Offer accepted but have I been stupid here?

meanmachine_2

sambessey wrote:

well I changed my offer and surpisingly they said they were gonna put their house back on the market!

I'm giving up for now- I've had enough... Perhaps I'll try again in a couple of years.

Aye lad, there's nowt so queer as folk.

Who knows - in a few years time they might be begging you to take it off their hands.

At least we know interest rates are on the rise soon, so that might help tip things back in your favour.

mando_2

Sheffield's property market seems to work different to everywhere else. I live in Sheffield and bought in 2003. 2003 was a really bad year, we were seeing houses going 12k over the asking price and sold within a week. We were seeing on average 6 houses a weekend and bidding on 3 of them, usually upto 12k over. We were very lucky in the end and got a house only 3k over the asking price.

Our house in going on sale next week. The tactic's in Sheffield is to put it on at a price and get higher. Some estage agents are known for their "dirty tactics" in Sheffield for putting them on a ridiculious low price to attract buyers who then bid up and up.

S11 is one of the most popular areas of the Sheffield, but I personally think that this is because the houses are large and buy to let people are buying them as it is near to the Uni's. House's in S11 will go for a pretty penny around there. Our house is based in S6, not quite as popular, and we are expecting it to go for more than the asking price, but not sure by how much.

There is a website where sheffield people discuss local issues and house prices are mentioned quite regulary. Not sure if I am able to post the website address, so if you want it, pm me and I will pass it on to you.

v0n

I don't think you should be resigning from the idea of property ownership in whole.

I don't think the property in rising areas will be cheaper and if it is cheaper I don't think there will be any to buy. Just don't overpay at offer level. Offer anywhere between 5% below and up to the face value. Never, ever tell Estate Agent what's the maximum you can get mortgage for. Make sure you have mortgage arrangements in place and you can prove at any point that you are solid buyer good for the money. It's a game - don't show your excitement about property, don't let agent know you are desperate to have it, take loads of pictures if you like the place or need to make up your mind later, point out any flaws you find just to have bargaining chips ready. Don't overpay. If your offer is rejected ask agent to write down in file to contact you if the sale doesn't go through, first dibs. After few months, you'll see one in four of these properties coming back to the market after flopped mortages or withdrawn offers anyway...

v0n

mando wrote:

S11 is one of the most popular areas of the Sheffield, but I personally think that this is because the houses are large and buy to let people are buying them as it is near to the Uni's.

If it's being sold out strictly due to "buy to let" market then it's not worth investing in the area for "buy to live" purposes. Pretty soon it will run down "nobody's" land of frat party fame with rubbish everywhere around 16 rooms in 4 double bedroom house conversions. London's Earl's Court and Shepperds Bush springs to mind...

sambessey

v0n wrote:

If it's being sold out strictly due to "buy to let" market then it's not worth investing in the area for "buy to live" purposes. Pretty soon it will run down "nobody's" land of frat party fame with rubbish everywhere around 16 rooms in 4 double bedroom house conversions. London's Earl's Court and Shepperds Bush springs to mind...

I don't think that is going to happen. A lot of the students are moving towards the city centre/ London Road now where rent is cheaper. The houses are going back to residentials rather than lets.

dougk_2

I have only skimmed through this post , but whether or not you offered over the asking price is not an issue. The real issue is was the house at the price you offered comparable to other propertys and its current value.

Given that prices are INCREASING (and meanmachine for instance has for 18 months or so been predicting a crash that has never happened, though it was aflready meant to have done) £10k will soon be swallowed up if prices increase 2-3% a year.

I don't think interest rates will rise in the near future (again the same people have been saying this for months and it hasn't happend). I see interest rates staying pretty static for the next 2 or 3 years at least. Any changes will be .5% either wfay which is nothing to worry about.

My personal opnion is renting is wasting money so you may as well buy.

meanmachine_2

dougk wrote:

Given that prices are INCREASING (and meanmachine for instance has for 18 months or so been predicting a crash that has never happened, though it was aflready meant to have done) £10k will soon be swallowed up if prices increase 2-3% a year.

Doug, welcome back.

My area fell by 8.5% in the last 12 months, according to the latest Halifax figures. So thanks for your advice, but waiting has saved me a bundle.

The issue here isn't that tired old one of whether prices are rising or not (change the record, for crying out loud!), it's whether the OP has overpaid in this instance.

Also, 10K, plus 10K of interest is something you won't have to cough up each month, but the OP will.

If you'd bothered reading my advice - and you clearly didn't - you'd have seen that I suggested they continued with the sale and tried to renogotiate, provided the survey allowed them to. Or would you disagree with that now?

:rolleyes:

dougk_2

Meanmachine - we do agree in part and I said the same thing at the beginning -

"The real issue is was the house at the price you offered comparable to other propertys and its current value."

I guess maybe you are fortunate in your situation, but big chunks of the country has seen rises not falls.

We will agree to disagree on some things as usual


PS I haven't posetd for a while due to change of job and keeping me very busy - but I have had a couple of days break and decided to come back and look around!

Tassotti

So Sambessy , don't get disheartened, keep looking but bear everytninhg both sides have said