,000 off as a token of good will to the buyer
In this scenario the truth is that there is an issue with the property but it is not an issue..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...In this scenario the truth is that there is an issue with the property but it is not an issue significant enough that anyone will ever actually do anything about it. For this reason a specialist could visit the same property three of four times over a ten year period and never see a penny of work from it.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... For this reason a specialist could visit the same property three of four times over a ten year period and never see a penny of work from it.
Damp -
There are two types of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the..."
"... specialist could visit the same property three of four times over a ten year period and never see a penny of work from it.
Damp -
There are two types of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... three of four times over a ten year period and never see a penny of work from it.
Damp -
There are two types of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of..."
"... never see a penny of work from it.
Damp -
There are two types of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... are two types of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the property
The unstable wall is tied with a steel rod to a more stable wall in order to stop..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... out in one particular point even though there is no unusual movement below the property
The unstable wall is tied with a steel rod to a more stable wall in order to stop it moving out any further
- Trees, Maintenance and Other Issues -
Whatever else comes up in the survey..."
"... of damp:
Rising Damp - damp coming up from the ground
Penetrating Damp - damp coming through the wall
Bulging in the walls and one solution
One of the walls has started to move out in one particular point even though there is no unusual movement below the..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... unstable wall is tied with a steel rod to a more stable wall in order to stop it moving out any further
- Trees, Maintenance and Other Issues -
Whatever else comes up in the survey bear in mind that on older properties:
the roof is only expected to last 20 years
all..."
"... stable wall in order to stop it moving out any further
- Trees, Maintenance and Other Issues -
Whatever else comes up in the survey bear in mind that on older properties:
the roof is only expected to last 20 years
all timber windows should be repainted and repaired every five..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... - Trees, Maintenance and Other Issues -
Whatever else comes up in the survey bear in mind that on older properties:
the roof is only expected to last 20 years
all timber windows should be repainted and repaired every five years
damp proof courses rarely really last the twenty or..."
"... else comes up in the survey bear in mind that on older properties:
the roof is only expected to last 20 years
all timber windows should be repainted and repaired every five years
damp proof courses rarely really last the twenty or thirty years they are guaranteed for.
This means that..."
"... only expected to last 20 years
all timber windows should be repainted and repaired every five years
damp proof courses rarely really last the twenty or thirty years they are guaranteed for.
This means that even when the survey says for example, that the windows will need attention in the..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... really last the twenty or thirty years they are guaranteed for.
This means that even when the survey says for example, that the windows will need attention in the next two years this should not be a total surprise to anyone.
True Story - The Tree at St Paul's StreetDiane was very keen to..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...True Story - The Tree at St Paul's StreetDiane was very keen to purchase a three storey Georgian House in Islington. She offered to pay a little less than the £525,000 being asked and the vendor accepted. Her survey, however, questioned how stable the property was due to a tree situated in the pavement directly outside the front door. The vendor having had no issues when he purchased the property three years earlier refused to pay for a structural engineer to examine the building.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... engineer to examine the building.
Diane also dug her heels in and said she would not pay for an engineer as "it was not her problem". It was however, very much her problem as there were no similar properties available and the market was moving up.
The vendor eventually became frustrated..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... market was moving up.
The vendor eventually became frustrated and withdrew the contract from Diane's solicitor. Five weeks later he sold the property at the asking price and the survey from the new buyer made no mention of the tree or any movement in the property.
Diane ended up buying a..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... property.
Diane ended up buying a two bedroom flat with a roof terrace as by this time the price of houses had gone beyond her budget. Ultimately the £800 required to get a Structural Engineer in and show the surveyor was overreacting would have been money extremely well spent. "
- Types..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... £800 required to get a Structural Engineer in and show the surveyor was overreacting would have been money extremely well spent. "
- Types of Surveyors -
There are hundreds of survey companies in major cities. Most of the time the choice of who to use will be made by the lender you are..."
"...There are hundreds of survey companies in major cities. Most of the time the choice of who to use will be made by the lender you are borrowing the money from. For the lender what you want is not important, it is not your money that will be tied up in the property. But the bank will generally only want to know that what you have chosen is a "safe bet" and so they will only ask for a valuation report. Anything beyond this is up to you.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...If you are not happy with the surveyor a bank chooses approach the bank directly, tell them your friend had problems with this firm, and ask them to appoint somebody else. They almost always have a panel of surveyors that they use so this is well within possibility. So why shouldn't you be happy? Below are the types of surveyor you should try to avoid.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... so this is well within possibility. So why shouldn't you be happy? Below are the types of surveyor you should try to avoid.
- Big Companies and One Man Bands -
As discussed earlier the surveyor is acting for himself. He treads a careful line between agreeing with the sale price and not..."
"...As discussed earlier the surveyor is acting for himself. He treads a careful line between agreeing with the sale price and not getting sued because he missed something or over valued. As a general rule of thumb a large company will be financially stable, well insured and have many surveyors. The result is that when someone from this type of company carries out a survey they will tend to be level headed and, if there are concerns, have colleagues to discuss the issues with and get second opinions.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...By contrast a one man band (or small company) knows that one bad decision by him may lead to court action that will put him out of business. If your surveyor is one of these be prepared for a much more thorough and dramatic report, anything really to try and put you off buying the property so they get their fee with no risk involved.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Also be aware that small companies tend to down value properties to protect themselves (it will also stop you getting the mortgage) and many buyers loose perfectly good properties in a rising market because of this. Further still a small surveying company may not be carrying out many valuations and so in a competitive rising market they may be out of date in their thinking and also down value.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... If you are organising your own survey go for a large well established firm, even if they are slightly more expensive. The report should be level headed and if they do miss something that comes to light after a few years they will still be in business and you can pursue them for material loss!
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... that comes to light after a few years they will still be in business and you can pursue them for material loss!
- Surveyors From the Area and Those from Beyond -
Everyone has been to visit grandparents, uncles and other relatives or friends who have bought and live in rural areas...."
"...Everyone has been to visit grandparents, uncles and other relatives or friends who have bought and live in rural areas. Everyone has heard them say how they could buy a whole house with garage where they live compared to a one bedroom flat in a major city or town. And everyone has had them come to visit the flat and see their disbelief at how much you have paid for a few hundred square feet of metropolitan space.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Surveyors are no different. Once you hear that a survey is instructed you should ensure that the company is based in the area where you are buying or carries out regular work in that area. In a busy period the lender may not be able to find anyone free who is local and so instruct outside the area. A bank that seems to have very low fees may also, as a matter of course, instruct a surveyor from a rural location because the cost base is lower. Similarly if you are instructing your own survey you may have the same issue.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... same issue.
The upshot is all too often that the property is down valued and the bank refuses to lend. There is nothing wrong with the property or the price, its just the surveyor cannot believe what he sees and it looks like madness compared to the prices where he comes from.
If you are..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... and it looks like madness compared to the prices where he comes from.
If you are not instructing a surveyor directly make an effort to find out who your lender has appointed. If necessary kick up hell to get them changed.
- Asking the Vendor to Carry Out Work -
In almost all cases this is..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... a surveyor directly make an effort to find out who your lender has appointed. If necessary kick up hell to get them changed.
- Asking the Vendor to Carry Out Work -
In almost all cases this is a bad idea. It does not matter if the market is rising or falling. It is irrelevant how desperate..."
"... the Vendor to Carry Out Work -
In almost all cases this is a bad idea. It does not matter if the market is rising or falling. It is irrelevant how desperate the vendor is or if you hold all the cards, don't ask the seller to put right things found in the survey.
There are very practical..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...There are very practical reasons for this. In the first instance the vendor will look for the cheapest possible company and he will have absolutely no motivation to make sure the work is done to a high standard - he's moving out and all he needs to do is provide a receipt showing someone did, or said they did, the work. The vendor will not be the one living with the result.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Secondly it can be too time consuming to check some of the most common work. Let's take an example of penetrating damp found underneath a window which is coming from a crack between the outside brickwork and the window frame. The work to fill in the crack might cost £200 so you would feel confident in asking the vendor to put it right. But he hires a cheap builder who uses low quality materials and provides a receipt confirming the work is done. It may have been done to such a standard that you will have to undo and redo the work yourself at some stage in the near future.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"...Now the plaster underneath the window will take time to dry and confirm that there are no further leaks. If you are moving from Spring to Summer it may show signs of drying simply because of the seasons but in either case around three months will be needed to confirm the plaster is dry - too long a time-scale in any transaction.
..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... three months will be needed to confirm the plaster is dry - too long a time-scale in any transaction.
The better route is always to do the work yourself after you move in and either:
in a rising market with plenty of other buyers around - if the survey says the property is worth the..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... to do the work yourself after you move in and either:
in a rising market with plenty of other buyers around - if the survey says the property is worth the price agreed, even with this defect, think carefully about renegotiating
in a falling market, depending on the balance of power..."
