Making that offer - First time buyer.

MerseyLad

Hi, Let me give you some background......

Me and my partner are 1st time buyers and so this is all very new to us. We have found a property we both like. A smallish cottage type house, and its perfect location wise and size wise for what we need.

We viewed it on Monday and its on the market for £119, 950 [They did have it on for slightly more but reduced it a few weeks back], Its on he outskirts of Wigan. It does need a fair amount of work. It needs central heating and boiler fitting. Re-wiring [but my best friends an electrician] new kitchen and bathroom as very old and run down, and the house basically needs - at minimum - a good makeover. Its been lived in by an old couple for years and not updated. Still heated on the old coal burner in the fireplace.

We can get mortgages well above the value of this house, but have decided if we can get what we want for this and spend a few pounds doing it up a bit then that is fine. This house has been on the market since March, and hasnt had much interest. The owners are not in a chain.

In a strange twist, the cottage next door is up for sale too. This is on the Market for £135,000 [although Id say thats ambitious - and house price websites confirm this]. It doesnt need as much work doing [has new electrics, heating, kitchen and decor] and has a small extension to the rear with a downstairs bathroom [dont ask me why!]. This house has been on the market since May.

Anyway, we were told by someone togo in pretty low [very ambitious] and ust test the water - so we offered £99,000 today and they have come back saying "No chance - they wont even entertain that".

What would you recommend?
How should we attack this now?

All advice greatly welcomed.

MerseyLad.

CB1979_2

tell them to offer it to them, they have to.

and sit and wait and offer again on Friday, go up to £103,500.

quick q, do the EAs know how much of a mortgage you can get?

reason I ask, is you can play the sob story and say max you can get is £100k mortgage and you've managed to borrow £3.5k from family.

MerseyLad

HI CB1979.

No the Agents have no idea how much we can borrow. We havent told them and wouldnt have need to.

We put the offer of £99k to the EA and they called the owners and thats who replied "no chance" today.

I was thinking £104,999 on Thurs/Fri and play the sob story about wanting it, but maxing out.

MerseyLad

Anyone else?

MerseyLad

OKey dokey then.....

CB1979_2

yep would defo try the managed to scrape together another £5k line

pawpurrs

Hang on, firstly what is the absolute maximum you are prepared to pay for it?

Theres no point giving them a sob story and then turning around and increasing the price, these people know what they are prepared to accept and no sob story from a stranger is going to change that!

pawpurrs

havr you got a link to the cottage?

MerseyLad

pawpurrs wrote:

Hang on, firstly what is the absolute maximum you are prepared to pay for it?

Theres no point giving them a sob story and then turning around and increasing the price, these people know what they are prepared to accept and no sob story from a stranger is going to change that!

We are prepared to pay about £112k for it......due to the work its going to need and when fully renovated its market value [in comparision to those that have sold around it] is £125k - £130k.

I dont have a link to it online.

pawpurrs

Have you asked what they actually want for it? You never know they may well tell you.
You can play the game and come up in small increments.
All the time you are playing the game though you stand the chance of losing the property as any one can come along at any time and make them an offer.

pawpurrs

A 10% discount would be around the 107,000 mark and thats where Moneysavers normally start negotiating, 99,000 was a bit of a cheeky start.
So 105,000 is still some drop, dont think I would go in much lower.
What price was it on for originally and how long ago was the price reduced? Normally these do a uppers are snapped up *at least in my area*