Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
Music.
(00:11):
Welcome to this Fall to Arash to the Crazy House Prices podcast.
I'm your host Ciarán McQueen and today I'm diving into a comprehensive guide
on how to avoid delays and prevent your house sale or purchase from falling through.
So make sure to follow me on Instagram at Crazy House Prices for more updates and tips.
I have an outrageous amount of content over there. Right, so first there will
(00:33):
be a 60 second ad and then we will get started.
I just want to pause the podcast for a
moment to talk to you about a company called beat the bank
so the stress of organizing mortgage protection just
got a whole lot easier with beat the bank.ie this amazing irish
company offers the guaranteed lowest price for mortgage
protection in the country and it's not just for first-time buyers
(00:55):
you can switch your own mortgage protection anytime and
enjoy the benefits of their market leading discounts i
along with hundreds of my instagram Instagram followers have used
beat the bank and the feedback has been amazing over the
last 12 months with their 100% end-to-end digital
experience quoting and applying for mortgage
protection has never been easier you can get a quote in
(01:17):
seconds and apply in minutes without the hassle of
unwanted sales calls or any paperwork so visit
beatthebank.ie today and protect your mortgage with
ease and peace of mind beat the bank saves you time and
money on mortgage protection whether you're a first-time buyer or looking
to switch they've also just launched income protection and
life insurance on the site too and if you have a house or
(01:38):
renting and i'm planning to buy you need to consider protecting your
income so check out beatthebank.ie now back to
the podcast so today as i said
i have a detailed discussion about common reasons
why house sales fall through and how you as a.
Buyer or seller can proactively avoid these pitfalls or at least be prepared
for them so this episode is based on two really good documents my own one being
(02:02):
reasons why house sales fall through and a newly released document from the
Law Society of Ireland and the SCSI called speed up your property sale.
A guide to avoiding the most common delays i will
link to both of them in the episode description the
law society document is fantastic i definitely
recommend downloading it it's really well laid out it's
(02:24):
nice and clear it's easy to understand but anyway let's start
with an overview of the common reasons why how sales
fall through so number one structural issues so
if a structural survey reveals problems such as
subsidence damp or rot the buyer may withdraw their
offer this is one the most common reasons a sale
might fall through nobody obviously wants to invest
(02:46):
in a property that has significant issues which could
be costly to fix it may also result in
a bank not giving a mortgage on it uh number two a
chain collapse this is probably the other most common one
so in a chain of property sales if one sale falls through
this can obviously affect the whole chain and cause
an a domino effect of sales collapsing so it
(03:07):
can be obviously incredibly frustrating for everyone involved as each
sale is dependent on the others completing successfully number
three is mortgage issues so buyers failing
to secure a mortgage is a really common issue this can
happen if there are problems with the mortgage application if the lender requires
more documentation or like we're seeing now rising interest rates even though
(03:27):
they're starting to come back down they can impact the buyer's borrowing capacity
so without financing obviously the sale can't proceed so So this is why sometimes
you'll see homes advertised for cash buyers only.
As I said in the previous thing about structural issues, because some homes
just might not be mortgageable, if that's a word, as in a bank wouldn't lend
on it for whatever reason or structural title issues, etc. Number four is gazumping.
(03:49):
This occurs when a seller accepts a higher offer from another buyer after already
accepting an offer and this can leave the initial buyer then being just totally
betrayed and cause them to pull out of the deal.
In my opinion it should be illegal and we should have a sale agreed contract
but that's a topic for another day.
Five then are legal issues so problems can arise during the conveyance and process
such as plan and permission issues, disputes over boundary lines or complications
(04:13):
with leasehold properties.
These can be difficult to resolve and may cause the buyer to back out.
Leasehold and freehold is a whole other issue that would
probably require its own podcast number six then survey
issues so if a survey reveals problems with the
electrics plumbing or roofing the buyer might withdraw their
offer or try and renegotiate the price and this can be a deal breaker for many
(04:34):
buyers especially if the issues are severe number seven could be a change of
circumstances so a change in the buyer circumstances such as job loss divorce
or illness this can obviously then affect their ability to afford the property
or might need to look at something else.