"... the price agreed, even with this defect, think carefully about renegotiating
in a falling market, depending on the balance of power between you and the vendor, you may be able to negotiate the price to cover the work
Summary -
With all the ins and outs of a survey report the crucial..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it.
What's covered in this chapter
Who the surveyor is actually working for and their hidden agendas;
The types of survey and which ones are worth..."
"... a falling market, depending on the balance of power between you and the vendor, you may be able to negotiate the price to cover the work
Summary -
With all the ins and outs of a survey report the crucial question is value. If the survey report talks about roof or plumbing but concludes..."
"...With all the ins and outs of a survey report the crucial question is value. If the survey report talks about roof or plumbing but concludes that the property is worth what you have offered then trying to renegotiate price is at your own risk. Too many people ignore this fact. Most properties are old, very old, and problems or future works are to be expected. The surveyor knows this and that is why they conclude their report: "In its current condition and in the current market the property is worth £x". And if £x is the price you have agreed with the vendor then so be it...."
Chapter 21:
Legal Matters in Property Purchases
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned solicitors can..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned solicitors can add weeks to the buying process;
Why..."
"... 17: The Property Buying Process in Theory.
What your solicitor needs to find out - in plain English;
Why old fashioned solicitors can add weeks to the buying process;
Why solicitors fight with each other and delay the..."
"... in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned solicitors can add weeks to the buying process;
Why solicitors fight with each other and delay the purchase;
How to get documents faster than your solicitor..."
"... solicitor needs to find out - in plain English;
Why old fashioned solicitors can add weeks to the buying process;
Why solicitors fight with each other and delay the purchase;
How to get documents faster than your solicitor can;
What to consider when organising property insurance;
How the..."
"... fashioned solicitors can add weeks to the buying process;
Why solicitors fight with each other and delay the purchase;
How to get documents faster than your solicitor can;
What to consider when organising property insurance;
How the drains could cost you a fortune;
When to take a view and..."
"... solicitors fight with each other and delay the purchase;
How to get documents faster than your solicitor can;
What to consider when organising property insurance;
How the drains could cost you a fortune;
When to take a view and when to take a stand;
How to stop small details..."
"... delay the purchase;
How to get documents faster than your solicitor can;
What to consider when organising property insurance;
How the drains could cost you a fortune;
When to take a view and when to take a stand;
How to stop small details delaying the purchase;
How to exchange within hours..."
"... than your solicitor can;
What to consider when organising property insurance;
How the drains could cost you a fortune;
When to take a view and when to take a stand;
How to stop small details delaying the purchase;
How to exchange within hours of agreeing a sale price;
In Chapter 12..."
"... organising property insurance;
How the drains could cost you a fortune;
When to take a view and when to take a stand;
How to stop small details delaying the purchase;
How to exchange within hours of agreeing a sale price;
In Chapter 12 (Choosing a Conveyancer or Solicitor) we..."
"... cost you a fortune;
When to take a view and when to take a stand;
How to stop small details delaying the purchase;
How to exchange within hours of agreeing a sale price;
In Chapter 12 (Choosing a Conveyancer or Solicitor) we covered how to choose a good solicitor that will take your..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... hours of agreeing a sale price;
In Chapter 12 (Choosing a Conveyancer or Solicitor) we covered how to choose a good solicitor that will take your agreed offer through to a quick and timely exchange so that everyone is locked into the deal.
In Chapter 17 (The Property Buying..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... to a quick and timely exchange so that everyone is locked into the deal.
In Chapter 17 (The Property Buying Process in Theory) we then went over how things should work and the myriad of problems that can arise.
Chapter 20 (What a Property Survey Really Means) explained one of the major..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... work and the myriad of problems that can arise.
Chapter 20 (What a Property Survey Really Means) explained one of the major pitfalls in a purchase and how to work your way through it, sorting out what is serious and what is simply hot air.
This chapter looks at the essence of what is, and..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... way through it, sorting out what is serious and what is simply hot air.
This chapter looks at the essence of what is, and isn't, important outside of the survey and the options you have but are not always offered.
Your finance company who will provide the mortgage basically asks the..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... have but are not always offered.
Your finance company who will provide the mortgage basically asks the question: "Are you, the buyer, a good bet to lend to and is the property you have offered on a good bet to secure that loan on should you ever default".
The solicitor also has a set of..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"...The solicitor also has a set of questions they want answered but they are legally obliged to inform the lender if they seriously believe anything they discover is likely to affect the lenders decision about either you or the property. The solicitor, for example, may discover that planning permission has just been granted to open a nightclub opposite your flat with live music until 3am every morning. The lender really ought to know that even if you think it is great news!
..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... to know that even if you think it is great news!
What the solicitor really needs to ascertain for the lender is laid out by the Council of Mortgage Lender and you can see the list of questions that relate to your lender on the internet.
In summary what your solicitor needs to find out..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... Council of Mortgage Lender and you can see the list of questions that relate to your lender on the internet.
In summary what your solicitor needs to find out falls into two parts:
What he must find out because the lender says he should before they will give you the loan or mortgage on the..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... internet.
In summary what your solicitor needs to find out falls into two parts:
What he must find out because the lender says he should before they will give you the loan or mortgage on the property
What he thinks he should find out on your behalf
In all conversations with your..."
"... he must find out because the lender says he should before they will give you the loan or mortgage on the property
What he thinks he should find out on your behalf
In all conversations with your solicitor you should try and ascertain which of the above two any query he has relates..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"...In all conversations with your solicitor you should try and ascertain which of the above two any query he has relates to. Solicitors often try to sound technical by saying they have to do something "because it is in the CML hand book". What they are saying is the query must be answered because the lender requires it. All other queries are then up to you. If you don't feel a particular enquiry in the latter category is that important then tell your solicitor you are prepared to take a view on it and drop the query in order to save time.
..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... is that important then tell your solicitor you are prepared to take a view on it and drop the query in order to save time.
- What the Solicitor Needs to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as..."
"... drop the query in order to save time.
- What the Solicitor Needs to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the right to sell it - do they own..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the right to sell it - do they own..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the right to sell it - do they own it?
Fixtures and..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the right to sell it - do they own it?
Fixtures and Fittings
Apart from the bricks, mortar, roof and windows, what is the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... Title Deeds
Does the person who is selling the property actually have the right to sell it - do they own it?
Fixtures and Fittings
Apart from the bricks, mortar, roof and windows, what is the vendor proposing to include with the sale?
The Sellers..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... property actually have the right to sell it - do they own it?
Fixtures and Fittings
Apart from the bricks, mortar, roof and windows, what is the vendor proposing to include with the sale?
The Sellers Pack
Does the vendor know of any reason why a buyer would not want the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... and Fittings
Apart from the bricks, mortar, roof and windows, what is the vendor proposing to include with the sale?
The Sellers Pack
Does the vendor know of any reason why a buyer would not want the property?
Insurance
Is the building insured and if not,..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... mortar, roof and windows, what is the vendor proposing to include with the sale?
The Sellers Pack
Does the vendor know of any reason why a buyer would not want the property?
Insurance
Is the building insured and if not, why not?
Planning Consent and Building..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to include with the sale?
The Sellers Pack
Does the vendor know of any reason why a buyer would not want the property?
Insurance
Is the building insured and if not, why not?
Planning Consent and Building Regulations Approval
If any changes were made to..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... Sellers Pack
Does the vendor know of any reason why a buyer would not want the property?
Insurance
Is the building insured and if not, why not?
Planning Consent and Building Regulations Approval
If any changes were made to the building in the past was the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... reason why a buyer would not want the property?
Insurance
Is the building insured and if not, why not?
Planning Consent and Building Regulations Approval
If any changes were made to the building in the past was the appropriate consent gained and were the changes made to a..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... if not, why not?
Planning Consent and Building Regulations Approval
If any changes were made to the building in the past was the appropriate consent gained and were the changes made to a good standard?
The Local Searches
Is anything being planned for the area that would..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... any changes were made to the building in the past was the appropriate consent gained and were the changes made to a good standard?
The Local Searches
Is anything being planned for the area that would affect the value of the property and does your property have the right to be..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... changes made to a good standard?
The Local Searches
Is anything being planned for the area that would affect the value of the property and does your property have the right to be connected to the mains drainage system?
Further Enquires
Are there any works planned for the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... area that would affect the value of the property and does your property have the right to be connected to the mains drainage system?
Further Enquires
Are there any works planned for the property?
Management Agent Enquiries
If it is a leasehold property are the service..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... the property and does your property have the right to be connected to the mains drainage system?
Further Enquires
Are there any works planned for the property?
Management Agent Enquiries
If it is a leasehold property are the service charges and ground rents of the level..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... right to be connected to the mains drainage system?
Further Enquires
Are there any works planned for the property?
