Offer to purchase question

[Daisy Cloudskitter]

She replied and said okay she understands but we better remember that she has been in the business for 20years and knows better than most.

^ Sounds like she knows exactly where to apply FOMO pressure and when, flitting between you & sellers with 'last chance' baiting.

I would be lying if I said I don't feel guilty about resorting to sneaky tactics to eventually get out of a sticky situation.

^She knows this very how to play on this after 20 years of 'I know better than most". Sad when you have to resort to playing the same games, but this thread is bound to help others be aware of the sort of shenanigans to look out for & get trusted advice before signing an OTP.

The gift that keeps on giving!

New mail from agent this morning:

Agent: "you can put in a new offer at lower price"
^Heh ! 20 years of 'I know better than most' exactly how to heap never-ending FOMO on both buyers & sellers.

 

[IzZzy]

Tempting indeed but we'd rather let it slide for now.

Seems like we didn't exactly sour the relationship with the agent or sellers like we thought we would.

So if we can't find find something else in the next week or two we will reconsider but definitely at a lower than original price.

Other mystery buyer suddenly disappeared it seems?

We are viewing the property 900m from kids' school tonight.

And we thought house hunting was going to be fun. It is tiring and stressful so far.

We took two years to find our "perfect house". Made 3 offers - with the last one sticking. House hunting is fun - it's when you realise people use macro (micro?) lens...

 

[themba990]

I signed an OTP last night. So far through the process the agent hasn't tried anything funny and when I asked if the seller would accept less she said she can only present them offers on paper, so in my mind she isn't trying to run up prices or force sales through.

Post some pictures

 

[Barbarian Conan]

Tiring, stressful and add emotional. We saw about 15 before getting the one we wanted. DO NOT let anyone push you its not an easy mistake to rectify if rushed

I looked for my first place for more than a year of slowly checking out places, getting a feel for prices and what's available.
And that OTP always feels like you're signing your life away.

The second place I bought in half a month. Very busy at work and had short notice to move out of the place I was living in. I just decided I never wanted to rent again and would rather just buy in a hurry than deal with that.

 

[Barbarian Conan]

Husband and wife seller... Busy getting divorced. Joint owners.

1st seller immediately accepted offer and signed. 2nd seller however played for time and was actually playing hard ball for a day or two. Late last night he informed the agent verbally that he wants R30k more. She conveyed this to us via a Whatsapp Message.

The gift that keeps on giving!

New mail from agent this morning:

Hi Buyers

I don't want to put any pressure on you at all but feel this is info I need to give through to you.
If you really want to, you can put in a new offer for X amount (same as our original offer) and both sellers will accept and sign immediately. Seller2 (the husband) confirms that he will accept and not try for higher amount"

Kind Regards

Agent

Well done on giving Seller 1 more reason to be pissed at Seller 2 during the divorce

 

[APoc184]

Well done on making giving Seller 1 more reason to be pissed at Seller 2 during the divorce

I feel for the wife because she is genuinely nice. She just wants to sell and get away. She is moving to Cape Town when the house is sold.

But one things is for sure. It is not a pretty divorce.
And that was evident even on the night we went to view the property. As well as the messages from the husband where he was playing hardball and sending snarky messages about when he will decide on signing. And ignoring her phone calls and messages for a whole day.

He seems a bit spiteful. And now he wants to backtrack and accept the original offer.

 

[Y'all Qaeda]

One of the things I will be doing going forward if I sign any Offers to Purchase in future, is adding a small addition to that clause of something along the lines "At an acceptable interest rate to the buyer" ... just leaves the door open to bail out at the last minute...

Tried that, the agent made us include an acceptable range in there. We just made it from prime -5% up to -4%, or whatever rate we deem acceptable.
Figured if we get a loan at prime -5%, well damn, fate must want to have the house.

 

[ToxicBunny]

Tried that, the agent made us include an acceptable range in there. We just made it from prime -5% up to -4%, or whatever rate we deem acceptable.
Figured if we get a loan at prime -5%, well damn, fate must want to have the house.

I would have no issue putting in a range that is automatic acceptance... but it would be a miracle to get that range (though not impossible), and have the option for acceptance outside that range at my discretion.

