UK average house prices increased by 8.6 per cent in the year to February 2021, up 0.6 percent from January. Whilst sellers celebrate their homes going under offer in a day, they forget that they will now join the buying rabble. 

Any gains will, in most cases, be spent on any onward purchase. So any momentary joy could be cut short when faced with the current drought in property.

This though is expected to change, as confidence returns to list, with the vaccine roll out and kids back in the classroom. Media headlines reporting the continual rise in house prices, might also play a significant role in this.

The question is. How many chains will collapse when comps don’t add up or sellers can’t buy?

Many claim they will move into alternative accommodation if they can’t find anywhere but when it comes to it, the thought of storage and rental costs is often too much, and sellers stay put. The knock on effect for a chain can be catastrophic, leaving many disappointed and out of pocket. 

Mortgage V Cash Offers

To limit your ‘chain’ exposure, when debating offers, a first time buyer might actually be preferable as they have no home to sell. If concerned about mortgage valuations, any good agent should be able to provide relevant comps to back up any offer price, to enable greater security when deliberating between mortgage or cash offers. For many though, the lure of a cash buyer is too much and so many hard working savers, unfortunately, miss out. 

Timelines

Ensure to discuss timelines from the start, having a buyer and seller aligned is key to a smooth transaction. False promises or pipe dreams are counter productive to everyone. Realism and transparency are key to any sales process. 

Breathe

Above all, stay calm. Know the difference between what you can control and can’t. The process of buying a home can be stressful but when in a chain, you take on the added weight of other sales. All you can do is make sure you have everything in order, and the line of communication runs smoothly between all parties.