Management Agent Enquiries
If it is a leasehold property are the service charges and ground rents of the level you were lead to believe by the agent and have..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... for the property?
Management Agent Enquiries
If it is a leasehold property are the service charges and ground rents of the level you were lead to believe by the agent and have they all been paid by the current owner?
That really is about it and that is why it is possible..."
"... to Find Out -
The questions your solicitor is really looking to find answers for, and to make sure he does not get sued, are as follows:
What it's called
What it means
The Title Deeds
Does the person who is selling the property actually have the..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... That really is about it and that is why it is possible to wrap up the legal side of things in a day if the solicitors put their minds to it - and some do. Most of the time delay in a transaction actually comes from them writing letters to each other which often go something like this:
..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... a transaction actually comes from them writing letters to each other which often go something like this:
Solicitor A is concerned about why the service charge was so high two years ago
Solicitor A asks his PA to write a letter to this affect
Next day Solicitor A's PA writes the letter and..."
"... which often go something like this:
Solicitor A is concerned about why the service charge was so high two years ago
Solicitor A asks his PA to write a letter to this affect
Next day Solicitor A's PA writes the letter and sends it
Two days later Solicitor B gets the letter but he is off that..."
"... about why the service charge was so high two years ago
Solicitor A asks his PA to write a letter to this affect
Next day Solicitor A's PA writes the letter and sends it
Two days later Solicitor B gets the letter but he is off that day
The next day Solicitor B looks at the letter and..."
"... A asks his PA to write a letter to this affect
Next day Solicitor A's PA writes the letter and sends it
Two days later Solicitor B gets the letter but he is off that day
The next day Solicitor B looks at the letter and believes the question has already been answered in the lease which..."
"... sends it
Two days later Solicitor B gets the letter but he is off that day
The next day Solicitor B looks at the letter and believes the question has already been answered in the lease which was sent at the beginning
Solicitor B asks his PA to write a letter saying to Solicitor A to look in..."
"... and believes the question has already been answered in the lease which was sent at the beginning
Solicitor B asks his PA to write a letter saying to Solicitor A to look in the lease at section 3.2.c
Next day Solicitor B's PA writes the letter and sends it
Two days later the letter arrives with..."
"... at the beginning
Solicitor B asks his PA to write a letter saying to Solicitor A to look in the lease at section 3.2.c
Next day Solicitor B's PA writes the letter and sends it
Two days later the letter arrives with Solicitor A
Solicitor A has read the lease and does not think it does answer..."
"... saying to Solicitor A to look in the lease at section 3.2.c
Next day Solicitor B's PA writes the letter and sends it
Two days later the letter arrives with Solicitor A
Solicitor A has read the lease and does not think it does answer the question so asks his PA to write another letter..."
"... days later the letter arrives with Solicitor A
Solicitor A has read the lease and does not think it does answer the question so asks his PA to write another letter specifying why the section 3.2.c does not, in his view, answer the question.
Solicitor A tells his client that Solicitor B is..."
"... letter specifying why the section 3.2.c does not, in his view, answer the question.
Solicitor A tells his client that Solicitor B is being awkward and avoiding questions so causing unnecessary delay.
Solicitor B tells his client that Solicitor A is not reading the papers he has been sent..."
"... Solicitor B is being awkward and avoiding questions so causing unnecessary delay.
Solicitor B tells his client that Solicitor A is not reading the papers he has been sent and so is causing unnecessary delay
The buyer and the vendor both think the other party is not serious about the..."
"... is not reading the papers he has been sent and so is causing unnecessary delay
The buyer and the vendor both think the other party is not serious about the transaction and consider withdrawing after two wasted weeks
In order to help you cut through the mess that is so easily generated, here..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"...In order to help you cut through the mess that is so easily generated, here are the questions that need to be answered and how, very often, you can get the answers much faster. If you want to understand the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
"... the theory and terminology used in this text a little better make sure you have read Chapter 17: The Property Buying Process in Theory.
What's covered in this chapter
Who your solicitor is working for;
What your solicitor needs to find out - in plain English;
Why old fashioned..."
Chapter 22:
Why Vendors are Poorly Prepared
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus! What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be long delays..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... everything that happens correctly after that is a bonus! Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be long delays between an offer being agreed and your solicitor receiving papers;
Why..."
"... defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be long delays between an offer being agreed and your solicitor receiving papers;
Why the paperwork the vendor needed to buy the property may not be enough;
How to get documents..."
"... vendor;
Why there can be long delays between an offer being agreed and your solicitor receiving papers;
Why the paperwork the vendor needed to buy the property may not be enough;
How to get documents before the vendor can;
When your pressure can help the vendor;
How to tell what is a..."
"... being agreed and your solicitor receiving papers;
Why the paperwork the vendor needed to buy the property may not be enough;
How to get documents before the vendor can;
When your pressure can help the vendor;
How to tell what is a mistake and what is misleading;
Culture differences which may..."
"... the paperwork the vendor needed to buy the property may not be enough;
How to get documents before the vendor can;
When your pressure can help the vendor;
How to tell what is a mistake and what is misleading;
Culture differences which may not be insults;
The true story of curtains..."
"... the property may not be enough;
How to get documents before the vendor can;
When your pressure can help the vendor;
How to tell what is a mistake and what is misleading;
Culture differences which may not be insults;
The true story of curtains which caused offence;
You are about to..."
"... before the vendor can;
When your pressure can help the vendor;
How to tell what is a mistake and what is misleading;
Culture differences which may not be insults;
The true story of curtains which caused offence;
You are about to buy a property and this is something you are only..."
"... can help the vendor;
How to tell what is a mistake and what is misleading;
Culture differences which may not be insults;
The true story of curtains which caused offence;
You are about to buy a property and this is something you are only likely to do a few times in your life. The person..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...You are about to buy a property and this is something you are only likely to do a few times in your life. The person who is selling is probably only likely to sell a few times in their life and so it is unsurprising that they may not be familiar with all that needs to be prepared in order to make a sale move smoothly.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... with all that needs to be prepared in order to make a sale move smoothly.
Remember if you are a first-time buyer, you may well be buying from a first time vendor who does not know what they are doing
Strange as it seems most Estate Agents and Solicitors know what needs to be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... they are doing
Strange as it seems most Estate Agents and Solicitors know what needs to be prepared but rarely take the vendor through this, trying to avoid discussions that suggest the vendor spends time or money until there is actually some active interest in the property.
All this is..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...All this is backward thinking but no solicitor or agent wants to persuade their client to spend hundreds of pounds in advance of a sale and then have their ears burnt six months down the line when no offer has been made. For those solicitors and agents that do do it, however, you hear nothing but praise once the transaction is completed.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... once the transaction is completed.
Most don't so the result is that, once your offer is accepted, it often feels as if the vendor is actually reluctant to sell. There can be long delays while they choose a solicitor or get the necessary paperwork together.
The vendor may also not have..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...The vendor may also not have thought through how they will look in your eyes when they choose the selling agent or solicitor basing their decision on other factors such as price, location or recommendations. This doesn't mean the vendor does not have good intentions but because of your limited contact with them it is not always easy to tell if they are messing you around or if the parties they have chosen to represent them are generally incompetent.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...When making your offer the vendor is usually keen to make sure you can move quickly but may not have their own documents in order that will make the speed they require actually happen. This does not always mean they do not want the transaction to go through in a short time-scale and in order to keep things moving there are many things you can do to short circuit delays. Doing this is crucial because, as we have seen already in the chapter Time Costs Deals, speed is important.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... to short circuit delays. Doing this is crucial because, as we have seen already in the chapter Time Costs Deals, speed is important.
Preparing the Paperwork -
There is a set of basic paperwork which your solicitor is going to need from the vendor's solicitor if exchange of contracts is going..."
"... the Paperwork -
There is a set of basic paperwork which your solicitor is going to need from the vendor's solicitor if exchange of contracts is going to take place. If this has not been prepared prior to your offer there will be immediate delays unless:
you have chosen a good..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... place. If this has not been prepared prior to your offer there will be immediate delays unless:
you have chosen a good solicitor who will not wait for all the paperwork before starting work
the vendor chosen a good solicitor who will send out what they have with other documents to follow on..."
