Advice needed on my house buying offers?

Wise-Bat

Hi,

Just wondering peoples opinion on house buying offers in 2010. As we all no last year was really bad and things are only just slowly picking up.

I am a first time buyer and me and my girlfriend have been looking at the housing market for over a year now with a break in-between.We have made a few offers on dif properties etc, but still had no luck in getting one of our offers excepted .

Last year all the news was offer 10% below asking price as prices will continue to fall etc..

What about this year as house prices are starting to stable / rise?

I have just done a first offer of £118,500 on a 2 Bed house that is on the market for £127,500 which has been refused (usual stuff but wont be my last offer just yet). Now looking at other 2 Beds in the area it is dif over priced, but we both like it. The other 2 bed houses on average in that area are around 122,000 - 125,000.

Is that a resonable starting offer on a house in 2010? What is that most I should go up / knock off an asking price before I stop?

I understand its our choice but with the market in some areas rising, I can't see many people selling too low anymore!

Any tips people can provide I would be very gratetful

frafferty

We've just accepted a ridiculously low offer on our house so there are people out there who will still go for a low offer . We basically had found the property of our deams and did not want to lose it so we accepted the first offer that we got and will be sucking up the difference ourselves.

Ours is a bit of a tricksy property though as most of our viewers did not want to pay stamp duty but it was priced at £135,000. We accepted £10,000 less just so we could move.

I guess it depends on the people who you want to buy from and what their situation is

BTW - our next door neighbour bought his identical house in the summer of last year for £147,000 :eek:

Squish_21

I think in the current market offering 10% less is a good starting offer but be prepared to negotiate a higher offer if you really want the house and think its worth the price. If you dont think its worth it, walk away.

Each house needs to be assessed on a case by case basis by how long its been on the market, what it was worth pre-recession, has it been improved, does it need work, how desperate are the owners for a sale etc.

Wise-Bat

Well I know the vendor paid £60,000 for it back in year 2000 via the good old Zoopla website and he hasn't really made many major changes, like the boiler, bathroom and kitchen are still original so look dated now. He has a gf which he stays with alot and is planning to move in with her when its sold.

Milliewilly

Wise-Bat wrote: »

Well I know the vendor paid £60,000 for it back in year 2000 via the good old Zoopla website and he hasn't really made many major changes, like the boiler, bathroom and kitchen are still original so look dated now. He has a gf which he stays with alot and is planning to move in with her when its sold.

Houses have roughly tripled since then.

poppysarah

I really wouldn't buy in this current market unless you have a huge chunk of cash lay about.
House prices are still insane.

Bufger

The property i bought in november last year was on the market for 137,500 and my first offer was 128,000 which was rejected. I told them the offer would stand if they wanted to think about it, i then expressed interest for another week on other properties with the same estate agent, this obviously got back to the vendors of that other property as i got a call and we started negotiations. We ended up on 132,000 as my missus was a pushover on the only phonecall she answered in the whole process!

It wasnt a bad price, its estimated value is now 141,500 only a couple of months later and in its peak it was 167,000.

I would say if you're looking for a place to live for 5+ years then whats 4k? go in with your next at 121,000 and say its a final offer, the EA is bound to say 122k and the vendors will accept.

the game

Wise-Bat

I was thinking exactly that myself, 121,000. I will however leave it for a few days now as don't want to sound too keen!

Never been the best fan with estate agents. Had some in the past that have made it sound like my offer is c##p, along with hinting that other buyers have offered more then me, rather then just taking what I say / my position (no chain) into account and passing it on to vendor to decide.

pastmybest

Wise-Bat wrote: »

Never been the best fan with estate agents. Had some in the past that have made it sound like my offer is c##p, along with hinting that other buyers have offered more then me, rather then just taking what I say / my position (no chain) into account and passing it on to vendor to decide.

As a current seller I really would hope my EA will do everything to get me the very best price. Sorry Mr/Mrs Buyer though but there is another side to the story.

As for other offers remember the saying never a bus to be seen then when they come there is more than one. The same as offers perhaps?

Bufger

Wise-Bat wrote: »

I was thinking exactly that myself, 121,000. I will however leave it for a few days now as don't want to sound too keen!

Never been the best fan with estate agents. Had some in the past that have made it sound like my offer is c##p, along with hinting that other buyers have offered more then me, rather then just taking what I say / my position (no chain) into account and passing it on to vendor to decide.

Even then you should never be afraid to offer a stupidly low amount, i bet they get it more than you think and although they only see the sum and their cut of it the sellers may see a way out of their situation if its a bad one, or a quick sale etc. You have to try different baits to tempt the fish!

Be strong when you're making an offer (not arrogant etc). Just say 'regarding house #1 on road blah - i would like to make an offer of 121,000 subject to contract and survey. This is my final offer, its based on the fact that i have no chain and everything already in place. Its on the understanding that the property will be removed from market if accepted'

If its only slightly lower than they wanted they will play the waiting game. They will try and rush a few viewings in/bring them forward and then give them a day to decide. Dont ring and follow up to see why its taking so long, it shows too much interest and to them more interest = £££.