What should I offer on a £271k house?

Scudlink

napoleon wrote:

Forgive my ignorance but what does SSTC stand for?

Sold Subject to Contract.

20k is a bit of a drop but because of the 250k threshold, I wouldn't think it's completely unreasonable for a buyer to offer 249k and surely the seller must be expecting this may happen.

Obviously not sure how long this property has been on the market and if it has previously been reduced in price, but don't forget estate agents value at the top end and work down if interest is slow or offers are lacking. Depends also on how desperate the seller is wanting to sell.

lypsey

Offer 240K and see how they react

Sybarite

lypsey wrote:

Offer 240K and see how they react

Even cheekier than I'd be prepared to be!;)

Prosaic

240? I don't want them to slam the phone down!

I am phoning later today to offer 249,999 - will let you know what happens

zag2me

Why offer so much?

I am selling my house currently and the estate agents over valued my place by at least 10%, the seller wont be expecting above 250k so why offer so close to the 250 with your first offer?

Remember you can always raise your offer, but starting so high will give the seller false expectations.

irnbru_2

Prosaic wrote:

240? I don't want them to slam the phone down!

Why? Are you prepared to offer more for the house just so they'll be polite with you?

How long has the house has been on the market?

Sybarite

I'd offer lower than a penny off 250k, you need to give yourself some negotiation room (non-one wants to take a first offer) in increments of £500-1k.

I think perhaps 245-6 is a good opening with the expectation you might (fingers and everything crossed) scrape in at under 250K with £249,950 as a final offer?

As has been stated depends on the seller circumstance & other variables.

Doozergirl

Prosaic wrote:

Nethouseprices show 2 others went in Aug 2006 for 240k? Seems a lot cheaper - maybe these were 2 bed whereas ours is 3?

Maybe that's what these houses are worth, including the one you're interested in! Perhaps it would be worth driving past these two houses and establishing the difference rather than trusting the asking price (which may not even be the EAs valuation of the property!). In that price range, a third bedroom is worth more than £30k, I think.

EA's will have to market significantly over £250,000 for anyone to make an offer over it. They try it for a while and see what happens. I really would be driving down that street to look at the other houses before I offered to pay even £10k more than the neighbours, let alone £30k :eek:

Apart from the fact that I would never pay between £250k and £275k for a property, unless it was seriously undervalued, I think you are far too trusting! How many houses have you been to see over £250k and how many have you seen at £250k or just under? Do you think the asking price really reflects the fact that you have to add at least another £5000 in Stamp Duty?

If you are going in with the £249,999, I'd just offer the flat £250k. 3% Stamp Duty is payable at £250,001 and above, so you won't get caught out at £250k and it justs sounds better than £249,999.

Prosaic

Sorry, I was rushing around this morning & I've had a chance to read the replies properly.

You're right, I was diving in without checking - I think we fell in love with this place Saturday but now I've taken time to think I'm being more calculating

We're driving to the street this afternoon & I'm going to check the other houses

The one we like is a 3-bed semi on at 271,995. Seems an odd amount & I wonder if it was originally 275,000, which is good as it means it's been on the market a while. Will check with the EA this afternoon

Two of the neighbouring houses went for 240k last Aug. Our one has a v nice conservatory on the back, which their's doesn't so I guess it's bumped up slightly, but even then I guess we're realistically looking at 250-ish

Perhaps 245,500 would be a better starting figure?

Doozergirl

You know where you are now then. It's overpriced.

Please do not pay more than £250,000 for the house! and please, just go and view several other properties in the price range to get a better idea of value. We are talking about a quarter of a million pounds here - you should be sure of it's worth! If you have seen enough you will start to recognise whether a house is worth the asking price :0