Dawn-D

Hi all

For all of you who have ever suffered stress in selling your houses due to the worry of if your buyer is going to go through with the purchase then this may interest you.

I was looking at the e-petitions section on the 10 Downing Street government website and found that someone has started a petition to make house selling/buying legally binding once an offer has been placed and accepted

As I'm currently nervously awaiting an exchange on my house and have been in the position previously where a buyer pulled out on the day of exchange after I'd waited 3 months :curse: I think it would be great if the government introduced this law. So anyone else feeling the same, here's the link:

http://petitions.pm.gov.uk/propertycontract/

Expats can also sign petition

Dawn

JAJ

Problem then is that you have to do all your survey and legal work before making an offer, which then may or may not be accepted.

Or offers could still be withdrawn on certain bases (survey, financing etc).

Dawn-D

The legal work is carried out once an offer is accepted

If you are a serious buyer you would find out if you can get the finances before making an offer - at least we did when we purchased 2 previous properties, otherwise how do you know how much you can afford.

What is the point in the seller paying out on HIPs waisting between £250 - £500 on something that no-one bothers looking at

At the bottom of the petition in more information it does request to implement a system like that in Scotland to stop time-wasters - it seems to work in Scotland!

Personally having been through the heart ache of wasting 3 months only for a buyer to pull out in the past and now on this sale my whole Australian future depends on whether I get an exchange on this sale then I can't see a problem in the petition

If it happened here like Scotland I could now be booking the shipping, completing my dog export, securing my rental in Qld and have booked my flights whilst all the legal work is being done. Even if I were just moving down the road at least I could have the confidence to offer on a house without the worry of if my buyer would be pulling out and breaking a chain - now where's the problem in that

Dawn

JAJ

Does it?

Dawn-D

Does it? referring to what? Say further info at the bottom of the petition or my comment on it working in Scotland?

The info from the bottom of the petition i've copied for you:

More details from petition creator Home Information Packs are costly and ineffectual as a means of speeding up the home-buying process and had a hugely detrimental effect on the housing market, well before the 'credit crunch' took hold. Energy Performance ratings are useful, but should be voluntary. Far better to implement a policy similar to the Scottish system, where buyers and sellers are legally bound once an offer has been accepted. This would restrict the number of time-wasters and should speed up the process.

And obviously in Scotland they don't have to go through the same experience that I had to as it's legally binding on acceptance of offer therefore not giving people the opportunity to pull out

Dawn

steveandtina

Hi Dawn I've signed and think it will help buyers as well as sellers the way its done in Scotland is fair.

As for the HIP what a waste my EA has told me not one buyer has asked to look at them. And the searches we had on the have run out so got to have them re- done

Advice to anyone selling use a solicitor that offers insurance. We paid 39 quid for the insurance and we have had 2 sales fall through so saved us loads

I'll copy the link and post it on another a few other forums if thats ok with you?

tina xxx

Dawn-D

Hi Tina,

Thanks for your comments, I'm glad someone appreciates my reasons for posting the link

Yes feel free to add it other forums, the more that sign it there may be a possibility of a change for the better

Dawn x

Fly Away

I think it would be a great idea. This sort of system works in Aus too. I am not too sure of the Ozzie system but I think that both the the buyer and the seller are contractually obliged to proceed after an agreed point, (say the completion of a satisfactory survey) I'm sure someone in Aus will be able to explain properly.

I see no reason why we couldn't have a similar system in the UK. It would protect buyers and sellers alike. No gazumping and no pulling out after a certain mutually agreed point . Obviously it would need to be carefully considered and set up to reflect the requirements of the UK. I have a hunch that the HIP was supposed to pave the way for such a system but the requirement to have a survey as part of the HIP was scrapped. It does seem to make sense that the buyer is presented with the searches, land registry etc so they don't have to wait for this sort of thing.

Thanks for the link Dawn.

Nickie

Ive signed it too, ive heard of people putting in an offer and then just before its all due to exchange, chuck in a much lower offer!!! :curse:

I fully support this petition.

Nickie

nickywes

I have signed too. It is just not fair knowing that buyers can pull out on the day of exchange.

Dawn-D

Thanks guys

Just wanted to post the link to give people the option of looking at it if it was something that effects them too! It wasn't a debate for us JAJ leave the debating to parliament in trying to change the law regarding this

Dawn

Centurion

The system here in Australia is probably similar to what you have described. Simply you put your offer in writing and once the vendor countersigns and accepts its binding.

However - the agreement can be subject (and usually is) to finance, survey and pretty much anything else the buyer wants to put in the offer. Its up to the vendor to accept it or not.

Sure, the systems easier but it just as easy to pull out as you can say "sorry didnt get the finance" or "the survey wasn't satisfactory".

I'm not debating it btw, since principally I don't really give a crap what the process is anymore in the UK, just drawing a comparison to our system.

NikiL

Thanks for posting the link Dawn - it sounds like a good idea for those still stuck in the selling loop, especially now gazumping has taken hold again.

I gather from my Scottish colleagues their system works quite well, so anything that mirrors that can't be bad.

Nice post for the information, thanks

isgraham

I have no problems as long as it stops vendors upping the price at the last minute during the good times.

Laights

Hi Dawn,

Good post, I have signed it, why shouldn't we have a better system and signing a petition is one way of showing the government that we are unhappy, whether they do anything about it is a different matter.

Lisa