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    • tazzababe100
    • By tazzababe100 15th Jun 17, 1:47 PM
    • 23Posts
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    tazzababe100
    Yet another "How much do I offer?" Q
    • #1
    • 15th Jun 17, 1:47 PM
    Yet another "How much do I offer?" Q 15th Jun 17 at 1:47 PM
    So.....
    I've seen a house (4 bed detached) it ticks all our boxes. Current owner bought it at £132k two years ago and has made no improvements. It is currently up at "Guide Price" £170-180k.
    Our budget is £165k. The market in the area fluctuates a lot! There are houses that have been up for sale for 6 months but then occasionally some come on and go within a couple of weeks.
    I was thinking of offering £160k but friends told me to offer just under e.g £158k and then offer more if declined.
    If you were selling your house with a guide price as above would you want the top end of it? Would you laugh at someone who offered at least 10k below the botton end?
    Can you tell I have no bloomin clue!!
Page 1
    • DumbMuscle
    • By DumbMuscle 15th Jun 17, 1:51 PM
    • 241 Posts
    • 287 Thanks
    DumbMuscle
    • #2
    • 15th Jun 17, 1:51 PM
    • #2
    • 15th Jun 17, 1:51 PM
    How long has it been up? Are there any similar houses in the area that have sold recently (check zoopla)? How much did those go for?

    What's the harm in chancing it with an offer within your budget? If you get refused, you're no worse off than if you didn't offer (though make sure your offer is contingent on the property being pulled from the market, to reduce the risk of being gazumped)
    • tazzababe100
    • By tazzababe100 15th Jun 17, 1:57 PM
    • 23 Posts
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    tazzababe100
    • #3
    • 15th Jun 17, 1:57 PM
    • #3
    • 15th Jun 17, 1:57 PM
    Been up a week
    One over the road sold for 10k less than asking approx three months ago.
    Didn't even think of gazumping! Does that happen a lot?
    • LKRDN_Morgan
    • By LKRDN_Morgan 15th Jun 17, 2:04 PM
    • 241 Posts
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    LKRDN_Morgan
    • #4
    • 15th Jun 17, 2:04 PM
    • #4
    • 15th Jun 17, 2:04 PM
    I've just offered 15k less than the house is on for. It's only been on 8 days. Granted it was rejected but it wasn't rejected outright! They came back to us and said would we meet in the middle at £357,500. Unfortunately we couldn't stretch to that but they weren't offended by our offer at all. Worst they can say is no.
    I wouldn't go in with 'well you bought it for xxx' It really has no relevance to what it's worth today

    Good luck!
    • DumbMuscle
    • By DumbMuscle 15th Jun 17, 2:06 PM
    • 241 Posts
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    DumbMuscle
    • #5
    • 15th Jun 17, 2:06 PM
    • #5
    • 15th Jun 17, 2:06 PM
    Been up a week This makes it less likely that they will accept an offer under asking price - they might as well wait until a better one comes along.
    One over the road sold for 10k less than asking approx three months ago.10k less than the asking price of the property you're looking at (i.e. £160k), or 10k less than the asking price of the property over the road?
    Didn't even think of gazumping! Does that happen a lot?Honestly not sure...
    I'm an FTB myself, I've just been lurking on here long enough to know what questions the more experienced people will ask!
    Originally posted by tazzababe100
    Have you viewed it yet? Has the EA indicated if there is any other interest? Is there a chain?
    • tazzababe100
    • By tazzababe100 15th Jun 17, 2:15 PM
    • 23 Posts
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    tazzababe100
    • #6
    • 15th Jun 17, 2:15 PM
    • #6
    • 15th Jun 17, 2:15 PM
    LKRDN: I would never mention how much they had previously paid to them or the EA. the housing market was different back then. I was just putting into context. Good to know that they actually considered your offer.
    DM: Not yet. Planning on going this weekend. It is owned by my husband's ex (which I know could be an issue in itself!) so he knows the house well. I have spoken to the EA and they said that there is a chain and that there is "always interest with our properties" before trying to get me to talk to their mortgage adviser!
    • ReadingTim
    • By ReadingTim 15th Jun 17, 3:04 PM
    • 1,686 Posts
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    ReadingTim
    • #7
    • 15th Jun 17, 3:04 PM
    • #7
    • 15th Jun 17, 3:04 PM
    I would suggest that in the early days of marketing a property, unless it was particularly hard for the EA to suggest a selling price, then a "Guide Price" indicates the range of prices at which the seller would accept an offer.

