Seller insists on asking price - is that normal?

BigAlC

Unfortunately Vendors can be as stubborn as Buyers, and by all means they have the right to be if they want or need a specific value for their house.

For example: We have recently offered on two houses, both have been on for over 6 months currently (one was put on, taken off then put back on the market again) and the prices are in that no mans land above the stamp duty threshold and are not worth going over it in my opinion. The other was brought by a do'er up'per and he freely admitted that he had a lot of equity locked in to the house.

When speaking to EA's however they assure me that the vendor is sticking to asking price and won't drop. At which point I just say ok, there is my offer, keep me in the loop if they change their mind as I'm not interested in getting drawn in to a silly game.

It's not your job to convince them that they have priced above market value, time will make them realise that when it hasn't sold for the next 6-12 months and hopefully the EA will aid that decision.

Ultimately if you think it isn't worth the extra money then place a final (perhaps reduced offer) on the table and walk away leaving it open. Ring back every so often, just to see how things are progressing and keep looking.

You have nothing to lose, they perhaps do.

cooky136

As a first time buyer I knew what my budget was, and didnt look at a house priced above that, to prevent getting upset if I couldnt have a house I loved.
I had decided on what area I wanted to live in, and through local knowledge/visiting friends and family, even knew the streets I wanted to look at.

I viewed a house in March and on first viewing it ticked every box. Good size, gardens, parking, close to shops. All the usual things.
On my second viewing, I raised some questions with the EA who contacted me a few days later with the answers. It turned out the house needed rewiring (which they were not previously aware of), so naturally that would lead to needing a new bathroom, kitchen, decorating etc.

I factored these in to my decision and put an offer in. The vendor rejected the offer, stating that she wanted the asking price. I told the EA that I was not prepared to go near the asking price due to the work needing done. I took the tough love approach. Yes I felt sad, but knew I had to do it.

Later that week I viewed a house further up the street from this property (about 40 houses up, its a long street). It was on for a few thousand less that the other house having recently been reduced from the same price of the other house, so I was comparing the two houses.

It was what I wanted, no rewiring needed. All cosmetic work.

I put an offer in that day...accepted. WOO HOO!!!

Today, a week and a half after starting all the legal and mortgage business, the EA from the first house has rang, the vendor has decided she'll accept less than the asking price. I explained that I am in the process of buying another property, and it's too little too late.

It's a buyers market, and if people are like me, they move quickly.
I was one of 20 people who had looked at the first house, and the only one to put in an offer. I would put money on that house still being for sale when I *all being well* move into my house.

Like BigAlC said "You have nothing to lose, they perhaps do."

DRP

cooky136 wrote: »

As a first time buyer I knew what my budget was, and didnt look at a house priced above that, to prevent getting upset if I couldnt have a house I loved.
I had decided on what area I wanted to live in, and through local knowledge/visiting friends and family, even knew the streets I wanted to look at.

I viewed a house in March and on first viewing it ticked every box. Good size, gardens, parking, close to shops. All the usual things.
On my second viewing, I raised some questions with the EA who contacted me a few days later with the answers. It turned out the house needed rewiring (which they were not previously aware of), so naturally that would lead to needing a new bathroom, kitchen, decorating etc.

I factored these in to my decision and put an offer in. The vendor rejected the offer, stating that she wanted the asking price. I told the EA that I was not prepared to go near the asking price due to the work needing done. I took the tough love approach. Yes I felt sad, but knew I had to do it.

Later that week I viewed a house further up the street from this property (about 40 houses up, its a long street). It was on for a few thousand less that the other house having recently been reduced from the same price of the other house, so I was comparing the two houses.

It was what I wanted, no rewiring needed. All cosmetic work.

I put an offer in that day...accepted. WOO HOO!!!

Today, a week and a half after starting all the legal and mortgage business, the EA from the first house has rang, the vendor has decided she'll accept less than the asking price. I explained that I am in the process of buying another property, and it's too little too late.

It's a buyers market, and if people are like me, they move quickly.
I was one of 20 people who had looked at the first house, and the only one to put in an offer. I would put money on that house still being for sale when I *all being well* move into my house.

Like BigAlC said "You have nothing to lose, they perhaps do."

good story and common sense. :beer:

The price attained is dependent on both parties. My house is just about to go on the market (this week i hope), but my wife and i have no real pressure to sell at the moment, therefore I strongly feel I should more or (very slightly) less, hold out for the asking price.

However, no doubt if we see a property we love , we will be more desperate and things will change...

Flyboy152

princeofpounds wrote: »

It's not usual but it's not abnormal.

Many people hate 'games' around asking prices and just say 'this is what I want, take or leave it'.

More people cannot sell for less than a given figure because it will not permit them enough equity to do whatever it is they want to do afterwards. Or on a more basic level it might mean it doesn't cover the mortgage, so the bank won't permit a sale.

Or the Estate Agent is holding out for a bigger commission and hasn't actually passed the offer to the vendor.

RobertoMoir

scarletjim wrote: »

How do you work that out? I'm definitely not paying the asking price, so I'd go away and think that through again if I were you.

They don't know that.

They do know that sticking with their current line has seen the offer increase. Therefore its not an unreasonable strategy.