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Delays caused by Buyer - should we trust them?


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Hi, 

Just looking for some advice on a situation we have unfortunately landed in after a very smooth first few weeks.

To put you in the picture.

We have a property (a flat) which we found a buyer almost instantly. The buyer is a well known property buyer in the area with an extensive portfolio and happens to also be the man in charge of managing the block of flats (the managing agent)

He offered us a good price and was unsure whether he would either set it up on a buy-to-let mortgage or would use cash from his many properties he is selling currently (one being a 2.3 million house in London.)
We then set out to look for a new house, which we did, and an offer was accepted by the Vendor. On we went to our Mortgage Advisor who set up our mortgage and the agreement was sent over to our solicitor along with the fixtures and fittings forms and a cheque for the searches to go ahead.
Our solicitor has had contact from our Vendor's solicitor and also our Buyers Solicitor and everything was seeming to go ahead for a very smooth transaction to exchange.

HOWEVER:

We now have had a call from our buyer, he has said that his mortgage broker has been doing the rounds to source a buy-to-let mortgage however new rules have come into effect where lenders are struggling to offer people who have several (or lots in our guys situation) existing buy-to-let mortgages any further mortgage offers as it imposes greater risks.
Our buyer then went on to say he is still keen to buy but he hasn't got the cash to hand right now to put down the full total property value but will do when the property he is selling in London (worth 2.3 million) has gone through.
Our buyer has advised me it is my choice what I do, I can either put it back on the market or I wait and see what happens with his purchase of the property he is selling (he also has another smaller property in France which he is also selling as we speak) BUT he cant guarantee timescales or that it will definitely happen until the money is in his hands as anyone his end could also pull out or cause delays at any time.

Where do I go from here, its gone from having no chain to alot of uncertainty...

Of course I will tell the people we are buying from but is this a normal thing and am I worrying unnecessarily? 
We have only paid the solicitor search fees (£225.00) and also the survey for the house which was £175.00 so we havent lost out on LOADS but I am just concerned that the couple we are buying from wont want to hold out (they have a property to move into which is empty so I dont think there is LOTS of pressure to move ASAP - but of course I dont want it to be dragged out for them too much as its not fair) 

Any help or advice would be most appreciated.

Thanks

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To be honest, it's not mortgage advice that you need here but I assume that you are entitled to go and put the property back on the market - explaining to the property developer that you don't want to lose your property.  If he has a portfolio of properties, it shouldn't have come as a surprise that many lenders now want to reduce their risk and only deal with a portfolio of less than 4 properties.  

 

It is something that will become more of an issue as many lenders are refraining from entering into further lending with those who hold large portfolios as it presents too much risk for them so many lenders will opt to reduce their offering.

 

Good luck with your decision - you could wait it out and it may all go through shortly.  There's no crystal ball, unfortunately, but you have to go with what you and your partner think is right for you.

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