I need to sell, but I haven’t found anywhere to buy yet
This is a common dilemma for most sellers. It’s a bit chicken and egg, but don’t worry it’s a completely normal feeling.
The difficulty is without a buyer for your home, it can be tricky to get an offer accepted on the new home for a few reasons. If you achieve less than expected, it could impact your affordability resulting in having to reduce your offer. Secondly, how long is it going to take you to find a potential buyer? We all like to think this will be a quick process, but in most cases, this will vary.
So, on paper, you’re in a less desirable position and you are going to have to try and make your offer as compelling as possible. Usually, this involves offering over the odds in a bid to secure your dream home. If you find yourself in this situation, you’re now on the clock to sell your property, which will then force you to accept an offer lower than you’d like. In this scenario, you’ve now overpaid and undersold which could cost you thousands of pounds.
A common situation a buyer may find themselves in viewing properties is that are struggling to have their offer accepted as they have an incomplete chain, especially if there is some competition. The most recent example I can share with you is, we recently had three offers on a house that was on the market for £675,000 - £700,000 with the offers ranging from £680,000 and £700,000. The lowest offer was from a complete chain buyer, one from someone not on the market and the other had just gone on the market. Although we had the higher offers, the seller decided to accept the lowest offer due to their position, as they needed some certainty things were moving forward.
On the other hand, if you have a buyer and are in a proceedable position, it now gives you far more leverage. You know exactly what your budget is, you can work towards timelines and depending on the market conditions will have more ability to negotiate. That’s great, but aren’t I going to get forced out of my home? No. Part of the job of your estate agent is to make it clear to a potential buyer of your position, keep them informed of progress, and manage timelines. You’ll find in most cases, if everyone is on the same page from the offset, the majority of buyers will have no issue waiting while you find something suitable.
If you’re reading this and find yourself unsure of what to do next, contact one of the team today and we’d be happy to chat through your concerns.
