Currently buying/selling a house? How is it going? READ MOD NOTE POST #1

Idbatterim

fisgon wrote: »

Any advice?

I have been looking for a few months and found a place I like in the last week. Don't have a mortgage approved yet, but it is likely that I will get one if I dot the eyes and cross the Ts.

The price is already very reasonable - I am in the west, well away from Dublin.

However, someone earlier said that you would want your head examined if you bought now, and I am wondering if that is true. Part of my income comes from a small business that will definitely be put on hold for the next six months, and the bulk of it is for teaching in Further Education which is vulnerable to a salary cut if 2011 is anything to go by.

At present I am paying a small rent (50% of future mortgage payment) in a shared house. I was and am ready to buy, but am scared sh1tless of how an economic collapse will effect me and everyone else. Any advice?

how bearable do you find the house share? you may not get a mortgage in a few months. I am not saying to buy or not buy. But this "hold out and wait thing" yeah! you could be waiting years before you are in a position to buy again... COULD!

This is not the US where they will have you out on the balls of your ass if you miss a mortgage payment, you literally cant get thrown out of your primary residence in this country

FutureGuy

I’m trying REALLY hard not to stress out but our solicitor has not been in contact in 9 days now ever though the vendor has signed contracts 12 days ago and our solicitor now has them.

Is there any advice line I can ring. It’s scandalous that he hasn’t answered any texts or mails or returned calls in this time.

ittakestwo

Dav010 wrote: »

Unfortunately this is what happens when you put a question up online, you always tend to get ill informed replies. The op will have to take the advice of their own solicitor on this, it would be unwise to do anything without first hearing that advice. Saying it is an empty threat is naive, disputes like this probably don’t reach the court room often because a contract dispute of this type is hard to dispute, defending it may be throwing good money after bad. Forcing. though a purchase is highly unlikely, but at the very least, the buyer could expect to lose their deposit.

Op, talk to your solicitor, that is the only advice you need.

Yes they should get solicitor advice. But it's common knowledge in this country specific performance cases dont happen for house sales.

If a buyer pulls out after signing. The only way to make them complete is going through the courts. This could take a seller 2/3 years to get to the courts. So they will be stuck in thier house they want to sell. Also the buyer might not be in a situation to complete by the time it gets to court and your left having to pay your own legal fees.

So by law once there is a binding contract yes you are obliged by law to complete but the practicality of getting a person to complete when they dont want to makes it extremely difficult to enforce. The seller is nearly always better of walking away. You never hear of specific performance cases over house sales. Sometimes you may hear of commercial cases where the agreed prices was for millions and its worth the seller the time and money to fight over. I recall wicklow county council being ordered complete a contract to buy land at a price agreed to buy in the boom for millions. But for a standard house sale, its unheard of.

randoplh134

fisgon wrote: »

Any advice?

I have been looking for a few months and found a place I like in the last week. Don't have a mortgage approved yet, but it is likely that I will get one if I dot the eyes and cross the Ts.

The price is already very reasonable - I am in the west, well away from Dublin.

However, someone earlier said that you would want your head examined if you bought now, and I am wondering if that is true. Part of my income comes from a small business that will definitely be put on hold for the next six months, and the bulk of it is for teaching in Further Education which is vulnerable to a salary cut if 2011 is anything to go by.

At present I am paying a small rent (50% of future mortgage payment) in a shared house. I was and am ready to buy, but am scared sh1tless of how an economic collapse will effect me and everyone else. Any advice?

Hold off, you aren't in a rush to buy.

Wait it out for at least 6 months and your future self and bank account balance will thank you.

Gavin "shels"

Gavin shels wrote: »

Bit worried ourselves, approved two weeks ago and have only managed to get one viewing in. Can see all viewings in lockdown now for a few weeks, hopefully the banks extend approval.

Talking to an estate agent this morning and it seems it will be one person a time at viewings (logical idea). Tried called Ulster Bank on Monday about if mortgage approvals will be extended but gave up after being on hold for 45 mins.

awec

FutureGuy wrote: »

I’m trying REALLY hard not to stress out but our solicitor has not been in contact in 9 days now ever though the vendor has signed contracts 12 days ago and our solicitor now has them.

Is there any advice line I can ring. It’s scandalous that he hasn’t answered any texts or mails or returned calls in this time.

Is his office open?

Dav010

ittakestwo wrote: »

Yes they should get solicitor advice. But it's common knowledge in this country specific performance cases dont happen for house sales.

