Am I being stingy?

Thundercat_2

I know that's a silly thing to ask given this is MSE, but I'm after some advice from all you knowledgeable housebuyers and sellers.

We're currently under offer on our property and have viewed a property twice that we think could really work for us.

Bearing in mind we're in the extortionately priced South East, we've
viewed a house that's currently on the market at £900,000. We like the house but it's not "perfect" in terms of what we want, but certainly has lots of potential to make perfect over the coming years. The issue is that we've just seen on the Land Registry data that this house was last sold in 2008 (pretty much at the top of the market?) for £680,000. The current owners don't seem to have done anything except a bit of redecorating and maybe put in a new kitchen, but other than that I really can't see what else could possibly be new.

Please tell me that I'm not being stupid to think that they've massively overpriced the house and are simply being greedy. I understand that maybe they got a bargain when they bought it but surely it's unreasonable to expect someone else to pay an extra £220,000 for little or no changes, particularly when the market is still not back to peak levels (and likely to drop in the coming months!!).

If you were putting in an offer what sort of range would you offer at? I was think somewhere mid - late £700's but this seems a massive drop in comparison to their original price!

Help and opinions please!?

Estate_Agent

What - if any - are the comparables like? It is not just what they've done that dictates price but how desirable the area is.

tufnellhome

I had a similar experience (but at a much lower price range) and did put in a low offer at £100K under the asking price. They didnt accept it and in fact the estage agent sent me a really rude email saying that he didnt even want to put the offer to the vendor. I was willing to walk away as it wasnt perfect for us, just remember a house is only worth what people are prepared to pay, someone who loves it might feel it is worth that much to them. But having said that no harm in putting in a cheeky low offer!

Thundercat_2

In terms of comparables it's at the end of a very nice road though would be better located if it was in the middle of the road rather than the end. We viewed another house within the road which had more bedrooms (which were also larger) but a much smaller garden which has come onto the market at £60,000 less than this one.

I just don't know what to think!

Vikki55555

To some extent aren't property's worth whatever the market will pay? You could offer the amount you suggest and let them know why (i.e. you know how much they paid in 2008) and then just wait and see... Obviously in doing this you will run the risk of losing the property to somebody else which is something only you can weigh up in terms of personal value to you (rather than financial value).

Which could you live with more (or not live with at all)...

a) losing the property or
b) living with the fact that you have know you have paid a couple of hundred K more than the previous owners?

no_fat_chicks

Don't put in a higher offer than you would have done just because they want a profit for sitting on their backsides for two years. Offer what you are willing to pay.

Thundercat_2

As far as we can tell the house has been on the market for a couple of months, but we don't think there have been any offers yet. The agents described it as having had "interest" but never mentioned an offer and we've tended to find that estate agents are generally keen to tell you if any offers have already been put forward. I can't see why they would be deliberately coy about this one?

I suppose we are willing to walk away and definitely don't want to pay over the odds for this house, but it just feels very naughty to put in such a low offer, yet we do feel it's reasonable given the information we have.

LandyAndy

Thundercat wrote: »

. The current owners don't seem to have done anything except a bit of redecorating and maybe put in a new kitchen, but other than that I really can't see what else could possibly be new.

!?

Ask the EA how (s)he thinks the vendors have added over £200k to the value in two years where prices have, at the very best, stagnated.

I presume he advised on the asking price.

What you see as a 'bit of redecorating' may conceal that they did a large amount of internal remodelling / structural work.

No chance of a rightmove link I suppose?

Gwhiz

LandyAndy wrote: »

Ask the EA how (s)he thinks the vendors have added over £200k to the value in two years where prices have, at the very best, stagnated.

I presume he advised on the asking price.

I would agree with this.

princessamy86

I think at the higher end of the market, the figures can seem a bit astronomical when you think of it in terms of asking them to drop £200k. However, you're in the region of 20% off the asking price (my maths is parp so I hope that's right), which actually isn't unreasonable from my experience of the market. It's just proportionally higher as the figures are bigger. I would be tempted to put the offer forward, they can only say no after all. Have a good look at the comparables, see if there's anything which backs up your gut feeling on how much it is really worth. I'm pretty sure 2008 was when the market went horrible, so it's possible they have got a bargain, but I would be surprised if it has recovered in your area to the extent that this increase is justifiable. However, I'm in the North West, and it's a very different market down where you are looking. Put it forward-see what they say!

LandyAndy

princessamy86 wrote: »

I think at the higher end of the market, the figures can seem a bit astronomical when you think of it in terms of asking them to drop £200k. However, you're in the region of 20% off the asking price (my maths is parp so I hope that's right), which actually isn't unreasonable from my experience of the market.

I bet you can work out your commission.;):D