It can also be an issue with mortgage protection.
So if they haven't got mortgage protection organized in advance,
(04:56):
they go sale agreed and then they realize they might not be able to get mortgage
protection, usually down due to a health issue.
Well then if they can't get an exemption, then that can cause the sale to collapse as well.
Number eight then would be the property condition.
So similar to the survey, the buyers might be put off by the condition.
Maybe it didn't look like
in real life what it did like what it did in photos or maybe
(05:16):
they just don't like the neighborhood or heard something bad about it or
the neighbors and that can lead to them withdrawing their offer nine then
could be environmental issues so concerns about flooding or
pollution can also be a deal breaker especially if they make
the home uninsurable if you can't get home insurance then
the bank won't give you a mortgage on it number 10
lenders delaying releasing funds so if
(05:36):
there are issues with the mortgage application or if the lender requires additional
document documentation or checks this
can delay the process and rising interest rates can
also uh contribute to this problem number 11
valuation discrepancy so if the sale agreed price is above the valuers valuation
the lender may refuse to lend the full amount this can cause the sale to fall
(05:58):
through if the buyer can't make up the difference doesn't happen very often
but it does happen 12 then is probate delay So if the property is being sold
as part of an estate and probate is required.
I don't mean a housing estate like an estate, a will, any delays in obtaining
this probate then can cause significant delays in the sale.
This can take anywhere from six months to six years. Again,
(06:20):
this topic warrants its own podcast episode and I've just finished a six month
long expert committee that was tasked with giving the government a report on
what they could and should do to improve probate and conveyance in times.
But more on that in another episode and number
13 then vendor issues so disagreements or changes
in the vendor situation so that's the seller such as switching
(06:42):
the state agents or maybe they just want to withdraw the property altogether
that can also obviously cause a sale to collapse so in addition to all this
i've also received insights from my followers about challenges they've encountered
during the whole whole process so some of these are lenders insisting on a home
bond guarantee that the developer won't give,
issues with shared services like septic tanks,
(07:04):
lack of certifications for ATTA conversions.
Unregistered right of way, discovery of defects like mica and pyrite,
vendors changing their minds or wanting more money, problems with getting mortgage
protection or home insurance due to health or other issues, length of leasehold being too short,
delays with solicitors causing frustrations, that can be a really, really annoying thing.
(07:29):
Disputes during a divorce impacting the sale agreement discovering undesirable
neighbors problems with the management company buyers bidding
on multiple properties does happen not very often but it does happen uh lenders
refusing drawdown due to circumstances like maternity leave and then finally
developers not including subject to loan clauses in contracts so now i want
(07:50):
to move on to some detailed advice for sellers to help sellers avoid these.
Common pitfalls and these are from that law society document that
i spoke about so number one would be to gather personal documentation
so photo identification proof of address pps number
marriage or divorce documentation then number
two is to build your team so make sure you have a solicitor make sure you hire
(08:11):
an estate agent uh if you want to use an estate agent you don't have to um quite
easy to sell your house now so you can literally just do the ad yourself on
daft but i know estate agent a lot of hassle out uh number three then would
be property title and deeds make make sure you locate your title deed.
So if your property is mortgage free, you may have the title deeds yourself
or if there's a mortgage, your bank will usually hold onto them.
(08:32):
So request these really early to avoid delays and then rights and burdens.
So disclose any rights of residence, easements or boundary issues related to your property.
Number three, or sorry, number four then will be planning and building compliance.
So make sure you have all your, you've gathered all the planning documents.
So collect details of any building work that's been done since
(08:52):
you bought the house or home or property including extensions
renovations etc you need your be or search
or build building energy rating a certificate that's
legally required when selling the home here in ireland so if you don't have
one you have to arrange for an assessment and septic tank registration if you
have a septic tank so if that's applicable hi i am just going to pause the podcast
(09:14):
for a second to talk to you about some sponsors of the crazy house prices podcast
this This episode is sponsored by Daft.ie.