    Obviously you can start negoatiations at a lower amount, but there's no guarantee it'll be accepted, and opening up too low may make you seem like a timewasting dreamer.

    In your case, I think opening up negotiations at less than £160k marks you out as a potential timewaster. £160k+ is ok, but as your max is only £165k, you need to get there pretty quickly, and be prepared for rejection, given it's lower than their stated minimum.
    • tazzababe100
    • By tazzababe100 15th Jun 17, 3:07 PM
    • 23 Posts
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    tazzababe100
    • #8
    • 15th Jun 17, 3:07 PM
    • #8
    • 15th Jun 17, 3:07 PM
    Cheers RD. Good point made. The more I think of it the less hopeful I am. Shame I can stretch money further as it is perfect
    • ReadingTim
    • By ReadingTim 15th Jun 17, 3:27 PM
    • 1,686 Posts
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    ReadingTim
    • #9
    • 15th Jun 17, 3:27 PM
    • #9
    • 15th Jun 17, 3:27 PM
    Cheers RD. Good point made. The more I think of it the less hopeful I am. Shame I can stretch money further as it is perfect
    Originally posted by tazzababe100
    No harm in offering (say) £162k and seeing how that's recieved - the EA ought to give feedback, and while it's their job to get the highest price possible, they only get paid if there's a sale. So a few thousand more for the buyer is only a few quid more for the EA, and any buyer is better than no buyer.

    Feedback on how the first offer has been recieved should inform you as to whether there's simply no deal below £170k, or whether there's scope for more negotiation: whilst £165k is your stated max, if you're able to find a little bit more (max couple of grand), then they might accept (say) £167k if not £165k.
    • AnotherJoe
    • By AnotherJoe 15th Jun 17, 5:05 PM
    • 6,891 Posts
    • 7,329 Thanks
    AnotherJoe
    Owned by husbands ex??! Sounds like an episode of East Enders.
    Will there be any animosity regards low ball offers?
    • Tiners
    • By Tiners 15th Jun 17, 5:11 PM
    • 147 Posts
    • 167 Thanks
    Tiners
    I've just offered 15k less than the house is on for. It's only been on 8 days. Granted it was rejected but it wasn't rejected outright! They came back to us and said would we meet in the middle at £357,500. Unfortunately we couldn't stretch to that but they weren't offended by our offer at all. Worst they can say is no.
    I wouldn't go in with 'well you bought it for xxx' It really has no relevance to what it's worth today

    Good luck!
    Originally posted by LKRDN_Morgan
    Why was your opening offer so high? Is the asking price well below market value?
    • Tiners
    • By Tiners 15th Jun 17, 5:15 PM
    • 147 Posts
    • 167 Thanks
    Tiners
    O.P. As it was only bought 2 years ago then the price the vendors paid does hold some relevance to what it's worth today... has the market in your area risen 15-17% a year for the last 2 years running?
    • AnotherJoe
    • By AnotherJoe 16th Jun 17, 9:17 AM
    • 6,891 Posts
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    AnotherJoe
    O.P. As it was only bought 2 years ago then the price the vendors paid does hold some relevance to what it's worth today... has the market in your area risen 15-17% a year for the last 2 years running?
    Originally posted by Tiners
    Where I live the markets risen 50% in the last 2-3 years so prices paid 2 years ago are pretty much irrelevant but that doesn't mean you can just add HPI to whatever it was sold for because there could be any number of reasons why the house was sold at what was a relatively low price at that time.
    Last edited by AnotherJoe; 16-06-2017 at 9:20 AM.
    • tazzababe100
    • By tazzababe100 16th Jun 17, 3:33 PM
    • 23 Posts
    • 2 Thanks
    tazzababe100
    The house was sold at that price as it was a repossession. No work needed on it. I'm no expert on the market but I think prices have only gone up by around 10kish.
    • LuckyG
    • By LuckyG 16th Jun 17, 7:00 PM
    • 192 Posts
    • 191 Thanks
    LuckyG
    The house I'm buying was advertised at 155K (originally listed for 165k) it had been for sale for almost 10 months so I offered 140k to begin with.

    The owner didn't seem offended but said he'd like closer to 150k, I told him 145k would be my highest offer. He turned that down first of all but wasn't offended in the slightest.
    He then said he'd settle for 148k, I said 145 is my max. 10 minutes later the estate agent phoned me back and said he'd accepted.

    This house was on for 10 months but sales in my area have been slow, I was a little skeptical at first due to the length of time it had been for sale, but it's just had the survey which has come back fine

    No harm in offering, they can only say no.
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