"... have chosen a good solicitor who will not wait for all the paperwork before starting work
the vendor chosen a good solicitor who will send out what they have with other documents to follow on later
If the vendor is poorly prepared your choice of solicitor can make all the difference to the..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... who will send out what they have with other documents to follow on later
If the vendor is poorly prepared your choice of solicitor can make all the difference to the success, or otherwise, of the deal
As an example lets say you have your offer accepted on the first day of October,..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... can make all the difference to the success, or otherwise, of the deal
As an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary paperwork
Nothing
Sunday
Nothing
Nothing
Monday
Vendor posts paperwork back..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary paperwork
Nothing
Sunday
Nothing
Nothing
Monday
Vendor posts paperwork back to his..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary paperwork
Nothing
Sunday
Nothing
Nothing
Monday
Vendor posts paperwork back to his solicitor
Nothing
Tuesday
Solicitor receives..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... fills out necessary paperwork
Nothing
Sunday
Nothing
Nothing
Monday
Vendor posts paperwork back to his solicitor
Nothing
Tuesday
Solicitor receives paperwork and requests office copy entries from Land..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... posts paperwork back to his solicitor
Nothing
Tuesday
Solicitor receives paperwork and requests office copy entries from Land Registry
Nothing
Wednesday
Waiting for Office Copy..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... receives paperwork and requests office copy entries from Land Registry
Nothing
Wednesday
Waiting for Office Copy Entries
Nothing
Thursday
Office Copy Entries arrive and a draft contract is drawn..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... Land Registry
Nothing
Wednesday
Waiting for Office Copy Entries
Nothing
Thursday
Office Copy Entries arrive and a draft contract is drawn up
Nothing
Friday
Contract and Office Copy Entry is sent to your solicitor
Nothing
In..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... a solicitor
Nothing
Thursday
Solicitor sends out forms to be filled in by vendor
Nothing
Friday
Forms arrive but vendor is at work
Nothing
Saturday
Vendor fills out necessary..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... Copy Entries arrive and a draft contract is drawn up
Nothing
Friday
Contract and Office Copy Entry is sent to your solicitor
Nothing
In other words it has been two weeks since the deal was agreed and your solicitor has so far done..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get quotes
Nothing
Tuesday
Waiting for the quotes
Nothing
Wednesday
Choosing a..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...In other words it has been two weeks since the deal was agreed and your solicitor has so far done nothing, moreover you have heard nothing and seen no action! The example above, you should be aware, is based on a best possible scenario. The vendor may have chosen an old fashioned solicitor who waits weeks for original title deeds or an overworked solicitor who can't turn things around in the same day.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... who waits weeks for original title deeds or an overworked solicitor who can't turn things around in the same day.
Hearing nothing does not mean the vendor is doing nothing
Many deals fail because the buyer waits weeks with no paperwork and, assuming the vendor is not serious, then goes..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...Many deals fail because the buyer waits weeks with no paperwork and, assuming the vendor is not serious, then goes out and offers on something else. If there is good communication between the solicitors or with the agent then at least you know where in the above process they are and that things are actually happening.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...As far as legal paperwork goes you also should be aware that what exists from the last sale of the property (when the vendor bought) may not necessarily be adequate for what your solicitor needs now. This is because solicitors are far more frightened of being sued today than they were say a few years ago and what mortgage lenders require on their part is constantly changing and varies from company to company. As such if, once all the paperwork arrives, don't be surprised if your solicitor says he needs more information and don't always believe that the vendor is being awkward and holding back on you. They may just be puzzled because they have given you everything that they were told they needed in order to buy the property way back then.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... told they needed in order to buy the property way back then.
The paperwork the vendor required in order to buy the property may be inadequate for your purchase because of changes in the law or the requirements of mortgage lenders.
The paperwork which should be coming through is as..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... property may be inadequate for your purchase because of changes in the law or the requirements of mortgage lenders.
The paperwork which should be coming through is as follows:
The sellers questionnaire
The fixtures and fittings list
Any planning consents (if applicable)
Any building..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... of changes in the law or the requirements of mortgage lenders.
The paperwork which should be coming through is as follows:
The sellers questionnaire
The fixtures and fittings list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any..."
"... or the requirements of mortgage lenders.
The paperwork which should be coming through is as follows:
The sellers questionnaire
The fixtures and fittings list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The..."
"... paperwork which should be coming through is as follows:
The sellers questionnaire
The fixtures and fittings list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The..."
"... is as follows:
The sellers questionnaire
The fixtures and fittings list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is..."
"... fixtures and fittings list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is leasehold
The last three years service charge..."
"... list
Any planning consents (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent..."
"... (if applicable)
Any building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of..."
"... building regulation certificates (if applicable)
Any guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... guarantees (damp, roof, etc.)
The building insurance details
The local search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent..."
"... building insurance details
The local search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent surveys
Recent quotes for works..."
"... search
If the property is leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent surveys
Recent quotes for works needed
We are all human and it is..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... leasehold
The last three years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent surveys
Recent quotes for works needed
We are all human and it is perfectly feasible for the vendor to..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"... years service charge accounts
The last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent surveys
Recent quotes for works needed
We are all human and it is perfectly feasible for the vendor to have lost or mislaid any of..."
"... last three years ground rent receipts
Any deeds of variation
Optional but a big bonus are:
Past or recent surveys
Recent quotes for works needed
We are all human and it is perfectly feasible for the vendor to have lost or mislaid any of these documents. The reasons you..."
"... an example lets say you have your offer accepted on the first day of October, which for the purposes of this illustration is a Monday.
What the vendor is doing
What your solicitor is doing
Monday
'Phoning round solicitors to get..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...We are all human and it is perfectly feasible for the vendor to have lost or mislaid any of these documents. The reasons you need them are laid out in the chapter The Property Buying Process in Theory. Below however are ways in which you can speed up the acquisition of these documents if the vendor is struggling or being slow.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... Below however are ways in which you can speed up the acquisition of these documents if the vendor is struggling or being slow.
- The Sellers Questionnaire -
The vendor gets this form from their solicitor and is only required to fill it out to the best of their knowledge. When you see it..."
"...The vendor gets this form from their solicitor and is only required to fill it out to the best of their knowledge. When you see it don't be surprised if there are lots of "Don't Know" replies. One of the most common questions which gets this reply is who is responsible for the garden fences where they border other people's property. Most property owners genuinely don't know and there is a fairly good chance that you will never know either in the time you spend there.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...Kicking up noise about any questions that have vague answers should be carefully considered. Decide how much the cost would be if there were a problem post sale. In other words if the garden fence does fall down it will cost a few hundred pounds to put back up. Now work out if the sale falling through because you spend too much time on such petty enquiries will it cost you a great deal more than that?
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... the sale falling through because you spend too much time on such petty enquiries will it cost you a great deal more than that?
- The Fixtures and Fittings List -
There will be far fewer issues on this if you make your offer comprehensive (see the chapter How to Really Make an Offer on a..."
"...There will be far fewer issues on this if you make your offer comprehensive (see the chapter How to Really Make an Offer on a Property). Many buyers are shocked when they see this document if it outlines how much the vendor wants them to pay for carpets, curtains, door handles, light switches, garden sheds and so on. This does not always mean that the vendor is being unreasonable or greedy. It may be that in all the purchases they have ever done they were expected to pay extra for these items. As such they will believe that paying for carpets and curtains is the norm.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...Some buyers also get upset when they believe their offer was put forward to specifically include a certain item, such as the cooker, and the fixtures and fittings list says it is not included. Bear in mind that the vendor may have filled out this form weeks before your offer was agreed but not thought to adjust it's contents. More often however it is the solicitor who makes the error. He finds he suddenly has two fixtures and fittings lists and, not sure which one is correct, sends the more "prudent" one.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... more "prudent" one.
As soon as you are aware of an error contact the Estate Agent immediately, remind them of your written offer and ask them to contact the vendor. At the same time ask your solicitor to approach the buyer's solicitor in order to resolve the matter.
Again assume error in..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... time ask your solicitor to approach the buyer's solicitor in order to resolve the matter.
Again assume error in the first instance rather than the idea that the vendor is going back on an agreement.
True Story - Carpets and Curtains at Duncan TerraceA buyer agreed to pay £1.325m for a..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...True Story - Carpets and Curtains at Duncan TerraceA buyer agreed to pay £1.325m for a town house in Islington and the vendors solicitor immediately sent across a complete pack containing all the required paperwork. In among this was a fixtures and fittings list which laid out the extra price required for the purchase of the curtains and the carpets. The buyers were angry that the vendors had even suggested they pay an extra £2,000 for these items considering the price being paid for the property. The vendors, on the other hand, had always had to pay extra for carpets and curtains in every purchase they had ever made.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...The vendors approached the Estate Agent for advice and were surprised to find that they had had unusual experiences in all their previous transactions and that paying extra for carpets and curtains was actually not the norm for most transactions. They were however reasonable people and, understanding that their past was unusual, agreed to leave carpets and curtains at no extra cost. In order to mend any hard feelings, they also threw in the washing machine and fridge.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... carpets and curtains at no extra cost. In order to mend any hard feelings, they also threw in the washing machine and fridge.
- Planning Permission -
Your solicitor may start asking for confirmation of planning permission if:
The local search suggests planning permission was..."
"... to mend any hard feelings, they also threw in the washing machine and fridge.
