Offer Price

SteveoB_2

Yesterday I viewed a property that I really liked and could see myself living there. It is a two bed maisonette, listed price is £175,000-200,000. As it is listed at a range I was wondering if anyone had advice on what sort of offer would be sensible. I was thinking of maybe £155,000 but we are worried that it may seem insulting to the vendor to put an offer in that is too low.

A little history on the property (this came straight from the vendor when we were looking round the place) it was listed in the summer for £220,000 and has come down twice to £195,000 and then to what is is now. She said that they had had a couple of offers which they rejected, so it seems as though they are not really in a hurry to sell.

Would appreciate any thoughts.
Many thanks.

flissh

If they want to sell, they are in a hurry. I would ignore the price range.

LittleTinker

Origianlly though.....220,000 and now you want to offer 155,000....seems a major drop to me.

But I guess there is no harm in trying.

I disagree with the above though....just because they are selling doesnt mean they are in a hurry.......and this is reinforced by the fact that they have rejected 2 offers already.

pinkshoes

How long is a piece of string?

You haven't given enough information. Where is this property? What have similar properties in the area actually sold for? How much would it cost to rent a similar property?

If it was originally on at £220k, then perhaps it's priced sensibly to sell, especially if they've rejected 2 offers.

mbga9pgf

pinkshoes wrote: »

How long is a piece of string?

You haven't given enough information. Where is this property? What have similar properties in the area actually sold for? How much would it cost to rent a similar property?

If it was originally on at £220k, then perhaps it's priced sensibly to sell, especially if they've rejected 2 offers.

Perhaps (and far more likely) the sellers are delusional about the price. Dont worry, they will come round, just as soon as a similar one on their street sells for 50K below theirs.

SteveoB_2

Thanks for the input.

I have checked on the UK land registry and they bought the property in 2004 for £147k, its difficult to pin down exactly how much two bed flats have gone for in the area but they seem to be between £150-£200k recently, obviously depends on the spec, this one has a garage and garden.

The question was really regarding whether putting in a low offer to start could be seen as offensive to the vendors making negotiations more difficult, but obviously I would like to get it for as low a price as possible.

bob79

SteveoB wrote: »

I have checked on the UK land registry and they bought the property in 2004 for £147k.

According to Halifax and Nationwide we are already down to 2004 prices. Unless they bought it as a total dump and had to fix everything in the house, it is now certainly not worth more than what they paid for it in 2004.

The original 220k asking price seems beyond delusional.

Your intended offer of 155k seems very very generous.

huntersc

SteveoB wrote: »

Thanks for the input.

I have checked on the UK land registry and they bought the property in 2004 for £147k, its difficult to pin down exactly how much two bed flats have gone for in the area but they seem to be between £150-£200k recently, obviously depends on the spec, this one has a garage and garden.

The question was really regarding whether putting in a low offer to start could be seen as offensive to the vendors making negotiations more difficult, but obviously I would like to get it for as low a price as possible.

Why is putting in an offer lower than an asking price offensive? This is a business transaction, a massive purchase for you, don't worry about offending someone's sensibilities. They won't worry about offending you by rejecting it!

Offer what you think it's worth, not a penny more. If the vendor gets upset or rejects it then move on and find another place. the deal has to be right for you, you're not here to make the vendor feel nice.

pinkshoes

huntersc wrote: »

Why is putting in an offer lower than an asking price offensive?

Because it might be priced to sell, so they may consider £155k to be taking the p*ss, and refuse to consider any other offers on the basis that they're not serious buyers, and might gazunder the day before exchange or something.

The 2004 prices aren't for everywhere. It really depends on LOCATION LOCATION LOCATION...

If they bought for £147k over 4 years ago, then I doubt they'd accept £155k. Perhaps try £165k, and be willing to go up to £175k.

Gwhiz

Offer what YOU think it's worth. End of. In this market no offer is too low and no one should be embarrassed by a low offer... they can always say no!

SteveoB_2

The place is in Sutton.

I've searched the internet looking for a site that has historic house prices by region for the last, say, 10 years, but have been unable to come up with anything. Does anyone know of a site?

Its difficult to relate the UK average house price drop to specific areas (especially in London) as it was about 3 months later that London prices started to drop.

Its difficult to determine what I think its worth. The only numbers I have to go on are what I can afford, and what similar properties in the area are on the market for, which isn't much help at the moment because I'm sure people must put houses on the market at a price much higher than they are expecting.