If a buyer pulls out after signing. The only way to make them complete is going through the courts. This could take a seller 2/3 years to get to the courts. So they will be stuck in thier house they want to sell. Also the buyer might not be in a situation to complete by the time it gets to court and your left having to pay your own legal fees.

So by law once there is a binding contract yes you are obliged by law to complete but the practicality of getting a person to complete when they dont want to makes it extremely difficult to enforce. The seller is nearly always better of walking away. You never hear of specific performance cases over house sales. Sometimes you may hear of commercial cases where the agreed prices was for millions and its worth the seller the time and money to fight over. I recall wicklow county council being ordered complete a contract to buy land at a price agreed to buy in the boom for millions. But for a standard house sale, its unheard of.

I absolutely agree with you, a seller will not litigate to force a sale to go through. But a buyer who walks away after contracts are signed can expect to forfeit their deposit and if one is not paid, prepare for some legal action to cover the sellers fees up to and including the signing of the contract. My response to your post was not in relation to the notion of a forced completion, it was to do with the poster’s statement that they could not afford to lose the price of the deposit. For that reason, the op would do well to ignore your advice to just walk away, and listen to informed advice from their solicitor who will be able to explain the terms of the contract and contract law more professionally.

Sheeps

Just got my mortgage approval from KBC for full exemption. Full steam ahead.

skooterblue2

randoplh134 wrote: »

Hold off, you aren't in a rush to buy.

Wait it out for at least 6 months and your future self and bank account balance will thank you.

Y'know the recession coming up is going to be far worse than 1929? It is all that unresolved debt is going to come to haunt them?

SteelyDanJalapeno

Have stalled on my purchase form the next month, will see where we are then, contracts currently need to be signed

thunderdog

thunderdog wrote: »

I submitted my mortgage application at the start of last week. It will be interesting to see what happens there. The bank originally said we should hear back in a few days-I imagine things have since changed quite a bit

I got the underwritten mortgage approval today so it took about a week for approval (for BOI). Given the current situation I thought it might take a lot longer than that. Now I need to have a think about what to do with the approval.

One side of me is thinking about waiting for a good number of months to assess the lay of the land then but on the other side I’m thinking that there may not be many properties for sale by then (currently only looking at second hand houses).

merikahan

Hey All,

I finally joined boards.ie after reading this thread since past few days.

I've put deposit for a new Build and I'm FTB. I've also got mortgage approved. I've sent solicitor details to the SA.per the SA, house will be ready for snagging in August/September.

Now, I am having second thoughts due to ongoing situation. I will wait for 2 more months before taking final call on whether to move ahead or drop the plan.

I am wondering at what point I can drop off without losing the deposit.

If I walk away after 2 months and my solicitor has done all the paper work but I haven't sign the contract - it doesn't feel good.

Dav010

merikahan wrote: »

Hey All,

I finally joined boards.ie after reading this thread since past few days.

I've put deposit for a new Build and I'm FTB. I've also got mortgage approved. I've sent solicitor details to the SA.per the SA, house will be ready for snagging in August/September.

Now, I am having second thoughts due to ongoing situation. I will wait for 2 more months before taking final call on whether to move ahead or drop the plan.

I am wondering at what point I can drop off without losing the deposit.

If I walk away after 2 months and my solicitor has done all the paper work but I haven't sign the contract - it doesn't feel good.

You can back out at any time and get your deposit back up until you sign the contract. Once that contract is signed, backing out may cost you your deposit. The solicitor is entitled to bill you for any work done on your behalf, even if you do not complete the sale. Whether they bill you or not is up to the solicitor.

Count Down

FutureGuy wrote: »

I’m trying REALLY hard not to stress out but our solicitor has not been in contact in 9 days now ever though the vendor has signed contracts 12 days ago and our solicitor now has them.

Is there any advice line I can ring. It’s scandalous that he hasn’t answered any texts or mails or returned calls in this time.

Not trying to be funny, but is it possible he's caught the virus? :eek:

setanta1984

Really can't decide what way to go with this now.

We've been looking for a house for over 12 months now, really want to get in to a place of our own at this stage of life (mid 30s) - we were messed around with a seller who strung us along for 2 months before pulling out and deciding they weren't going to sell after all. Collapsed a few weeks ago before all this kicked off.

