auctioneer issues :BUYING A HOUSE SHORTLY

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neilster1509

Guest
To set the scene we have identified the house that we want recently across the Shannon but have searched and walked away from rip-off prices set against a downward spiral of prices over the last 18 months

We didnt go through with one purchase when we had everything agreed as we thought we could get more for our money and now we have ...it is a 2700sq ft house on a 1.5 acre site and finished bar some tiling and a kitchen

It has according to internet prices been 380k down to 325k then to 280k and so on ...they are now at Offers excess 200k ...the owner bought farm put good house on best site as he was a tradesman himself , he then ran into the mess of the last 2 years .....he owes the price of house to bank so im told .....i want a discount on the 200k and in all probability wouldnt build house at that price really but when he pressed me on bid i said how would cash suit (he is a Subbie / Farmer etc) ..he came back and said he would take 10k and reduce 10k ...so 180 +10k cash ...said a large cash sum was shooting himself as bank still needs to see readies

When pushed further i said i feel im bidding myself here and then the old chestnut came out about UK Bidder who wanted .25 acre behind extra above the desinated site ...he has bidded the 200k but wanted extra land ...he said to take a pony but auctioneer suspected it was to get another house site ...

anyway i thought this story fishy just to pole me further on price or at best true but happened a year ago so resolved to wait til March 2011 and if still out there...i told him too rich for me at that money 200k ...with a wait the story would add up to nothing and i could proceed on a low bid safe in knowledge that i know and they know im only game in town...

due to a house sale and a lumpsum i have the whole price to dispose of in cash so closing and leverage can be quite quick

wondering is there any tactics that i could employ to hurry it on or is patience the key
 
"wondering is there any tactics that i could employ to hurry it on or is patience the key"

You seem (!) to have a handle on how to bargain so perhaps you decide on a price you are willing to pay. Offer it. Be prepared to walk away.

As a purchaser, you are in a strong position. But beware of being so keen to drive the hardest bargain that you will ruin the purchaser and you and your family's chances of making any friends in the area.

Its not all about the cheapest price.

mf
 
Brendan Burgess said:
This is fraud and you are also leaving yourself open to losing €10,000 cash.

Brendan
Click to expand...
I whole heartily agree with Brendan. Are You mad do not attempt to hand over any cash, by all means give the Auctioneer a deposit but first i would look in to who actually owns the house the seller or the bank. And going from personal experience i would not touch it with a barge pole. Run a mile if it sounds too good to be true it usually is.
 
I suppose where i am coming from is that a close friend closed on a house roughly 8 months ago , he is now in the completed house as we speak

it was builders finish built by a builder/farmer (this is maybe the 8th house completion by this guy since 2000). There was a cash component to the deal , having said that there wasnt a huge risk as the house was built from own resources etc having said that the Solicitor did look at Title ...outstanding charges etc as i would ....Cash at the end of the day is a reality ...i have it and he may want it

But hang on a second lads when you say run a mile ... the guy i am speaking of paid 175k (cash & documented ..was total) for a 2600sq ft house with a garage on .75acre in rural westmeath ....he was dealing with a guy in tremendous financial pressure who may have his chequebooks pulled and account scrutinised and monitored where the inducements put before him were in extraordinary times where he was cash poor dealing with someone without a need for a mortgage

This is maximising leverage , there are cosy situations where it wouldnt be an option but a 225k price-tag would go with it ...and it wouldnt sell and wouldnt be bought

again gentlemen we are extraordinary times and these property surveys are baloney cos quick cash sales are sometimes the only things moving outside the Dublin commuter belt
 
If you are paying cash for the house you are in the driving seat and if he still wants the 10 grand cash pay it on the day you move in. You are trusting him with 10 grand of your money with no proof that you gave it to him, who's to say that you gave it to him in the first place. Stick to the price you offered him he is more desperate to sell than you are to buy so bide your time, its a buyers market. Have you talked to the bank involved they obviously own the house now they might jump at an offer of 180,000 its worth a try.
 
thats what i thought too cheers ...i think he paid about 550k for farm and is basically only out the money spent on house ....so he would be clear then ..i dont think it is a situation where his back against
the cash issue isnt the end of the world ...if it smells funny wont be done ...it is a transaction without mortgage anyway
 
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