- Planning Permission -
Your solicitor may start asking for confirmation of planning permission if:
The local search suggests planning permission was applied for
The outline of the property does not match..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... - Planning Permission -
Your solicitor may start asking for confirmation of planning permission if:
The local search suggests planning permission was applied for
The outline of the property does not match the outline on the title deeds
There is something in the general..."
"... for confirmation of planning permission if:
The local search suggests planning permission was applied for
The outline of the property does not match the outline on the title deeds
There is something in the general paperwork that suggests work has been carried out (e.g. a builders..."
"... was applied for
The outline of the property does not match the outline on the title deeds
There is something in the general paperwork that suggests work has been carried out (e.g. a builders guarantee).
Waiting for the vendor's solicitor to write to the council, and for the council to..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...Waiting for the vendor's solicitor to write to the council, and for the council to actually get round to replying, can take forever and a day. To get round the problem almost all councils have walk in centres where any member of the public can look up planning applications and see if they were successful or not. Some can even be accessed over the internet.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... can even be accessed over the internet.
Assume the vendor does not know this, most people don't, and if there is a planning query take a couple of hours off work to get down there and sort it out. What might take weeks can be resolved in an afternoon!
- Building Regulation Approval -..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... query take a couple of hours off work to get down there and sort it out. What might take weeks can be resolved in an afternoon!
- Building Regulation Approval -
Unfortunately unlike planning applications, it is not possible to quickly resolve building regulation queries. If however, from..."
"...Unfortunately unlike planning applications, it is not possible to quickly resolve building regulation queries. If however, from the planning application date you can ascertain that the work was carried out before the mid 1980s there is a very good chance building regulation approval did not exist.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...Again it is perfectly possible that your solicitor will start looking for something that does not exist. In this case call the local Building Control office and check when their inspections began. If it was after the date of your query, let your solicitor know and ask them to get on with other more important enquiries.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...It is also possible, for a small fee, to get the Building Control Approval certificate yourself direct from the local council. It will be much, much quicker than waiting for your solicitor to write to the other solicitor, and the other solicitor to write to the Building Control Office in question. The fee can be around £30 which in the great scheme of things is not worth getting hot under the collar about.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... Office in question. The fee can be around £30 which in the great scheme of things is not worth getting hot under the collar about.
- Guarantees -
The vendor may have been very keen to tell you about works he had carried out while he lived at the property but the actual paperwork..."
"...The vendor may have been very keen to tell you about works he had carried out while he lived at the property but the actual paperwork relating to this may well be missing or lost or the company that carried out the work has gone out of business. In the search to clarify guarantees it is often worth having a bash at calling up the company in question, you have nothing to loose and generally they are pretty helpful.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... helpful.
By making the approach direct you will be able to find out if the company in question is still in business. If not you can immediately organise quotes to ensure something you relied on in your offer, say the damp proofing, is not going to become an unaffordable expense.
- Service..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... quotes to ensure something you relied on in your offer, say the damp proofing, is not going to become an unaffordable expense.
- Service Charge and Ground Rent -
Managing agents come in all shapes and sizes from large companies to individuals who buy up freeholds. They can be helpful or..."
"...Managing agents come in all shapes and sizes from large companies to individuals who buy up freeholds. They can be helpful or down right awkward. If there seem to be delays in getting the information your solicitor needs, ask for the contact details and chase them yourself. If you, the vendor, and both the solicitors are chasing then the managing agents are more likely to respond quickly in order to get all four of you off their backs!
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... solicitors are chasing then the managing agents are more likely to respond quickly in order to get all four of you off their backs!
- Deeds of Variation -
A deed of variation is one of those little bits of paper that so easily goes missing or the kind of thing that a vendor thinks he did,..."
"... A deed of variation is one of those little bits of paper that so easily goes missing or the kind of thing that a vendor thinks he did, after his purchase of the property, because he asked his solicitor to do it but in the bustle of a busy life forgot to follow up on and actually it never happened.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... forgot to follow up on and actually it never happened.
All being well when the vendor put his property on the market he will have asked his solicitor to double check all the paperwork is in order, but very rarely are things that perfect.
In other words expect some odd things that the vendor..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...In other words expect some odd things that the vendor may have said were in order, turn out not to be. Again it is not often a lie, simply an oversight. As soon as you move in you will be so immediately preoccupied with paint colours, new kitchens and the like that calling your solicitor to discuss tidying up some outstanding paperwork will also be at the back of your mind, to say the least!
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... that calling your solicitor to discuss tidying up some outstanding paperwork will also be at the back of your mind, to say the least!
- The Local Search -
Every so often there is a forward thinking vendor out there or one who really has been well advised by the Estate Agent. He will..."
"...Every so often there is a forward thinking vendor out there or one who really has been well advised by the Estate Agent. He will understand why time costs deals and does not want things to drag on as much as you don't. So against the advice of almost everyone he will have applied for a local search when, or before, he put the property on the market.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... If this has been returned by the local council, or is about to be returned, he may be able to sell it to you at cost and so save the weeks that it can take to apply for. It's always worth checking the situation with the vendor's solicitor, just in case, before applying for your own search.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... to apply for. It's always worth checking the situation with the vendor's solicitor, just in case, before applying for your own search.
- The Survey -
This is something only carried out by the really smart vendor but if there is one thing that can help with stress free selling it is to get..."
"... applying for your own search.
- The Survey -
This is something only carried out by the really smart vendor but if there is one thing that can help with stress free selling it is to get a survey done on a property before selling.
In the case of a Leasehold or Share of Freehold..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... one thing that can help with stress free selling it is to get a survey done on a property before selling.
In the case of a Leasehold or Share of Freehold property, a homebuyers survey
In the case of a Freehold property, a structural survey
The reason smart vendors do this is two..."
"... done on a property before selling.
In the case of a Leasehold or Share of Freehold property, a homebuyers survey
In the case of a Freehold property, a structural survey
The reason smart vendors do this is two fold:
They can address any problems which come up in the survey before..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... a Leasehold or Share of Freehold property, a homebuyers survey
In the case of a Freehold property, a structural survey
The reason smart vendors do this is two fold:
They can address any problems which come up in the survey before the buyer does and tries to renegotiate the price
They..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... property, a structural survey
The reason smart vendors do this is two fold:
They can address any problems which come up in the survey before the buyer does and tries to renegotiate the price
They can give a copy of the survey with receipts for any works subsequently done to your..."
"... before the buyer does and tries to renegotiate the price
They can give a copy of the survey with receipts for any works subsequently done to your surveyor. He will hesitate before questioning and contradicting another surveyor.
This is especially useful with freehold properties where..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"...This is especially useful with freehold properties where the surveyor may question how structurally sound the property is. In this instance if there is a problem the vendor can get the opinion of a structural engineer long before your surveyor even steps through the door. A structural engineer is more highly qualified than a surveyor in these matters so the green light here will most certainly not be questioned by your surveyor.
..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... questioned by your surveyor.
Even if the vendor decides not to go ahead with works that need done they often organise quotes so you are fully aware and objective when it comes to making an offer, and that offer is far more likely to make it through to exchange.
In a handful of cases the..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... is far more likely to make it through to exchange.
In a handful of cases the surveyor the vendor chooses may be acceptable to the your lender, in which case you could consider buying it from the vendor and saving yourself some time.
Summary -
There are very, very few vendors who really..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... chooses may be acceptable to the your lender, in which case you could consider buying it from the vendor and saving yourself some time.
Summary -
There are very, very few vendors who really think through or prepare for their sale. Most will simply invite a few estate agents around and..."
"... the vendor and saving yourself some time.
Summary -
There are very, very few vendors who really think through or prepare for their sale. Most will simply invite a few estate agents around and then put their property on the market.
This chapter may have sounded a little strange and you..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... the market.
This chapter may have sounded a little strange and you might question why should you do all the work? The answer is simply that it will reduce the time-scales of the purchase and so the risk of it all falling through (as covered in the chapter Time Costs Deals.
Assume the..."
"...
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!
What's covered in this chapter
Why defining your offer at the start will save time and stress with a poorly prepared vendor;
Why there can be..."
"... of it all falling through (as covered in the chapter Time Costs Deals.
Assume the vendor is naive, uninformed, ignorant and disorganised. From this standpoint everything that happens correctly after that is a bonus!..."
Chapter 23:
Why Vendors Choose Bad Estate Agents
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the agent's fee affects..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... of poorly motivated and inexperienced staff sale agreed may never make it to completion.
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the agent's fee affects the sale price;
Spotting agents who..."
"... agreed may never make it to completion.
Why buyers think some agents have 'more expensive properties';
How the agent's fee affects the sale price;
Spotting agents who pay their staff the wrong way;
Why sales fail more..."
"... in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the agent's fee affects the sale price;
Spotting agents who pay their staff the wrong way;
Why sales fail more at some agents than others;
Big agents, small agents..."
