Should we increase our offer? Help!

mouche

Hi,

Bit of advice requested please. Husband and I really liked a property we saw on Saturday. It was an open house and there were lots of people there – the agent said he had booked 12 couples and there were at least that many people there. In our opinion it is underpriced for a quick sale and I called the agent today to offer the full asking price. I then asked if they would accept anything lower and he said ‘sure why not, offer what you’re comfortable with. Obviously on a property like this we could get a higher offer than the asking price or we could get a cash offer – I haven’t got all the feedback from the viewing s yet so don’t know at this stage’. So I made a slightly lower offer and asked him to get back to us if there was a higher offer. We are willing to pay up to the asking price (but not more) and I am now worried if someone else offers the asking price and they are the first to do so, their offer may be accepted before coming back to us.

Should I call the agent again and say I’ve changed my mind and want to offer the full price? We don’t want to lose the house.

PS: As you may have guessed, we are FTBs and new to all this.

Gwhiz

If you gave the EA the same sort of info and enthusiasm you've given us here then I'm guessing the EA knows you will go to the asking price already

No one can really advise you because if we say wait and then you find someone got the property as full asking you'll be upset. If we say go in again you'll never know if you are paying more than you should.

HOWEVER.... if the property is "cheap" as you say and you really want it and can afford it then go for it at asking and be done. However, if you go in too quickly the EA may think he can get more from others and start playing you off each other.

Negotiating is a game of daring and patience!!

aqueoushumour01

if you have told the ea that you are willing to offer the asking price then, as he is working for the seller, he will advise them to turn down your offer as he knows you'll increase.

martinbuckley

We went to view a property on this type of arrangement. It was a repossession and was priced at £128,000, and seemed very cheap at that price - 5 years before it had sold for £155,000.

It wasnt for us and we didnt put an offer in, but I did notice that the offer that was accepted was £145,000.

If its too good to be true, it probably is. I doubt you'll get it for less than the asking price.

iB1

I think that you may have put your cards on the table a little early there unfortunately!

Regardless of what anyone else offers, the EA will know that you'll offer at least the asking price, so I wouldn't be surprised if you get a phonecall to say that a couple has offered "on or near the asking price"

Obviously, if it is underpriced and there is keen interest, you may have to go above the asking price, as there may be a bidding war

betmunch

Dont know why the EA is wasting his time allowing you to offer less than asking when you said you would offer the full asking price!

His job is to get the highest price posible for his vendors

Just make sure they keep you informed, and if it is as nice as you say then be ready for a bidding war

satchmeister

mouche wrote: »

Hi,

Bit of advice requested please. Husband and I really liked a property we saw on Saturday. It was an open house and there were lots of people there – the agent said he had booked 12 couples and there were at least that many people there. In our opinion it is underpriced for a quick sale and I called the agent today to offer the full asking price. I then asked if they would accept anything lower and he said ‘sure why not, offer what you’re comfortable with. Obviously on a property like this we could get a higher offer than the asking price or we could get a cash offer – I haven’t got all the feedback from the viewing s yet so don’t know at this stage’. So I made a slightly lower offer and asked him to get back to us if there was a higher offer. We are willing to pay up to the asking price (but not more) and I am now worried if someone else offers the asking price and they are the first to do so, their offer may be accepted before coming back to us.

Should I call the agent again and say I’ve changed my mind and want to offer the full price? We don’t want to lose the house.

PS: As you may have guessed, we are FTBs and new to all this.

Perfect for the EA, you don't want lose the house and will start by offering the asking price. Now all the EA needs are the two other couples to offer more, he may have to invent them but hey ho, more money for him and at worst you will be pleased to know that the EA really wants you to have the house and has been fighting for you against the other bidders. The EA will make sure you get it by saying how much above the asking price is needed to be 100% sure of winning.

betmunch

satchmeister wrote: »

Perfect for the EA, you don't want lose the house and will start by offering the asking price. Now all the EA needs are the two other couples to offer more, he may have to invent them but hey ho, more money for him and at worst you will be pleased to know that the EA really wants you to have the house and has been fighting for you against the other bidders. The EA will make sure you get it by saying how much above the asking price is needed to be 100% sure of winning.

If the EA does invent other buyers then he runs the risk of losing the buyer that actually does exist. I really dont think this happens as much as people think

If people just offer what they are happy to pay for the property they want then its irrelivant anyway really.

satchmeister

betmunch wrote: »

If the EA does invent other buyers then he runs the risk of losing the buyer that actually does exist. I really dont think this happens as much as people think

If people just offer what they are happy to pay for the property they want then its irrelivant anyway really.

I don't disagree but these people are well and truly hooked and will pay above asking to get it.

EAs do invent buyers and also have stooges at open viewings.

betmunch

there nothing wrong with paying above asking if the property is worth it. Paying more than it is worth is different though. It seems to me from the original post that the property was priced low to get lots of people in, therefore could be worth more than asking price.

If I was a vendor I would be furious with my EA if they invented an offer and this put off a serious buyer whos offer I would have accepted. Not saying it doesnt happen, just dont think its that common due to the risk of not being about to replace the lost buyer quickly in the current market

azkaban420

If you are willing to pay the asking price, and have already indicated this to the EA and you don't want to lose the house then you may as well offer it if you're not prepared to play 'dare' with them.

Once you've set your heart on a house, it's so difficult to walk away (have had it happen to us too) and because the EA is now well aware that you're likely to increase your offer, they will push you to this effect. Having said that, if there was plenty of interest, it may not even come to that. If they get a couple of higher offers, they may not even come back to you.

How far off were you from the asking price btw?

Az