How low would you go?

poppysarah

Someone said "If you are not embarrassed by the low offer yourself, then it's not low enough"

Made_Without

westvPutting in an offer shouldn't just be a matter of guesswork or randomly plucking percentages out of the air. Put some research into the local market and when you can back up your opinion for the value of a property you like your offer might be taken more seriously by the EA

Agree with the above - howver, if yo uare dealing with EAs or Vendors who seem to have done just that and have pulled a figure out of the air - that's when it becomes tricky!!!

C*F

pinkshoes

Look what they bought it for, when they bought it (i.e. how much equity), look what neighbours sold for, assess the condition of the property. It also depends on how badly they want or need to sell.

A friend of mine has priced hers to sell (based on above), and had 3 silly offers from someone who she decided was a time waster and told the EA not to deal with them. Apparently the buyer got all stroppy about it - apparently they'd been told that asking 20% under asking price was normal, and hadn't considered it was priced sensibly already (unlike many other properties)! Anyway, friend got asking price offer (and several other very near offers), and sale progressing...

I think so long as you don't take the p*ss, then make a SENSIBLE offer!

poppysarah

pinkshoes wrote: »

I think so long as you don't take the p*ss, then make a SENSIBLE offer!

With a report out saying lending on properties is being scrutinised more than ever and places near takeaways (that pre 2003 people would have bartered down for) are being down-valued.

Whatever happened from 2003+ was mostly insanity. People fighting over houses, painting them beige and reselling at inflated prices.

Made_Without

StiflersMom wrote: »

I think you have answered your own question. Putting in too low an offer will just result in it being rejected or you being gazumped. You also lose credibility with the EA and the vendor, and risk later offers being taken seriously.

The only offer that has been successful for you was one 2% below the asking price.

When I bought my flat last year, at the bottom of the crash, I went in within 3% of the asking and had my hand snapped off.

It's up 20% in value since then, so I'm soooper pleased !!

:T

No they were not rejected - they were all accepted - the circumstances for vendor pulling out varied - but were not price related - sure on the first one I got gazumped by 7k - but that just shady and the % diff from the asking price still significant for the person who got it.

The 3rd offer where it was 2% - the property was fairly priced to begin with! But it still fell through (not cost related) so I'm not sure what point you made

C*F

Made_Without

offers are in... fingers x

C*F

Made_Without

just whilst waiting musings ...

I've offered on two places - both having different strengths / weaknesses but ticking enough boxes to make worthwhile.

1st agent - "I'll pass that on but we've been seeing many sales going for around the asking price..." (hmm wonder why I am not seeing them on the sold property list)
For this one I have gone in at approx 10% of the asking price.

2nd agent - "well this is low, the vendors did have it valued by three independent evaluators and they all came in a 10k of each other. However, they are looking for enough to cover their new purchase, so I will see what they say".
For this one I have gone in at approx 20% of the asking price.

The first agent made me feel guilty, the second one had such a nice manner about them, that despite offering significantly lower, I got off the call feeling less nervous.

End of musing...

C*F

tawse57

I am seeing lots of houses go SSTC only to come back on the market a month or two later.

I am hearing that bank surveyors are valuing houses much less than the estate agents.

Estate agents are only sales people with a vested interest in making their commission.

If you offer does not embarass you then it is too high.

British banks last month said they intend to lend LESS on mortgages in the second half of 2010 than in the first - what does that mean for house prices?

600,000 public sector jobs to go in the next 5 years. What are all those people going to do re their houses?

milliebear00001

I offered £8000 less than asking of £130000. No negotiation. Was accepted. Valuation just come back OK from Abbey. Property sold in 2004 for £106000 and identical house next door sold in 2008 for £150000.

Made_Without

tawse57 I've noticed the same - so many properties in the areas are STCC for months on end.

I just spoke to a 3rd EA thsi morning. I'd viewed two properties on their books this weekend. One of them I just hated. The second was nice - but didnt tick as many boxes as the other two I've put offers in on.
I mentioned to the agent that this was the case and as a side, I thought it was overpriced. His response "that's the vendor's asking price, not ours"

AAArgh - why is property buying such a minefield.

C*F