Very little stock is available in our area, and just today a place has been newly advertised which looks very promising. With all this talk of it being "madness" to think about buying a house right now, I'm nervous if its wise to start viewings/making offers.
We really want to get somewhere bought sooner rather than later, fed up of renting and having our life on hold. Both our jobs are as secure as they can be I guess, and we're looking at spending well below what we are approved for, and deposit is ready to go too.

Right now I'm feeling like we should just barrel ahead as we were intending to, before all this started happening in the world - other than the possibility of house prices potentially dropping at some indeterminate time in the future, should I not just carry on?

NearlyForty

setanta1984 wrote: »

Really can't decide what way to go with this now.

We've been looking for a house for over 12 months now, really want to get in to a place of our own at this stage of life (mid 30s) - we were messed around with a seller who strung us along for 2 months before pulling out and deciding they weren't going to sell after all. Collapsed a few weeks ago before all this kicked off.

Very little stock is available in our area, and just today a place has been newly advertised which looks very promising. With all this talk of it being "madness" to think about buying a house right now, I'm nervous if its wise to start viewings/making offers.
We really want to get somewhere bought sooner rather than later, fed up of renting and having our life on hold. Both our jobs are as secure as they can be I guess, and we're looking at spending well below what we are approved for, and deposit is ready to go too.

Right now I'm feeling like we should just barrel ahead as we were intending to, before all this started happening in the world - other than the possibility of house prices potentially dropping at some indeterminate time in the future, should I not just carry on?

I’d say barrel ahead, if it’s what you really want go for it, as you may regret it if nothing turns up in the near future

We’re currently in the buying process too and we went sale agreed 2 weeks ago with our dream home and we have no intentions in letting it go just because of uncertainty with property market etc etc

We actually don’t care if house prices drop or interest rates, as we’re renting and what we’re paying now is astronomical in comparison to what our mortgage will be

Good Luck!!

guyfawkes5

Ning wrote: »

Different from 2008 - this coming recession is not fueled by a property boom.

This bears repeating - the 2008 recession had a couple of factors directly related to housing and was a protracted shrinking of the economy over a long amount of time.

While I think it is likely there will at least be a slow and relative decline in house prices in the coming year and possibly next, the figures I've seen in this subforum (20-30% drop by Autumn) have been ridiculous efforts of motivated reasoning - either by those hoping to personally pick up the pieces, or the strange types who view economies as morality plays punishing us for our wicked ways.

House price falls take a long time and the falls themselves usually require multiple integrated factors to push prices down.

Dolbhad

merikahan wrote: »

Hey All,

I finally joined boards.ie after reading this thread since past few days.

I've put deposit for a new Build and I'm FTB. I've also got mortgage approved. I've sent solicitor details to the SA.per the SA, house will be ready for snagging in August/September.

Now, I am having second thoughts due to ongoing situation. I will wait for 2 more months before taking final call on whether to move ahead or drop the plan.

I am wondering at what point I can drop off without losing the deposit.

If I walk away after 2 months and my solicitor has done all the paper work but I haven't sign the contract - it doesn't feel good.

Your solicitor will bill you for work the done which is fair enough. If you use a broker and don’t drawn down there might be a fee.

jrosen

We are 10% in and no backing out at this stage, we dont want too either. The location and house size is ideal for what our family needs.
But paperwork is slowing up, its hard to get end dates even though we have snagged and signed off. We should have closed at this stage but we have not. With offices at skeleton
staff and people working from home we dont have the contact we would have.

SpencerJC

Hi Guys.

I have been sale agreed for a number of weeks now, I am mortgage approved and the solicitors are now in conversation (even though it's slowed down a little given the current climate). The place is in Dublin, an apartment and the cost is 240,000 EU. I am happy with the place but given I am mortgage approved (provided the banks don't pull it) I can't help but think that similar apartments will go at a discount over the coming months. Even though I can close to signing, is it reasonable to go back and say given the circumstances, we'd like to negotiate the price further? I think given the circumstances a 5% reduction is fair as I would be taking on risk rather than waiting... Curious what people's thoughts are here? Thanks!!

ittakestwo

SpencerJC wrote: »

Hi Guys.

I have been sale agreed for a number of weeks now, I am mortgage approved and the solicitors are now in conversation (even though it's slowed down a little given the current climate). The place is in Dublin, an apartment and the cost is 240,000 EU. I am happy with the place but given I am mortgage approved (provided the banks don't pull it) I can't help but think that similar apartments will go at a discount over the coming months. Even though I can close to signing, is it reasonable to go back and say given the circumstances, we'd like to negotiate the price further? I think given the circumstances a 5% reduction is fair as I would be taking on risk rather than waiting... Curious what people's thoughts are here? Thanks!!

