Ash4781 Posted April 6, 2011 Share Posted April 6, 2011 Second time (two different houses) after losing out in a bidding war their chain has collapsed. Apparently in both cases the a surveyor within the chain undervalued the property. In the first one they had to hastily arrange a cash buyer but that chain was much longer. Anyone else had this? It sounds like someone in these chains is over valuing their equity Quote Link to comment Share on other sites More sharing options...
silver surfer Posted April 6, 2011 Share Posted April 6, 2011 Second time (two different houses) after losing out in a bidding war their chain has collapsed. Apparently in both cases the a surveyor within the chain undervalued the property. In the first one they had to hastily arrange a cash buyer but that chain was much longer. Anyone else had this? It sounds like someone in these chains is over valuing their equity Happening all the time. I've positioned myself with EA's in my search area as someone who can step in with a cash offer and salvage a collapsing chain, problem is so have other potential buyers and so far they've been prepared to outbid me. But twice this year I've been phoned by an EA and told there's an "opportunity". Be patient, it's grinding down, slowly at the top, more quickly at the bottom. But down is still down. Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 Second time (two different houses) after losing out in a bidding war their chain has collapsed. Apparently in both cases the a surveyor within the chain undervalued the property. In the first one they had to hastily arrange a cash buyer but that chain was much longer. Anyone else had this? It sounds like someone in these chains is over valuing their equity Yes, had it last year. Surveyors always tend to take 5-10% off the purchase price as the valuation is only for the bank/building society to decide on the LTV. I would suspect the surveyor hasn't undervalued the properties. Sales collapse for all sorts of reasons including people who can't afford the stamp duty because they were unaware of having to fork out 4% on top of the agreed price. Trouble is these are the clowns who get you into the bidding wars. The ones without the money Quote Link to comment Share on other sites More sharing options...
Lepista Posted April 6, 2011 Share Posted April 6, 2011 Happening all the time. I've positioned myself with EA's in my search area as someone who can step in with a cash offer and salvage a collapsing chain, problem is so have other potential buyers and so far they've been prepared to outbid me. But twice this year I've been phoned by an EA and told there's an "opportunity". Be patient, it's grinding down, slowly at the top, more quickly at the bottom. But down is still down. Now that, SS, is a cunning plan Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 (edited) ... someone who can step in with a cash offer and salvage a collapsing chain... Be patient, it's grinding down, slowly at the top, more quickly at the bottom. But down is still down. We had someone who wanted to step into our chain last year, trouble was that they weren't offering £40K less than the people who collapsed the chain which wasn't of much use as the people we were buying off weren't moving on price. I'm amazed any sales are made at the moment. We were only moving out of desperation to get into a school, and it looked like costing so much that an independent education for our two kids would have been cheaper with a loft conversion thrown in. Amazingly, we got into the school we were intending to move for, so saved a fortune. And now have no intention of moving. Only the desperate are buying/selling at the moment. Edited April 6, 2011 by arrgee1991 Quote Link to comment Share on other sites More sharing options...
blackgoose Posted April 6, 2011 Share Posted April 6, 2011 I have noticed chains collapsing at the moment also. Only the lawyers are enjoying it as they get paid several times for the sale of the same house. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted April 6, 2011 Share Posted April 6, 2011 I have noticed chains collapsing at the moment also. Only the lawyers are enjoying it as they get paid several times for the sale of the same house. The entire system is absolutely insane. And has been for far, far too long. :angry: Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 I have noticed chains collapsing at the moment also. Only the lawyers are enjoying it as they get paid several times for the sale of the same house. The law is a great profession. Totally recession proof. Limits on entrants. Highly lucrative. Now why didn't I figure that out 30 years ago Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted April 6, 2011 Share Posted April 6, 2011 Some chains might be collapsing now because a FTB might have pulled out to wait for the First Buy Scheme. Quote Link to comment Share on other sites More sharing options...
tahoma Posted April 6, 2011 Share Posted April 6, 2011 Chains were hard enough to hold together when the market was going bonkers. Imagine it now. I am so glad I sold my house when I did. Still took a year. Quote Link to comment Share on other sites More sharing options...
exiges Posted April 6, 2011 Share Posted April 6, 2011 (edited) Chains were hard enough to hold together when the market was going bonkers. Imagine it now. I guess, but then there are the STR crowd who haven't learned the value of money and are hot to trot without a chain. That's who I sold my house to. Edited April 6, 2011 by exiges Quote Link to comment Share on other sites More sharing options...
