FTB! Advice on putting in an offer!!!!!

Beckymarshall07

Hi all
Want to buy house on market for 130k. We put in offer in writing for 108k yesterday but were effectively balked at by EA. We know vendor wont accept first offer but want to know if we should just steadily increase offer or by the end of today just give them our final figure we are willing to pay as cant be bothered faffing around? House needs alot of work doing to it (20ishk) and EA says alot of interested parties interested in house. House been on market for about a month. Vendoe wants bottom offer to be about 120k but we are not going near this figure. EA says the last couple to view said they'd be looking to put offer in close to asking price which I just think is EA talking rubbish. Any advice greatly appreciated!:o

We have a 10% deposit, mortgage sorted etc etc, can move quickly which we have stressed. Vendor isnt in a chain.

lynzpower

I think if you offer more you will offer too much

110 + 20k spend = value 130. the ceiling price at peak on the road was 135.

Therefore if you spend more now you will head divelong into neg eq.

Wait. Let them come back to you.

poppysarah

20k to do the work plus the stress of doing it, organising builders, perhaps not being able to live in it whilst it's done, plus other unforeseen expenses and building requirements.
90k.

Let someone else buy it and do it up if they won't accept 90k offer.

EA are baling because they know sellers need to get more money and they won't get commission.

Captain_Mainwaring_2

Steadily increase the offer? I'd be steadily decreasing it.

And of course there are troops of people interested, and there isn't a bit of a housing crash at the moment.

To be honest i'd offer 100K - check a website like ourproperty and see just how many houses sold in the last month. I have property in quite a "wealthy" area and between the 5 agents that serve the market, they sold one property last months.

Why take on 20K's worth of work when you don't have the money? what will you do, take on a further loan for the improvements?

Beckymarshall07

Thanks all. You all speak sense. The EA said that the house would easily fetch 140k if it was done and house on street sold for 160k last year. I said we were not in that market now and that however she dressed it up house needed the work doing to it. What I dont get is why she'd say other party were interested and then go on to say that party owned there own house but were looking to rent it out in order to buy house we like. I just have bad feeling about this EA. We want this house tho at end of day and it will be a v long term investment

gordonstights

I agree with what everyone else says. Although I am not against buying at the moment (if you get a good deal and you're planning on being there a long time, why not?) I think buying a house that needs 20K of work could be a recipe for disaster whilst house prices are going down, not up.

ema_o

I think EAs always say other people are interested. If they don't say anyone else has put in an offer its not worth worrying about.
I would give it at least a week before offering any more (if you decide you need to offer more at all, I'm not sure what it is worth but sounds like no more than you've offered). The EA will let you know if there is another offer in the meantime. You are in a stronger position than the others who want to rent out their house.
It does sound like EA needs a reality check talking about what they sold for last year!

Beckymarshall07

Yeah totally agree ema_o was just so suprised at the rubbish she was saying so had to be quite abrupt with her as both me and hubby felt she was being quite patronising.

Beckymarshall07

Offer of 108k not accepted.

neverdespairgirl

I'd look for another house - this one seems overpriced, with all the work that it needs.

Captain_Mainwaring_2

Beckymarshall07 wrote: »

Offer of 108k not accepted.

It's done you a favour, let the EA know that your offer stands until the end of the week, then drop it to 98K.

Better to walk away from it.