Hi, can anyone give me some advice?
We recently have agreed to buy a house. We waived the right to a cooling off period and paid a 10% deposit and signed a contract of sale.
My wife is now getting cold feet and wants to back out of the purchase. Our settlement date is not for another 6 weeks. If we did back out now how much would be liable for? Are we going to lose the 10% or more/less?
Thanks in advance
I didn't sign it, my conveyancer did.
He did explain to you before he aigned right? Ao you are now locked in.
You must bw a first home buyer?
Agent love people with 66w as that is a 100% sale.
Yes she did explain, yes I am a first home buyer.
So I know there were other people who offered 5k less than me, so if I do pull out and they sell to one of those people the will I just be liable for the difference and any legal costs?
I will ask my conveyancer in the morning but just wanted to check here first.
@onetwothree:
If they are willing to pay only 5K less then you are the lucky one.
10% for sure + legal cost + the different.
I am not 100% sure as I am not a conveyancer.
Never try to use 66W in the current market and just curious why you are putting 66W in? it is the part of the offer to win the deal before going to Auction?
@onetwothree: that is what we being advice at the time we go with 66W path, my conveyancer told me this is one of the worst case , but they need to sue you to enforce you to pay. Which this can take a while but your chance of winning is slim as Australia property is slide on the seller side.
Good lucky and please update me tomorrow after talking to you conveyancer.
You're experiencing buyer remorse. To be really honest, if you did your homework and are comfortable with paying the mortgage, the remorse will go away, we experienced the same thing when we bought our place.
5k in a grand scheme of buying a house is really nothing.
Its not about 5k, it's just a change of mind about the house/area.
righto…
I don't understand how you would think I would be changing my mind because my offer was 5k more than the next highest? To buy a house you usually have to offer more than anyone else…
Normally, for a house, you need to be really sure before you plonk your money on the table.
So your comment of 'just a change of mind' seems…a bit flippant, like you didn't actually think things through.
It's an expensive change of mind.
@djmatt24: I agree, like I said my wife is getting cold feet, I think once we move and get settled she'll change her mind.
@onetwothree: some people think offer more than others people means you over pay for the house and therefore want to pull out. It's worry that many of my clients have :-)
@tomleonhart: I can assure you that is not the reason for my wife changing her mind but can understand why you might think so. I think I've convinced her that everything will be OK when we move.
If you've signed the contract and paid the deposit, it is going to cost you a pretty penny. That's why the contract is signed, to ensure both parties are going to go through with it. If the contract is broken, then the party doing the breaking pays up.
So if we did decide to back out of it would it be better if we settled the property and then tried to sell it straight away?
Not in NSW, stamp duty is quite expensive and will be money wasted.
Suck it up, you made a decision, now have cold feet. Try to make a go of it and reconsider in no less than 18months, unless you want to convert it to an investment property and rent where you live.
Suggest to your wife to move in for a year (no CGTax), then sell it and try again. Chances are you wife will stay put.
I actually did say that to her last night, that's what worked I think. I'm sure she'll be OK after we've moved in, met the neighbors, enrolled kids in school etc
Have you get the result from your solicitor?
I didn't contact them as I thought my wife had changed her mind but now it's looking like she's even more serious about not moving. I am going to contact my conveyancer soon.
@LoveBargain15: we're thinking about renting it out instead of living in it to try to minimise any loss.
Yes or start saving for another house and keep that one as a rental.
If you are handy, consider to renovate it then flip it.
Would only really end up in profit, if you got it for a good price and there are areas worth renovating.
Have you signed a 66W?
If yes northing you could do unless you are will to lose the different if the house sell forca cheaper price.
Normally if there is a cooling off period you are only paying for 0.25% for the firstv5 business day then if you dont want it you lose it.