Trying to do a deal on a new build, our offer refused, how should we respond ?

masonj3

My husband and i have seen a new build house that we wish to purchase. The asking price is £254,995.

We asked what their best deal was for a chain free quick sale and they came back with the following:

£254,995 paid stamp duty and free carpets.

On a previous thread about this we were advised to offer at least 20% off the asking price.

We did this on fri and I have had a message left for me this morning to say they cannot accept my offer and they could only accept £250,000 plus free carpets.

Im just wondering how I should respond to this, should I say thanks but no thanks and leave it at that or should I continue to try negotiating further? We would like the house but only if we can get a reasonable deal

Any advice greatly appreciated, the home builder is Persimmon if thats of interest.

Cheers x

masonj3

Forgot to add , the offer was refused by Area Sales Manager

Mutton_Geoff

At £255k, their stamp duty offer was worth £7,500 (ignore carpets, they are worthless in the big scheme).

They've now offered the house at £250k with no stamp duty incentive? This "offer" is £2,500 worse that the previous. I think they can smell your money, walk away with no further offers. Go back in two weeks when the house will still be there.

lonestar1

Tell them if they ever get to the stage where they would take 220k give you a call. Leave your number and carry on searching (Chances are they will call you back within a month)

pinkshoes

As MG has pointed out, if they were willing to pay stamp duty, that's "worth" £7500, so they should at least accept £247.5k plus carpets!!

How much are similar older properties in the area? If they're also around the £250k mark, then perhaps this is already priced reasonably. Some builders are actually seeing sense and pricing new builds at a competitive price. If, however, this is way above what an older similar size property would cost, then print them out some details of an older property, and put in an offer just above this.

milkybars

Try to find out what similar houses have gone for... of course you can only guess as to whether carpets were included in those sale.

The best thing to do would be to make an offer with a price included. So far I gather you haven't given them a figure you are prepared to pay, only asked them what their best offer is. I would take that 20% off, offer them that price, reitterate your good position as a buyer that await their reply. At the same time get a maximum figure in your head that you won't be prepared to budge past while negotiating a price between yours and their initial offers.

Just a story to keep you positive. We got to our maximum offer and stood our ground with a seller. He wouldn't accept that so we said our offer was still open but we were looking at other properties. Two weeks later he contacted us via our estate agents saying we could have the house for our offer. What had happened was, he was about to lose the deal on the house he was buying unless a sale for his current house was secured and was prepared to take that drop in price. By this point we'd seen something else we were interested in and said we'd wait to confirm till we'd viewed this new house. He then got fairly desperate and dropped a further 10k!!!

The moral of the story is sit tight, don't be bullied higher than you want to go and be prepared to haggle a bit.

Best of luck!

masonj3

Thanks everyone so far lots of "quick" replies !!

The area is nice and to be honest before when I first saw the house prices I tought they were reasonableish, however that would have been "deemed" reasonable say 2 years ago before all the current ecomonic probs etc started.

I 'll have a look at other property prices and if i think its reasonable then i'll just leave it for now but if i think its overpriced i'll maybe try some of these suggestions

Cheers xx

masonj3

According to mouseprice.com's local area info it states the following:-

"During the last 3 months, property in this postcode district has averaged a value of £184179"

Now obviously that applies to all types of property, so I think there is scope for us to negotiate a slightly better deal

Thanks everyone again xx,

geoffky

be prepared to walk away as you will pick them up for less in a few months

masonj3

Hi again

We did as advised and gave them our offer, we confirmed that the offer would remain open, but that we were now looking at other properties.

We knew they wouldnt accept our offer initially but had thought that it may at least trigger some negotations / bargaining.

Most people have previously advised that they will prob more more likely to be interested in our offer perhaps a few weeks / months down the line.

My question is what if they forget us, should we make contact every now and then or totally leave it until {or if} we hear back from them??

Thanks x

hethmar

You can get more specific house sold prices, by street which may be better for you.