Offers Over £130k

rpc

What is the home report valuation? Work from that rather than the asking price.

m0bov

Never tell the vendor your max budget! If its £125, offer £120, when they turn it down (if) ask to met half way at £125. This overs offer thing is b******s anyway and meaningless! Offer what you think its worth to you.

googler

rpc wrote: »

What is the home report valuation? Work from that rather than the asking price.

Probably £5-10k above the asking....

rpc

googler wrote: »

Probably £5-10k above the asking....

In which case an offer £5-10k below asking would be perfectly OK :-)

I have seen a variety of combinations of HR value and OO price. In quite a few cases, the asking price (offers over) and the HR value are the same. Slightly mad in most areas...

scottishgirl87

Thanks all, don't have the Home Report value at this point but will obviously ask for this if we do decide to have a viewing.

LauraMac_2

It's definitely possible to get a house under the offers over price in Scotland - my partner and I are FTBs in Scotland have just done it (after negotiation, our offer 4% under O/O price was accepted and we collect the keys on Monday). It's very much area, property and seller dependent though. I used price comparison reports on Rightmove to work out that many properties in the area we were interested in ultimately sold for 2-5% under asking price - there were no similar properties to compare with, but I looked at the area as a whole for the last two years. For our house, Home Report valuation was £5k above the asking price (and I'm sure I read something somewhere saying that the average house sale in Central Scotland/The Lothians in the first two quarters of this year has been agreed at 7% below HR valuation).

scottishgirl87

Sorry for dragging this thread up but thought it made more sense rather than starting a new one.

Viewed the place on Monday night and liked it, then received the Home Report which states it's actually valued at £150k (which the owners paid in 2009). Forgot to mention before that the current owners bought it as a new build in 2009. There are 2 or 3 points that I think could put potential buyers off - it's literally within spitting distance of one of the most "notorious" areas in the area, however, is actually located in what's regarded as one of the "best" areas around here albeit on the border.

Long story cut short - I don't really think it's worth putting in an offer of £125k max when it's valued at £25k more I did ask estate agent if there was any negotiation in price and they said they had been informed to pass any offers to the seller. Oh well.

julieb1987

Keep looking around (I assume there's no rush as you're FTBs), see if there's anything else you like, but keep an eye on the other property. Express interest to the same EAs in properties for your budget so they get an idea of what your budget is without you having to tell them. That way, if there's no serious interest in the other place for a while, they may convince the vendors to go a bit lower in price.

ChasingButterflies

Hi,

As previously pointed out you really need to research sold prices, tools like Property Bee, Rightmove Sold Prices/and their price comparison reports are all very useful. Also you might find that the OurProperty website has sold prices listed that don't appear on Rightmove (don't ask me why!) I have found a couple when I was doing some digging... Also the onesurvey site for looking at Home Reports (if it covers your area) If there is nothing that relates to your specific property, widen your search area...

We put our property on the market last year at the time I was keeping a check of what was happening in our local market (i.e. what was coming on, what the home report value was, how long it was taking to go under offer and what it sold for) I also was keeping track of the area we were hoping to buy in... This meant that I spent a lot of time staring at a computer screen, however I noticed that a particular surveyor viewed properties with rose tinted glasses and this was reflected in the home report valuations produced, which then meant that when these properties were sold there was large differences between the valuation/asking/sold prices... (btw we didn't use them to sell)

http://www.scotsman.com/business/home-reports-inflate-prices-by-20-1-1367715 < Then this article started to make sense... but I won't get into the debate of if Home Reports actually help anyone other than surveyors...

The first offer we received for our property was 10% under HR we ended up meeting at 6% under and at the time didn't really realise how lucky we were...

We ended up moving into a rented property in the new area and sitting on our deposit while still keeping track of what was happening, there was a property which came on just as we had sold our house which was of interest to us but was seemingly way out of our budget... until I noticed that nothing above a certain price bracket was selling. Long story short, after 5-6 weeks of negotiation we settled at 20% under the original HR value (which was carried out by another rose tinted surveyor) When the HR was refreshed it came down to 10% over our offer price. The trade off was that the vendor was as obstructive as possible, removed several items that should have been left behind and left behind loads of *stuff*

Once our sale was concluded our solicitor, their solicitor and the estate agent all breathed a sigh of relief and commented that they never had dealt with anything like it before (although nothing to do with the price the vendor was just a tad difficult in general!)

Apologies for the length of post but just to point out that you really can't do enough research... Especially given the sums of money involved.

Out of interest, did you ask how many viewings your seller had, had? The reality is the figures need to be able to stack up for both sides... but you won't know until you offer!

All the best

scottishgirl87

Thanks for the replies julieb1987 and ChasingButterflies. ChasingButterflies - I'm going to read that article after I post this

I think deep down we know we can't afford what they're looking for but part of me is tempted to make a cheeky offer - worst case scenario is they say no. Keep thinking about it though.