Help - house price offer

Paulahill

Can anyone advise?
We just got a call to say we have got a mortgage for 180,000 and we are putting down a 20,000 deposit so total 200,000. We are first time Byers currently living in armed forces married quarters so have no ties at all on our side and can be out of our MQ quite quickly. We have seen a wonderful house perfect location done up lovely and ticks all our boxes it's on the Market for 224,000. What's a 'reasonable' offer to put in for it? Husband and I are bickering he thinks to just drop a couple of thousand and I think more! Husband is a little older than me and seems to think he knows more!!! Any feedback would be massively appreciated
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USM

I'd start at £185,000.

Paulahill

Really isn't that massively low????

USM

Don't you want it for the lowest price possible?

This is a business negotiation so lob your opening round with the caveat that you're in a great position with mortgage agreed and let them work to find some middle ground you all agree on.

Paulahill

Oh right!!
Thanks for the advise! And worth a shot?!
Any other suggestions out there

pleasedelete

Depends on the local area and the house?

What is the local market like?
How long has house been for sale.
Do sellers have a property to move to?
Do they have any bother offers?

Look on a house price website- I like houseprices . Co .uk for the prices of recent sales in the market.

Catblue

Have you checked the actual sold prices for similar properties in the neighbourhood? Rightmove has a section that shows actual sold prices so these will give you a good idea of what houses have gone for in that street or neighbouring streets.

Remember that your mortgage company will also do a valuation for their own purposes so the deal won't go through if you really have offered too much.

aka_shortie

Remember, you can always increase your offer, you cant decrease it, so start low!

pleasedelete

The risk of starting low is that the seller doesn't take you seriously. If you make a low offer you need to be clear why and what makes your offer attractive.

KateLiana27

This was my approach, which may not suit everyone:

Work out what the house is actually worth (using methods others have suggested) and offer just slightly (5K?) below that, stressing that you believe it to be a reasonable offer and your excellent position as proceedable buyers. Ignore the asking price completely. It may be actually be worth the full asking price, or it could be worth £50 000 less; this should determine what you offer, not some % below a (frequently arbitrary) number thought up by the vendors.

more_money_for_me

As has been said. Research the local market. There is a very good tool called property bee which works with the Firefox browser. It shows all changes since a house came on with an agent, so you can see if local market is falling. Also look at sold prices, which has been suggested, available through various sites for free. I would also advise going in low, don't let on that this is your ideal home to the agent, you are someone in a position to buy quickly but you are lokking for a deal. I personally would aim to start 185-190 with an aim of getting it for 200. The vendor may not go for this but don't rush, walk away for a bit and see what they come back with after a week or two. The agent will tell you they have someone else interested/ someone prepared to pay the asking price. Good Luck.