I think 5% is reasonable discount to look for given this unforeseen economic shock. If I was a seller I would be expecting a call and would take a 5% reduction.

If the seller is to stubborn/greedy to take a 5% reduction they will be probably be kicking themselves when back on the market and cant even get that price.

beauf

I like the way you picked 5% from nowhere as reasonable. Why not 20%

The seller could just go back to the list of offers and see if anyone will offer asking. If they don't then accept the 5% if they do then accept the full asking from someone else.

Or just pull it off the market and wait for the house that the seller is looking to buy drops.

combat14

beauf wrote: »

I like the way you picked 5% from nowhere as reasonable. Why not 20%

The seller could just go back to the list of offers and see if anyone will offer asking. If they don't then accept the 5% if they do then accept the full asking from someone else.

Or just pull it off the market and wait for the house that the seller is looking to buy drops.

Why not 30% - US stock market down down about a third and continuing to fall despite all stimulus measures to date

skooterblue2

combat14 wrote: »

Why not 30% - US stock market down down about a third and continuing to fall despite all stimulus measures to date

This housing market is a long way from the bottom. Give it 6 months and it will be a different perspective. We are going to have to suffer this virus for two years

beauf

combat14 wrote: »

Why not 30% - US stock market down down about a third and continuing to fall despite all stimulus measures to date

Took 4 yrs for property to drop line like that in the last crash. You reckon you'll get the same this time in a week. People who want to buy now aren't going to get that kinda discount. They are going to have to wait a while.

skooterblue2

beauf wrote: »

Took 4 yrs for property to drop line like that in the last crash. You reckon you'll get the same this time in a week. People who want to buy now aren't going to get that kinda discount. They are going to have to wait a while.

There are two things that are going on at the minute.
One is the Corona virus, while I am not a fan of it, its getting unfair blame for the current stock market. The Corona Virus is spark for the bonfire.
The Stock market was over leveraged with unresolved debt from the last recession. We just papered over the cracks, printed more money, forgave the banks and hoped for the best.
Now these two disasters are happening simultaneously. What do you think the outcome is going to be?

Pseudonym121

Well, I was planning to buy a new build in Q4 of this year but at this rate I expect to hold off for at least a few months more. The Coronavirus situation is going to be worse than the public seems to currently believe it will be and I think the overleveraging with unresolved debt of the stock market will also impact things.

Most importantly the SARS-CoV2 situation will not by fully resolved by wintertime so I expect everything to remain depressed till at least early next year ( albeit much more stuff open than currently is ). I don’t know how much house prices will fall but I’m certain they will so it seems prudent to me to try to take advantage of that fall by waiting a few months and getting the same house for a few percent less, and with lower interest rates to boot.

FutureGuy

awec wrote: »

Is his office open?

He is working for himself.

We called to the office space he rents yesterday they said he should be back today. We went back up there and he is working remotely apparently.

It’s 10 days now an is ignoring everything. Phone still off no answers to messages.

Is there anything I can do? He could easily tank this sale.

We want to send a strongly-worded mail but not sure what to say?

beauf

skooterblue2 wrote: »

...
Now these two disasters are happening simultaneously. What do you think the outcome is going to be?

I think supply of property will get worse as the market stalls. As there is a shortage. Rather than fire sale people will bunker down for the long haul. People and investment firms seem to have no problem leaving property empty for years. That will get worse.

Anyone selling up and getting out of being a landlord due to stuck in low rents, might decide is not worth selling, leave it empty and in a couple of years you can come back and get market rent and wait for property to recover before selling.

If I was buying and find the dream house id buy it. If I don't need a place and rent is cheaper than buying then I'd wait. Last time this meant no one could move . Everyone was stuck where they were.

Greentree_uk

ittakestwo wrote: »

I think 5% is reasonable discount to look for given this unforeseen economic shock. If I was a seller I would be expecting a call and would take a 5% reduction.

If the seller is to stubborn/greedy to take a 5% reduction they will be probably be kicking themselves when back on the market and cant even get that price.

I dropped my offer by 5% too. property prices will likely dip alot further but its a compromise situation, they take a hit and we will too but we can both move on, hopefully quickly. I doubt they want to go through viewings etc again, especially now with everything going on, if I don't get it we'll wait for the market to fully collapse, I haver already heard people dropping offers by 10% on new builds and flatly rejected. Mine is 2nd hand home