"... agents;
Why buyers think some agents have 'more expensive properties';
How the agent's fee affects the sale price;
Spotting agents who pay their staff the wrong way;
Why sales fail more at some agents than others;
Big agents, small agents and the right agents;
The different types of..."
"... expensive properties';
How the agent's fee affects the sale price;
Spotting agents who pay their staff the wrong way;
Why sales fail more at some agents than others;
Big agents, small agents and the right agents;
The different types of commission a vendor pays;
What a property on the..."
"... affects the sale price;
Spotting agents who pay their staff the wrong way;
Why sales fail more at some agents than others;
Big agents, small agents and the right agents;
The different types of commission a vendor pays;
What a property on the market with a number of agents tells you about the..."
"... their staff the wrong way;
Why sales fail more at some agents than others;
Big agents, small agents and the right agents;
The different types of commission a vendor pays;
What a property on the market with a number of agents tells you about the property;
Why vendors change..."
"... others;
Big agents, small agents and the right agents;
The different types of commission a vendor pays;
What a property on the market with a number of agents tells you about the property;
Why vendors change agents;
Whether you are viewing properties or in the middle of a transaction it..."
"... different types of commission a vendor pays;
What a property on the market with a number of agents tells you about the property;
Why vendors change agents;
Whether you are viewing properties or in the middle of a transaction it will become obvious to you (very quickly) who the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Whether you are viewing properties or in the middle of a transaction it will become obvious to you (very quickly) who the competent agents are and who is sadly lacking. Unfortunately the majority are sadly lacking and as you leave your tenth message you might wonder why a vendor would choose such a ridiculous company to represent them in their sale.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... To understand this it is worth winding back the clock a little and putting yourself in the shoes of a vendor. You are just about to sell your property and a multitude of choices confront you. The easiest, and worst, way to differentiate them is to make one or more of the following three mistakes
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... confront you. The easiest, and worst, way to differentiate them is to make one or more of the following three mistakes
Base your decision on the fee the agent will charge
Be blinded by large agents with ten, fifteen or even twenty negotiators working out of one office
Believe lots of sold..."
"... one or more of the following three mistakes
Base your decision on the fee the agent will charge
Be blinded by large agents with ten, fifteen or even twenty negotiators working out of one office
Believe lots of sold signs in the area from one agent must be good news
The basic principle when..."
"... will charge
Be blinded by large agents with ten, fifteen or even twenty negotiators working out of one office
Believe lots of sold signs in the area from one agent must be good news
The basic principle when selling anything; a house, a car, a kettle is that: The more people who know about..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... in the area from one agent must be good news
The basic principle when selling anything; a house, a car, a kettle is that: The more people who know about the product (the property), the better the price you will achieve and the faster it will sell.
Many buyers bemoan this fact and often say,..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Many buyers bemoan this fact and often say, "I bought through Agent X because I really loved the property even though I know they over price". The truth is the slicker agents do not overprice, they simply achieve "a true market value" because the property is bought to the attention of more buyers. They do this through more aggressive staff who call everyone who could possibly be interested and advertise extensively both traditionally and electronically. The unhappy buyer quoted above would be far more unhappy had they never known about their dream pad.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...The poor quality agent, in the meantime, has not the means to market affectively either in the media or on the internet and their poorly motivated staff ensure fewer people are aware of the property's existence. There could be twenty buyers who want to compete but only one or two are told that it is there. The result is a lower price for the vendor.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... On reflection, the buyer may also feel better that although he has paid more for your property than if he had been lucky enough to find it through a poor quality agent, the transaction moves more smoothly because the person they are dealing with is professional and competent.
There..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...There are plenty of clues to understand how well things will come together if you know a little about how an agent works, and this is covered here. For the purposes of this chapter stay inside a potential vendor's shoes and you will see that it is actually remarkably easy to choose a bad agent unless you know better.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... vendor's shoes and you will see that it is actually remarkably easy to choose a bad agent unless you know better.
- The Fee and its' Impact on the Sale Price -
The fee that you, the vendor, pay will affect three things:
The price achieved for your property
The quality of the..."
"... remarkably easy to choose a bad agent unless you know better.
- The Fee and its' Impact on the Sale Price -
The fee that you, the vendor, pay will affect three things:
The price achieved for your property
The quality of the staff you deal with (and so the likelihood of..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... know better.
- The Fee and its' Impact on the Sale Price -
The fee that you, the vendor, pay will affect three things:
The price achieved for your property
The quality of the staff you deal with (and so the likelihood of exchange)
The quality of marketing
- The Fee and the..."
"... Price -
The fee that you, the vendor, pay will affect three things:
The price achieved for your property
The quality of the staff you deal with (and so the likelihood of exchange)
The quality of marketing
- The Fee and the Price -
The fee paid to a high street agent is a percentage..."
"... three things:
The price achieved for your property
The quality of the staff you deal with (and so the likelihood of exchange)
The quality of marketing
- The Fee and the Price -
The fee paid to a high street agent is a percentage of the final figure that your property is sold..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... achieved for your property
The quality of the staff you deal with (and so the likelihood of exchange)
The quality of marketing
- The Fee and the Price -
The fee paid to a high street agent is a percentage of the final figure that your property is sold for, with a small handful of..."
"... - The Fee and the Price -
The fee paid to a high street agent is a percentage of the final figure that your property is sold for, with a small handful of exceptions who charge flat fees. The fee is usually payable when the sale completes.
The key is not always how much you are..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... of exceptions who charge flat fees. The fee is usually payable when the sale completes.
The key is not always how much you are going to pay the agent, but to find out if that money will be well spent.
- Types of Commission -
The first step is to be sure that the staff are motivated to..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... sale completes.
The key is not always how much you are going to pay the agent, but to find out if that money will be well spent.
- Types of Commission -
The first step is to be sure that the staff are motivated to sell. For this reason avoid agents that operate a "pooled commission". In..."
"...The first step is to be sure that the staff are motivated to sell. For this reason avoid agents that operate a "pooled commission". In this situation the fee goes into a central pot and then a percentage of that is shared between every negotiator who works there, whether or not they were involved in that particular transaction. The result is that the moment one negotiator has interest in your property the other negotiators lay off, knowing they will get a percentage of the deal. To them this is a simpler option than coming out at eight in the evening with an alternative buyer even if they might offer you an extra five or ten thousand pounds. That alternative buyer may be desperate to buy your property and more financially sound but they will never be told about it.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Always look for an agent where the individual negotiator gets paid part of the fee if they themselves find you a buyer and get paid nothing if they don't. In this way the negotiator will be at your door at eight in the evening in order to get that extra ten thousand for you and steal the deal from their colleague. It's brutal but you benefit.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...On the same note ensure that whoever values your property will get part of the fee if it sells. In this way you know they will give you a realistic valuation because if they are simply paid a flat fee for every instruction they will be tempted to overvalue and the negotiators who are supposed to sell it will become demotivated. You may be surprised how many managers or valuers are just targeted on getting the instruction and so simply over value and over promise in order to get your property onto their books and hit their individual targets.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...The commission paid to a negotiator not on pooled commission is usually between ten and twenty percent of the fee the agent is charging. As such negotiating a low fee is not always as clever as you might think. If you feel very pleased with yourself for having bargained with a dozen agents and finally found one you could twist down to 1% consider this:
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... The fee on a £250,000 flat at 1% would be £2,500 of which a negotiator on 10% commission would get £250. If you pay 2% the negotiator gets £500. Which property do you think the negotiators will work harder on, not only to sell, but to ensure the agreed sale progresses to exchange?
If..."
"... progresses to exchange?
If you managed to negotiate the fee down either the person who came to see you (the valuer) or the agent is weak and lacks confidence. If they cannot justify their fee to you, how well will they justify the price of your property to buyers?
If you instruct a weak..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... to buyers?
If you instruct a weak agent that lacks confidence they are likely to get you a lower price. Say its 3% lower than the stronger more confident agent. On a £250,000 flat you have saved yourself £2,500 but it cost you £7,500. You are £5,000 worse off, clever you!
- The Fee..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... agent. On a £250,000 flat you have saved yourself £2,500 but it cost you £7,500. You are £5,000 worse off, clever you!
- The Fee and the Staff -
Here is a contradiction. You should attempt to negotiate the fee and see how low you can get it. This will give you an idea of what..."
"...Here is a contradiction. You should attempt to negotiate the fee and see how low you can get it. This will give you an idea of what most of the vendors who are using that agent are paying. From this you will get a clear idea of how much the staff are generally being paid. If they do negotiate low fees their staff will be earning less than an agent who sticks to his guns. By definition this means the staff he can recruit are less experienced and, once they have become experienced, they will move to an agency that pays better which by definition means one that charges a higher fee.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... pays better which by definition means one that charges a higher fee.
