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Woman Lost 40% On Quick Sale

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See http://www.telegraph.co.uk/finance/personalfinance/houseprices/10229522/I-lost-40pc-on-my-quick-house-sale.html

Having said on this forum the other day that many of these quick sale companies are just fraudsters - because they drop the price the day before the sale - I have to say that this woman does not seem to have been done. They didn't suddenly drop the price when she was financially committed to the sale - they just told her as the house hadn't sold in 10 weeks, they would buy it from her for a lower price.

Clearly, this was accepted by her to lower her stress levels, and there is a place in the market for a quick sale at a low price, as long as everything is clear and upfront to begin with.

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See http://www.telegraph.co.uk/finance/personalfinance/houseprices/10229522/I-lost-40pc-on-my-quick-house-sale.html

Having said on this forum the other day that many of these quick sale companies are just fraudsters - because they drop the price the day before the sale - I have to say that this woman does not seem to have been done. They didn't suddenly drop the price when she was financially committed to the sale - they just told her as the house hadn't sold in 10 weeks, they would buy it from her for a lower price.

Clearly, this was accepted by her to lower her stress levels, and there is a place in the market for a quick sale at a low price, as long as everything is clear and upfront to begin with.

So this moron agrees to sell house cheaply to hurry up sale, then moans they didn't pay her enough?

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mis buying scandal .

Actually not! The article said she had inherited the house! Maybe you would want to sell an inherited house, that you had no need for! :blink:

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See http://www.telegraph.co.uk/finance/personalfinance/houseprices/10229522/I-lost-40pc-on-my-quick-house-sale.html

Having said on this forum the other day that many of these quick sale companies are just fraudsters - because they drop the price the day before the sale - I have to say that this woman does not seem to have been done. They didn't suddenly drop the price when she was financially committed to the sale - they just told her as the house hadn't sold in 10 weeks, they would buy it from her for a lower price.

Clearly, this was accepted by her to lower her stress levels, and there is a place in the market for a quick sale at a low price, as long as everything is clear and upfront to begin with.

You obviously have some vested interest in property sales, why not explain where you fit in to this story so we can all make a fair judgment of you?

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Yes, the story is very contentious regarding the alleged "40%" drop. This was based on the valuation of the quick sale company, from which they applied a 25% discout, then a further discount later on although it appears they did not stick to their word regarding the original sale price of 25% off valuation.

Bottom line is, if you think you can better it, look in the market. Did they advertise their house for sale at the price offered by the quick sale company to see if there was wider interest? (I presume it was lower than the asking price).

As an inherited property it seems like they are being a bit greedy. Were their initial expectations even remotely reasonable? Did they do it up for sale as it was presumably in need of updating? The comment about ongoing costs being a problem which forced them to look to a sell quick outfit suggests they didn't necessarily have the money to spend to do it up.

Anne Baker had been trying to sell an inherited property in Yorkshire for more than a year when she and her husband, Colin, turned to a firm that specialised in quick sales. The company, Gateway Homes, valued the property at £100,000 and offered to sell it within two weeks for a sale price to the couple of £75,000.

“We thought that was fair, as they took the legal costs and the hassle of selling off our hands,” says Mrs Baker, 57. But 10 weeks later the property had still not been sold, and the price was lowered to £60,000.

“The house was costing us in insurance and council tax bills, so we reluctantly accepted their offer and we completed within two days,” says Mrs Baker. “We were lucky that it wasn’t our main home, but the process was very stressful. I was ringing them at least once a week. We were disgusted with the way we had been treated; I certainly wouldn’t recommend it to anybody.”

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'But in extreme cases, homeowners were seeing up to 53pc lopped off their home’s market price and were losing tens of thousands of pounds to unscrupulous companies, the watchdog added. '

One has to laugh.

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Is it safe to presume that she wouldn't have complained if they'd paid her 40% above the 'market price'?

Sometimes,I'm genuinely astounded how dumb people can be.

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Losing £40k she didn't have before isn't really a loss at all and that is assuming a greater fool would be paying her 100% of asking on a damp house requiring a complete rewire.

Paying out £100 a month in council tax and insurance was putting pressure on her to make a fast sale, really?

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So there are some sales at the real value of the house. I bet none of them are included in the Land Registry monthly report as they would doubtless be deemed to be "not representative of the true market value".

Edit: The true market value of a house is what you can get for it in the required time scale.

.

Edited by Bruce Banner

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Isn't the point of a quick sale company that you are going to take a hit on the price for a quick sale? Whilst what is a "fair" hit is open to debate clearly you aren't going to get the market asking price. Although if these companies are over complicating the purchase process this needs to be addressed so that individuals can make a rational decision over selling. The free market is meant to function on transparency.

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Isn't the point of a quick sale company that you are going to take a hit on the price for a quick sale? Whilst what is a "fair" hit is open to debate clearly you aren't going to get the market asking price. Although if these companies are over complicating the purchase process this needs to be addressed so that individuals can make a rational decision over selling. The free market is meant to function on transparency.

Offering an attractive amount and then negotiating it down sharply in the final days before completion, as the vendor becomes more committed, is, in my experience, pretty standard practice in the sale of businesses. Caveat emptor.

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Not sure why they are complaining, they must be loaded to so casually give away 25k just to save the hassle of selling the house normally.

The weird thing is the company wasn't even buying it from them, it was selling it for them. So it's an estate agent, with massive fees, that promises to get you less than the house is worth !!

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