Booking deposit in private sale

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sully

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I have sale agreed on a house and i asked for a booking seposit of 5k but the buyer insists on getting contracts first, and then will send on full 10% deposit. I have told the buyer that the booking deposit is refundable but their solicitor said a booking deposit is only given to an auctioneer. I was getting them to make out the cheque to my solicitor to ensure peace of mind.

Can i make the buyer pay the booking deposit?

If the buyer doesn't pay the booking deposit do i take the house off the market ie sale agreed sign. Do i also still take enquires and do viewings of the house without a booking deposit?

Any advice, greatly appreciated.

Thanks,
Sully.
 
I would leave the house on the market and continue the viewings.
If you take it off the market and the potential buyer baisl out, you have to start it all againa
I would sale to the first one who gives me a 10% deposit (is that refundable?)
5k does not mean much , too many people put a deposit and then bail out. This is ridiculous, they buy or they don't !!!! Deposit should not be refundable, otherwise what is the meaning of a deposit?
Good luck.
 
If you hold the booking deposit / your solicitor holds the booking deposit, then it suggests a conflict of interest and your purchaser is trying to be sure that you won't just "feck" off with the money without having entered into a contract with them to sell them the property.

I would go to contracts stage, but keep the property on the market until you have both signed the contracts just in case it all ends in tears.
 
I sold a house privately about 5 years ago and my solicitor took a £5,000 booking deposit from the purchasers. Worked exactly the same way as a deposit given to an auctioneer.
 
I think what i will do is wait until Solicitor gets the full 10% deposit which is non refundable and is at contract stage. However i will continue to show the house and will be open to offers. I actually thought it would have made more sense to the buyer to pay a booking deposit, as i would then have put a sale agreed sign up and not taken any more viewings, but if that is the way they want it, then that's fine by me.
 
I don't understand why you want a booking deposit. Whats the point? It is refundable. Is it as evidence that they are serious about buying? Because its fairly flimsy.
 
I agree vanilla, i just thought it was normal to get one as that is what the auctioneer does., the booking deposit is pretty pointless IMO. I was just advised to do it by my solicitor.
 
Vanilla said:
I don't understand why you want a booking deposit. Whats the point? It is refundable. Is it as evidence that they are serious about buying? Because its fairly flimsy.
Click to expand...

i though it was so you can't sneak off and do a deal behind the estate agents back... so he has his money up front...
 
Isn't a booking deposit just the auctioneers fee ? It is refundable if the purchaser bails out, so the auctioneer hasn't made the sale.
Where there is no auctioneer, I think the matter is complicated by asking for a booking deposit (refundable) and a final (non-refundable) deposit at the contracts stage.

If they bail out you then have the hassle of returning the deposit.

I suggest, as others have mentioned already, that you keep the house on the market until the contracts are signed and you have got the non-refundable deposit. If the purchaser bails out, at least you will get to keep 10% of the house price.
 
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