 

[Y'all Qaeda]

I would have no issue putting in a range that is automatic acceptance... but it would be a miracle to get that range (though not impossible), and have the option for acceptance outside that range at my discretion.

Yeah. After we did that, the estate agent wanted us to pay for the coffee

 

[APoc184]

So as first time buyers. What is a good rate to look at in current situations? We have a squeaky clean credit record and we are pre-approved at a bond originator for affordability of about R250k more than the price range we are looking at.

Does area of the property play a role at all?

And term of the loan if we perhaps wanted to only take a loan over 15 years instead of the standard 20 years? Can a better or worse rate be expected?

Edit: And how does one go about fighting for a better rate when quotes start coming in and you think they can do better? Leave that up to the bond originator?

 

[IzZzy]

So as first time buyers. What is a good rate to look at in current situations? We have a squeaky clean credit record and we are pre-approved at a bond originator for affordability of about R250k more than the price range we are looking at.

Does area of the property play a role at all?

And term of the loan if we perhaps wanted to only take a loan over 15 years instead of the standard 20 years? Can a better or worse rate be expected?

Edit: And how does one go about fighting for a better rate when quotes start coming in and you think they can do better? Leave that up to the bond originator?

The area and the price determine the risk factor as first time buyers. More risk, the higher the rate to compensate. My wife and I were first time buyers and got a 100% bond for the top end of our price range approved through our private bankers, and got prime less 1%.

The longer the term, and the higher the amount, the more the Bank stands to earn on interest, and the more flexible they could be. I would go with a 20 year bond to negotiate a better rate, and then just pay in early to settle over 15 years.

 

[APoc184]

The longer the term, and the higher the amount, the more the Bank stands to earn on interest, and the more flexible they could be. I would go with a 20 year bond to negotiate a better rate, and then just pay in early to settle over 15 years.

Makes sense yes.

Our cars will be paid off in the next two years as well and we were already planning to dump most of that extra cashflow into the bond as well when the time arrives.

And since mommy is permanently working from home now we want to cancel the after school care next year for both kids which will also free up extra cash. But we plan on using that to do some renovations and extras around the house. Maybe redo the kitchen or a bathroom in due time.

 

[maumau]

Makes sense yes.

Our cars will be paid off in the next two years as well and we were already planning to dump most of that extra cashflow into the bond as well when the time arrives.

And since mommy is permanently working from home now we want to cancel the after school care next year for both kids which will also free up extra cash. But we plan on using that to do some renovations and extras around the house. Maybe redo the kitchen or a bathroom in due time.

How old are the children?

 

[Snyper564]

Makes sense yes.

Our cars will be paid off in the next two years as well and we were already planning to dump most of that extra cashflow into the bond as well when the time arrives.

And since mommy is permanently working from home now we want to cancel the after school care next year for both kids which will also free up extra cash. But we plan on using that to do some renovations and extras around the house. Maybe redo the kitchen or a bathroom in due time.

also make sure you have a flexi/access bond

 

[APoc184]

What area are you looking in ?

Hi Semaphore. Sorry, somehow missed your reply.

Our centre of attention is Garsfontein. Of course looking around for anything within reach of Garsfontein Primary school. Furthest we would probably venture is Silverton on the mountain side.

 

[APoc184]

How old are the children?

4 and 7

 

[APoc184]

also make sure you have a flexi/access bond

Have read up about it a bit and it is certainly the option we will take.

I see you can select the option after bond approval and even registration. So it shouldn't be a deciding fact for initial interest rates at all, right?

 

[Snyper564]

Have read up about it a bit and it is certainly the option we will take.

I see you can select the option after bond approval and even registration. So it shouldn't be a deciding fact for initial interest rates at all, right?

sounds about right but makes a world of difference in killing interest and having access to the money

 

[APoc184]

sounds about right but makes a world of difference in killing interest and having access to the money

Yeah. Our goal is to pay off the house before our daughter is done with school. Many things can and will happen between then and now but that is our aim.

 

[maumau]

Have read up about it a bit and it is certainly the option we will take.

I see you can select the option after bond approval and even registration. So it shouldn't be a deciding fact for initial interest rates at all, right?

Not interfering but looking after a 4 and a 7 year-old isn't going to be easy on your wife while she's working from home.