Agencies that charge a higher fee and refuse to negotiate on it generally have more experienced, better motivated staff, and a lower staff turnover
There is a long way to go between agreeing a sale price and an exchange...."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... There is a long way to go between agreeing a sale price and an exchange. The solicitors must be chased and managed, the buyer must be educated, the surveyor must be kept happy, the lender must be pursued and the process must be bought to a speedy conclusion. None of these things will happen if:
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... be pursued and the process must be bought to a speedy conclusion. None of these things will happen if:
The negotiator does not understand the process himself due to lack of experience
The negotiator is not motivated because financially your deal is worth very little to him
The negotiator..."
"... will happen if:
The negotiator does not understand the process himself due to lack of experience
The negotiator is not motivated because financially your deal is worth very little to him
The negotiator leaves the agent halfway through to get a better paid job elsewhere
Any competent..."
"... of experience
The negotiator is not motivated because financially your deal is worth very little to him
The negotiator leaves the agent halfway through to get a better paid job elsewhere
Any competent negotiator should know everything in this book, as a minimum. To get an idea of the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... to get a better paid job elsewhere
Any competent negotiator should know everything in this book, as a minimum. To get an idea of the myriad of events that can cause a transaction to fail simply read through the true stories in each chapter.
An agent that is prepared to negotiate to a..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... fail simply read through the true stories in each chapter.
An agent that is prepared to negotiate to a low fee is likely to achieve a worse price for your property and that deal is more likely to fall through before reaching exchange
- The Fee and the Advertising -
Advertising and market..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... fee is likely to achieve a worse price for your property and that deal is more likely to fall through before reaching exchange
- The Fee and the Advertising -
Advertising and market presence are crucial but they should not be confused with advertising your property. Buyers will start..."
"...Advertising and market presence are crucial but they should not be confused with advertising your property. Buyers will start studying the property papers weeks before they actively begin their search. The agents they will call first are the ones where the brand names have been burnt into their minds week after week. They agents they continue to call during their search will be chosen on the same principle.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... chosen on the same principle.
Advertising is expensive and so those agents that negotiate their fee too low will have to compromise on this. The result is fewer buyers know about your property and there is a higher likelihood that you will get a poorer price.
If the agent says they..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... price.
If the agent says they advertise in a paper such as the London Evening Standard ask to see an example. Is it a black and white box or a full colour page. Is it every week or do they stop during the summer and the winter when the market is quieter and they try to cut costs?
Every..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... cut costs?
Every agent should have a web site. Check it yourself. Is it easy to use and informative? How often is it updated? How many visitors does it attract every month? If you look for properties for sale in your area on any of the major search engines does the site come up?
If the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... search engines does the site come up?
If the advertising is strong and consistent then things are looking promising. As mentioned above, however, when you are on the market don't get bogged down thinking its all about advertising your property. It isn't.
A vendors property in the paper, on a..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...A vendors property in the paper, on a web sites or a set of details in the front window will keep vendors happy, generate some viewings but does not necessarily marry the right person to the right property. The overall aim that agents set out to achieve when they carry out marketing is to demonstrate that they have different types of property, across the price ranges, in a wide variety of areas. In other words: "Whatever you are looking for, we probably had it, have it, or will have it so come and get registered".
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Serious buyers build a relationship with good agents who gain an understanding of what works for them and what doesn't. They build a trust and will go and view a property if the agent says they should, whether or not there are a set of details prepared. Someone who makes a random call because they saw your in the paper is unlikely to be at an offering stage.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... they saw your in the paper is unlikely to be at an offering stage.
Most vendors find this concept difficult to understand and so most agents just tell them what they want to hear which goes something like this:
"Don't worry Mr Smith, the details of your property will be ready next..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... to understand and so most agents just tell them what they want to hear which goes something like this:
"Don't worry Mr Smith, the details of your property will be ready next week"
"Don't worry Mr Smith, your property is in next week's paper"
"Don't worry Mr Smith, we'll get your details..."
"... hear which goes something like this:
"Don't worry Mr Smith, the details of your property will be ready next week"
"Don't worry Mr Smith, your property is in next week's paper"
"Don't worry Mr Smith, we'll get your details in our front window this weekend"
Don't get side tracked by these..."
"... of your property will be ready next week"
"Don't worry Mr Smith, your property is in next week's paper"
"Don't worry Mr Smith, we'll get your details in our front window this weekend"
Don't get side tracked by these irrelevancies. Feedback from viewings and honest advice are far, far..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Don't get side tracked by these irrelevancies. Feedback from viewings and honest advice are far, far better. The agent knows none of them are particularly effective but they know the vendor thinks they are. In the meantime they crack on with registering active buyers and trying to match them to your property.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... buyers and trying to match them to your property.
It is also worth considering that some agents have now stopped advertising particular properties altogether preferring awareness campaigns and pushing buyers to look on their web sites .
Big Agent, Little Agent -
Its easy for a vendor to..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... stopped advertising particular properties altogether preferring awareness campaigns and pushing buyers to look on their web sites .
Big Agent, Little Agent -
Its easy for a vendor to be dazzled by the talk of large agents. They point to the fact that their office has ten, fifteen or even..."
"...
Its easy for a vendor to be dazzled by the talk of large agents. They point to the fact that their office has ten, fifteen or even twenty negotiators operating out of one place. Its tempting to believe that with so many people on the case they cannot fail to sell your property for top dollar.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... out of one place. Its tempting to believe that with so many people on the case they cannot fail to sell your property for top dollar.
Beware!
These very large offices often cover vast geographical areas so that in reality their competitors may have the same number of staff for the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... fail to sell your property for top dollar.
Beware!
These very large offices often cover vast geographical areas so that in reality their competitors may have the same number of staff for the same area, simply spread over more premises.
A more telling figure is how many negotiators they..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...A more telling figure is how many negotiators they have per property on the market. As an example a large office with fifteen negotiators may have six hundred properties on the market so the ratio is forty properties per negotiator. The smaller competitor may have four staff and one hundred properties giving it a ratio of twenty five properties per negotiator. In this latter case competition between the negotiators fighting to agree deals on limited stock will be more intense.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... the negotiators fighting to agree deals on limited stock will be more intense.
Estate agents operating large offices are not necessarily better if they are only large because they cover huge geographical areas
The size of an agent's office should only become a crucial deciding factor when..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...The size of an agent's office should only become a crucial deciding factor when it becomes too small. As a minimum check the agent has at least two sales negotiators and a manager. That is two sales negotiators, not sales and lettings negotiators. Any fewer staff than this and holidays, illness or someone leaving will have a dramatic impact on their ability to sell your property for a good price, or even sell it at all.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... or someone leaving will have a dramatic impact on their ability to sell your property for a good price, or even sell it at all.
Using More than One Agent -
If you are using just one agent the term associated with this is sole agency. There are three other scenarios that any vendor should..."
"... even sell it at all.
Using More than One Agent -
If you are using just one agent the term associated with this is sole agency. There are three other scenarios that any vendor should be aware of, at least one of which should be avoided:
Joint Sole Agency
Split Commission
Multiple..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... with this is sole agency. There are three other scenarios that any vendor should be aware of, at least one of which should be avoided:
Joint Sole Agency
Split Commission
Multiple Agency
- Joint Sole Agency -
This is a fallacy and a very glossy way of saying you are on with two..."
"... agency. There are three other scenarios that any vendor should be aware of, at least one of which should be avoided:
Joint Sole Agency
Split Commission
Multiple Agency
- Joint Sole Agency -
This is a fallacy and a very glossy way of saying you are on with two agents. You are either..."
"... three other scenarios that any vendor should be aware of, at least one of which should be avoided:
Joint Sole Agency
Split Commission
Multiple Agency
- Joint Sole Agency -
This is a fallacy and a very glossy way of saying you are on with two agents. You are either sole agency or..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... any vendor should be aware of, at least one of which should be avoided:
Joint Sole Agency
Split Commission
Multiple Agency
- Joint Sole Agency -
This is a fallacy and a very glossy way of saying you are on with two agents. You are either sole agency or with multiple agents. The..."
"...This is a fallacy and a very glossy way of saying you are on with two agents. You are either sole agency or with multiple agents. The term has evolved as a way of agents offering you a sole agency fee, in other words a lower one, even if you are on with another agent. In advertising the words "joint sole" can be used to make the property sound exclusive in some other way than having to say "multiple".
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... advertising the words "joint sole" can be used to make the property sound exclusive in some other way than having to say "multiple".
- Split Commission -
This will often happen without the vendor knowing it and works something like this:
You instruct Agent A to market your property..."
"... the property sound exclusive in some other way than having to say "multiple".
- Split Commission -
This will often happen without the vendor knowing it and works something like this:
You instruct Agent A to market your property after deciding they are the best to represent you.
