How much to offer on £285K house?

mitchaa

lethal0r wrote: »

nationally the market is back to 2005 prices. what is your area doing? if it was similar I would offer a few thousand below the £235k.

just seen mitchaa's post. I believe we are back to late 2005 prices according to nationwide / halifax.

Yep i believe Dec 2005 was showing an average price of £158k (Nationwide) so we are roughly back to these levels give or take a month or so.

I think offering the 2003 price (£210k) is quite cheeky when we are only at late 2005 prices.

But the O.P needs to take into consideration further drops (Crystal ball) and base her starting bid around this.

It all depends on the area, some areas are falling a lot harder than others and i suppose if the sellers are desperate enough to accept a ''silly'' offer.

PasturesNew

The market is at various stages depending on the area and the property type. Some areas/types are back to 2005 and even before.

What is the first part of your postcode? What type of house (3-bed, 4-bed, flat, new build, old, detached)?

GemQuin

Thank you all very much for all your advice - really appreciate it.

I am kind of assuming (possibly incorrectly) that they probably won't take less than they paid for it in 2005 so was thinking about putting in my first offer in at £240K. But then I only have £10k to play with.

Can I 'offend' them if I put in too low a starting offer so that they won't negotitate any more? But as you say I have to take in to account further price drops in the next few months.

Yep definitely going to not offer over £250K to aviod the excess Stamp Duty.

It's a 1 bed garden flat in SW19. Good condition - 20 mins walk to public transport.

IT_nerd

1 bed garden flat..
0_o'

Luggworm

The thing to do is to decide what YOU think the property is worth (the maximum your prepared to pay) take some off and make that your opening offer. It is up to the vendor to decide if they can agree to your offer. If the vendor will not negotiate the price then they will not get a sale.

When I bought my house in 1992 it had been on the market for around 6 months at 59995, with a bit of interest but no offers. I was prepared to pay 53000 as that was all I could afford but my initial offer was 48000! This was rejected but my follow up offer of 50750 was accepted, so I saved 2750 on what I prepared to pay or 9.5K on the asking price.

Don't worry about offending the vendor, they won't worry about your mortgage payments once you've moved in.

Luggy.

P.S. I also think anyone buying at the moment is mad, even if we have reached the bottom of the market (highly unlikely) prices are not going to rocket up in the next 12 months anyway.

hethmar

I thought you said it were a house, not a 1 bed flat. Thats a lot of money even in SW19. Have you had a look at findaproperty and some of the other property websites to see if there is a better buy?

Peter_Simon

That is a lot for a one bed flat. My sister bought a 2 bed flat in a similar postcode last year for £204,000!!

pinkshoes

If it's £250k, then assuming a 10% deposit, the interest on the mortgage would be about £1090 a month. Would the rent be more or less than this?

geoffky

A 1bed Flat For 250k Think About It!!!!!!!! Madness

hethmar

There are 2 beds for that price - albeit in not the trendiest area of that postcode.