What do i offer?

chelskigirl123

Hi Everyone

Long boring story short but am going to see 7 houses tomorrow with a view to buy with a housing association equity loan scheme.

If I see something I like - what is a realistic offer? I am looking at places in the Woking area at around £184k I am only allowed to borrow £181K. I dont want to waste other peoples time as I am not like that but have been told by an IFA to offer £20k less than asking price- sounds to me like taking the proverbial, and sounds like an insult!!!

Please help - I have never done this before. I just want to try and house me and my 7 year old daughter!!!

Lesley

SquatNow

If your not embarrased by your offer, it's way WAY too high.

Have you considered renting...? It's better value than buying... buying is dead money.

Idiophreak

The way things are at the moment, I don't think I'd even start to feel bad until I was a good 20% below asking with my offer...Start from 150ish and work up...

dander

Check what previous houses in the same road have sold for in the same road on something like nethouseprices. I bet you'll find the the asking prices are a good whack above the actual selling prices anyway. Don't be fooled into thinking what they ask for is anything like what the house is actually worth.

poppy10_2

Start at least 20% under the asking price.

Notlob

Treat each property on its own merits.

If all buyers offered 20% less, then the sellers will load the price in anticipation of the 20%!

Marketing prices tend to reflect a negotiating position. You need to ask pertinent questions and establish vendor motivation.

How long on market
Has price already been reduced?
What were previous prices?
Timescales?
What is seller’s situation - Has seller found?
Is chain above complete?
Is it being remarketed due to buyer withdrawal?

I am sure others can add to this short list and you can do some research to establish pricing history of similar properties as well as current competing properties in the same area.

I think you will find that some agents are working harder at getting the deal done, so low offers can be averaged out through the chain above for example.

halia

this is interesting cos on my 'what to offer' thread people said that starting at 20% below was an insult and would get me thrown out on my ear!

I wish there was some consistancy! I don't expect to buy at 20% below (though it woudl be nice) but to start at 20% off and work up to 15-10% off, i'm also looking at houses between £150k and £185k.

The one I really like is on for £185, I would like to start at £150k.