Agent A..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... -
This will often happen without the vendor knowing it and works something like this:
You instruct Agent A to market your property after deciding they are the best to represent you.
Agent A calls Agent B and offers to lend him your keys on the understanding that if agent B sells..."
"... after deciding they are the best to represent you.
Agent A calls Agent B and offers to lend him your keys on the understanding that if agent B sells the property Agent A will still get part of the commission, and often vice versa.
You come home one night to find agent B showing someone..."
"... get part of the commission, and often vice versa.
You come home one night to find agent B showing someone round your home and wonder why you spent so much time choosing an agent if, by default, it has led to others being instructed anyway
Agent A will justify this scenario by telling you..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Agent A will justify this scenario by telling you that you have the benefit of two agents or more for the price of one but there are downsides. Firstly, if the commission is being split on a regular basis then by definition the staff must be poorly paid, with all the problems that have been covered earlier. Secondly, you have no idea who actually has keys and an agent you may have decided to avoid is actually on the case.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... has keys and an agent you may have decided to avoid is actually on the case.
Split commissions are most often found in very small agents where they do not have the staff or resources to market effectively.
- Multiple Agency -
Most agents will try to make you feel bad about going on..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... commissions are most often found in very small agents where they do not have the staff or resources to market effectively.
- Multiple Agency -
Most agents will try to make you feel bad about going on with more than just them. They will use words like, "Everyone registers with us,..."
"... effectively.
- Multiple Agency -
Most agents will try to make you feel bad about going on with more than just them. They will use words like, "Everyone registers with us, so why bother going on with someone else, you will only have to pay a higher fee."
Funnily enough the latter part of..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Funnily enough the latter part of that sentence is exactly why you should be going on with someone else. A higher fee means their staff will get paid more if they sell your property and neither agency wants to have their nose rubbed in it when the other agent gets you an offer. More motivated staff, more commission on offer and an adversarial environment are all more likely to get you the best possible price and hence why you will find most professional developers and investors almost always use two or three agents.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... almost always use two or three agents.
There are limits however, and you should be very cautious about instructing more than three agents. If three cannot sell your property there is either something wrong it or something wrong with the price.
More than three signs outside the place you..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... with the price.
More than three signs outside the place you are trying to sell immediately makes buyers perceive that you are either desperate and low offers are worth trying or they will wonder what is wrong with the property that has meant five agents cannot sell it.
Even if you limit..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... it.
Even if you limit the amount of boards, in this day and age it is quick and obvious to see when the same property appears over and over again on various internet sites, every time listed with a different agent, and many buyers will not even call to view because of their suspicions.
In..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... different agent, and many buyers will not even call to view because of their suspicions.
In short one agent is alright, two agents are good, three agents are not bad but four or more agents are a no-no!
- Changing Agents -
If you have made a sensible choice of agent or agents think very..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... their suspicions.
In short one agent is alright, two agents are good, three agents are not bad but four or more agents are a no-no!
- Changing Agents -
If you have made a sensible choice of agent or agents think very carefully about the exact reason why you want to change. Some of the..."
"... bad but four or more agents are a no-no!
- Changing Agents -
If you have made a sensible choice of agent or agents think very carefully about the exact reason why you want to change. Some of the more ridiculous reasons are:
They were slow to get details prepared
You don't like the..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... agent or agents think very carefully about the exact reason why you want to change. Some of the more ridiculous reasons are:
They were slow to get details prepared
You don't like the details
Your property has not been advertised regularly
Your property is not in their front window
They..."
"... about the exact reason why you want to change. Some of the more ridiculous reasons are:
They were slow to get details prepared
You don't like the details
Your property has not been advertised regularly
Your property is not in their front window
They have not had many viewings
Some..."
"... to change. Some of the more ridiculous reasons are:
They were slow to get details prepared
You don't like the details
Your property has not been advertised regularly
Your property is not in their front window
They have not had many viewings
Some other agent may have different..."
"... are:
They were slow to get details prepared
You don't like the details
Your property has not been advertised regularly
Your property is not in their front window
They have not had many viewings
Some other agent may have different applicants
They got a low offer
Slow preparation of..."
"... prepared
You don't like the details
Your property has not been advertised regularly
Your property is not in their front window
They have not had many viewings
Some other agent may have different applicants
They got a low offer
Slow preparation of the details - Many vendors get..."
"... property has not been advertised regularly
Your property is not in their front window
They have not had many viewings
Some other agent may have different applicants
They got a low offer
Slow preparation of the details - Many vendors get sidetracked by the details. If the negotiators in..."
"... regularly
Your property is not in their front window
They have not had many viewings
Some other agent may have different applicants
They got a low offer
Slow preparation of the details - Many vendors get sidetracked by the details. If the negotiators in the agent are well motivated they..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... Slow preparation of the details - Many vendors get sidetracked by the details. If the negotiators in the agent are well motivated they won't be waiting for details to get their hot applicants into your property. If they hesitate their colleague will be faster and get the deal (and the money).
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...You don't like the details - This is, in the world of marketing, an extremely good sign. Advertisers claim that if their client does not like the campaign it is halfway to success as they are exactly the people that the campaign is not aimed at. Do not get bogged down thinking that the reason you bought the property is the same reason your new buyer will offer. If the agent(s) you have chosen are doing regular business leave them to it. You are paying them for their skills in selling so don't interfere.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Your property has not been advertised regularly - Good agency is not about shoving your property in a newspaper, taking the calls, doing the viewings and agreeing an offer. Good agency is about taking the constant stream of applicants registering and matching them to the properties on the market. It is naive to think that one photograph in the local paper will solve everything. It is far more likely to create a spate of viewings from window shoppers. A good agent will filter these out which means that despite having received many calls, very few viewings will actually occur. If a buyer is serious they will already have registered with that agent anyway.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Your property is not in the front window - Again, it is crazy to think agency is all about popping a photo in the window and hoping someone will walk in desperate for it. If you have chosen your agents well the front window is a very small part of the business and more often than not attracts no more than idle shoppers.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...They have not had many viewings - If the negotiators are motivated and the agent is solid then the staff will be busy. They will know that poorly qualified applicants result in lots of viewings but very little business. If the staff are paid on commission they will want to stay focused on only taking the right people to the right properties. A classic case is the vendor who has a two bedroom flat where the second bedroom is very small. A bad agent will drag every two double bedroom applicant round there and then tell you the feedback is that the second bedroom is too small. A good agent will ask the applicant, at registration, why they need the second bedroom. If it is too rent out they will discount your property. Much fewer but much more focused viewings.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...Another agent may have different applicants - If you have instructed at least two good agents the chances of a third agent actually having someone different are pretty remote. Many vendors change agent simply for peace of mind that they are actually doing something. In reality if you go under offer quickly this is more luck than anything else.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...True Story - Changing Agents for different buyersThere were two properties for sale on Dagmar Terrace in Islington. One with agent A and one with Agent B. Both agents were well known and represented to the extent that you could reasonably assume anyone registered with Agent A would also register with Agent B. They were all getting regular viewings but none were attracting any offers. At the same time both vendors decided it was time for a change. The one on with Agent A went over to Agent B and the one on with Agent B went over to Agent A.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... Agent B went over to Agent A.
Both properties sold within the week to new buyers that had registered just after the transfer. Both vendors were absolutely convinced that the reason for their own successful sale was down to their decision to swap agents!
They got a low offer - Or did..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...They got a low offer - Or did they? Perhaps they got the actual market value of your property but you do not want to face it. This is especially true if they have received two or more low offers on your property. You should also bear in mind that by law the Agent must put up all offers to you unless you have specifically instructed them in writing not to inform you about offers below a certain level.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"...It is unbelievably common for a vendor to swap agents after a low offer and the new agent is already rubbing their hands with glee. In their mind the previous agent has done the hard work. In other words they have found the market value of your property and all they need to do is get an offer in the same region, even slightly lower. They can then argue that a second or third offer at the same level is proof of what your property is worth. Very often they know that mentally you will be coming round to this way of thinking and will agree.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... proof of what your property is worth. Very often they know that mentally you will be coming round to this way of thinking and will agree.
- Summary -
Finding professional estate agent is not an easy task but there are some simple steps to follow in order to make sure you are successful and..."
"...Finding professional estate agent is not an easy task but there are some simple steps to follow in order to make sure you are successful and negotiating low fees is not one of them. Once your property is being marketed consider feedback and offers carefully and avoid knee-jerk reactions which may be of little benefit.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... reactions which may be of little benefit.
From a buyer's point of view it will soon become clear how well your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
..."
"... your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
"... well your agent operates and if they are a disaster zone of poorly motivated and inexperienced staff sale agreed may never make it to completion.
What's covered in this chapter
The way most vendors choose agents;
Why buyers think some agents have 'more expensive properties';
How the..."
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Property Terminology
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- Managing Agents
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- Offer Agreed
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