So, you’ve been on the market for a couple of weeks, you’ve had a number of viewing’s, but this is your first bite, your first offer. Before you get too excited and crack open the bubbles, let’s take a step back and think about the questions you should now be asking your agent.
Recently we were at a dinner party, and (is it just us or does property ALWAYS come up in conversation at some point?) the conversation started with, “guess what! I’ve accepted an offer.” FANTASTIC news! we thought… Until we dug a little deeper. Naturally the first question we asked was “is there much of a chain?” *
*Chains aren’t a bad thing and keep the property market in motion, but it is so important to understand how many links or potential complexities are involved in any chain before accepting or rejecting an offer. Remember every extra link is an additional risk.
To our shock, Silvia** had no idea, she didn’t know if there was a chain, she didn’t know how the purchase was being funded, nor did she know about any timescale expectations.
"This is the bare minimum amount of information we would expect to receive before we agreed a sale" - Says Abby Wheeler, Director.
Silvia** has since reported that after talking to her agent (not in our selling area) it’s been confirmed there is indeed a three-link chain, with a buyer in rented at the bottom (who has a tight deadline!) thankfully, Silvia thinks she can make this work, but hadn’t originally factored in this deadline, so the pressure is on.
If you are selling, the key questions you must ask (if not volunteered by your agent) are –
What is my buyer’s position and is there a chain?
How is my buyer funding the purchase?
Have any timelines been discussed?
To elaborate a little further, below are the reasons these are important -
We have navigated some very complex chains in our time, and some easy ones - It’s luck of the draw! It’s important to understand how many links are in the chain, how progressed they are, and what types of property are being sold.
Cash from sale, cash in bank, cash in stocks, and an Agreement in Principle are all funding options, and all have their complexities. Trying to establish as much information as possible regarding the source of funds is vital to understanding realistic timescales and evaluating potential risks.
Timelines are so very important, be it a tenancy ending, a baby due or a new job position looming - inevitably someone in the chain will have a timeline expectation. Whilst not every date can be accommodated, it’s so important to know these expectations from the very beginning so you can tackle any issues head on, and not leave yourself in a frantic hurry.
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