Daft is Ireland's number one property portal. Daft has the most properties available
for sale and rent and is the preferred national property website amongst consumers in Ireland.
So Daft.ie's core vision is to make buying, selling and renting property better
(09:34):
for everyone in Ireland.
So Daft's mission is to simplify each step of every property transaction in
the Irish market to make buying, selling and renting in Ireland simple.
That's why Daft.ie build innovative tools like Offers by Daft an online real-time
offers platform that provides never-before-seen transparency for the Irish consumer
when buying a home. Are you looking to buy?
(09:55):
Maximise your chances of finding your dream home by visiting daft.ie,
Ireland's number one property website.
Number five then is the financial preparations so
local property tax you have to make sure that your local property tax
is up to date and if you're selling after november 1st you'll
also need to pay for the following year which you can then get back
then pro rata from the buyer utility confirmation so
(10:18):
make sure you have confirmation from uh ishka erin
that water and drainage services are in place and are
being managed and management company details if your property is
part of a multi-unit development um so you need
to provide details of that and then number six is um
additional consideration so probate so if it's
part of that that's a that's a whole huge huge delay talking
(10:39):
at least six months um and then tenancy documentation if
the if the houses or the property is let you have
to provide a copy of the letting agreement and ensure the tenancy
is registered with the rtb so the
document has a really good kind of checklist and timeline line
on it that's really that will really help you stay organized and
it's really neatly put together into a chart and it's easy
(11:00):
to read but it gives you typical time frames for each so
for example um i'm not going to go through them all because there's
loads but it's like so let's say locating your title deeds these
are usually with your solicitor lender or already in your own possession.
Costs can vary but it can take up to eight weeks uh
some other ones that take longer can be like uh boundary
issues that can be two to four weeks at least um then
(11:21):
there's a declaration of identity that
can be two to three weeks redemption amount can
be three weeks if you if you have a mortgage on the home so
there's loads and loads and loads of things that will take
ages and the document has a really fantastic kind of
grid with all of them so another one land registry
land registry compliant maps that can
(11:42):
take two to three weeks the biggest one obviously being probate if
it's in probate and then all the other things like your
planning and building in compliance that could be six weeks so these
are all the reasons why uh buying and selling the
home in ireland takes so long i've literally spent six months
doing doing that committee that's discussed all of this so
i'm really clued into how it goes and there's just so many people
(12:02):
involved i think there's up to 15 people involved when you're when
you're selling a home so that all adds to one to costs and
two to timelines so i definitely recommend
just checking out that document and if you scroll right down to
the end it has it all uh in a neat little grid that will explain everything
so if you are selling a home it's just really important that you're as organized
as possible and this document is fantastic for literally letting you know absolutely
(12:26):
everything you need so that you have everything sorted for when you're going to sell your home shin a.
Lehigh on episode show of the crazy house prices
podcast with me carol mcqueen so i hope
you found that really helpful um and it will
hopefully help you navigate your purchase or sale more
smoothly and avoid really common pitfalls so
(12:48):
if you're enjoying the podcast and my instagram and you want to show your support
head over to patreon.com forward slash crazy house prices your support not only
helps keep this podcast and the instagram page going but also gives you exclusive
access to bonus content like detailed Q&A's where I answer every single question sent in.
Plus you'll get the unique opportunity to engage with my community of over 100,000
(13:10):
followers asking them questions that Google could never answer.
So don't miss out on those exclusive perks and also my book,
my best-selling book I may add, How to Buy a Home in Ireland.
That's available nationwide. I know loads of places I've sold out but I think
if you Google it you'll find it online or else you will likely get it in your local library.
They should have copies of it there. You can check on the the library app i
(13:31):
know dublin city libraries have 100 copies of it so check it out there if you
don't want to buy it like i mean you'll read it in two three days and there's
just it's just pack of information i think you'll enjoy it like thousands of
people anyway i'll chat to you soon slán go fóill.
Music.