Si1 Posted April 6, 2011 Share Posted April 6, 2011 I guess, but then there are the STR crowd who haven't learned the value of money and are hot to trot without a chain. That's who I sold my house to. that brings a warm glow to my heart reversion to the mean, in investment parlance Quote Link to comment Share on other sites More sharing options...
Si1 Posted April 6, 2011 Share Posted April 6, 2011 The law is a great profession. Totally recession proof. Limits on entrants. Highly lucrative. Now why didn't I figure that out 30 years ago I'd have done law except I just don't have the aptitude! Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 Chains were hard enough to hold together when the market was going bonkers. Only house purchase I had with no grief was my first - me buying, him selling and that was it. One collapsed on me last year due to fertility issues (I kid you not), and when I bought current house, sellers were a total pain. It got so stupid with them wanting to know everything my buyer was doing, I just put them in touch with each other. They even had tea together! Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted April 6, 2011 Share Posted April 6, 2011 The law is a great profession. Totally recession proof. Limits on entrants. Highly lucrative. Now why didn't I figure that out 30 years ago because for many lawyers, it isnt true Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 I'd have done law except I just don't have the aptitude! So many aspects to law that you would find some lucrative niche without too much aptitude. Always 100s of jobs available. Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted April 6, 2011 Share Posted April 6, 2011 because for many lawyers, it isnt true What isn't true? It is lucrative, it does limit entrants, and in recession often creates more work. Only times I have ever had to deal with lawyers is when people are being made redundant. Quote Link to comment Share on other sites More sharing options...
Killer Bunny Posted April 6, 2011 Share Posted April 6, 2011 The law is a great profession. Totally recession proof. Limits on entrants. Highly lucrative. It is c 10,000 over employed now. Watch firms go out of business and layoffs to come. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted April 6, 2011 Share Posted April 6, 2011 What isn't true? It is lucrative, it does limit entrants, and in recession often creates more work. Only times I have ever had to deal with lawyers is when people are being made redundant. lawyers go bust, they suffer bad debts and many are arrested for crime using clients accounts for their own use. Indeed, in many housing frauds, the lawyers are an integral part of the fraud. Quote Link to comment Share on other sites More sharing options...
The Masked Tulip Posted April 6, 2011 Share Posted April 6, 2011 I don't know about collapsingchains but I am seeing loads of SSTC coming back available almost daily on RM. Quote Link to comment Share on other sites More sharing options...
winkie Posted April 6, 2011 Share Posted April 6, 2011 Only the desperate are buying/selling at the moment. Quote Link to comment Share on other sites More sharing options...
Mildura Posted April 6, 2011 Share Posted April 6, 2011 I have noticed chains collapsing at the moment also. Only the lawyers are enjoying it as they get paid several times for the sale of the same house. There is very little money is residential conveyancing. Quote Link to comment Share on other sites More sharing options...
STRboomer07 Posted April 6, 2011 Share Posted April 6, 2011 I guess, but then there are the STR crowd who haven't learned the value of money and are hot to trot without a chain. That's who I sold my house to. Surely not. Patience is needed, 12 months from now could be very interesting, if the impatient ones have already spent their pot of brass I recon the rest of us will be finding the bargains (and the FTB's I hope). Quote Link to comment Share on other sites More sharing options...
man o' the year Posted April 6, 2011 Share Posted April 6, 2011 I find the fact that chains are falling through reassuring. The other half and I went to gaze longingly at one of our two most desired properties today. It failed to sell at auction and was taken off the market. :angry: The other one came down £10k today. The 4th time it has had its price reduced. Our offer was refused back in October but she still has 15% to come down the that level. Quote Link to comment Share on other sites More sharing options...
Barb E Dahl Posted April 6, 2011 Share Posted April 6, 2011 Second time (two different houses) after losing out in a bidding war their chain has collapsed. Apparently in both cases the a surveyor within the chain undervalued the property. In the first one they had to hastily arrange a cash buyer but that chain was much longer. Anyone else had this? It sounds like someone in these chains is over valuing their equity We're FTBs and our chain has just collapsed ...our fault. We've just forked out a grand so far and found out that the property we were planning to buy is full of asbestos! So we'll have to wait to raise that £1000 again before looking for another property. The whole buying/selling system is so dated, doesn't make it easy. Quote Link to comment Share on other sites More sharing options...
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