Advice of making a second offer

Ciderarmy1987

Hi

We have found a house that we really like, after a second viewing we decided to make an offer. It is on the market for 164995 but we think it is over priced due to other sales on the street.

We put in an opening offer of 142000. This was turned up by the vendor and the response from the agent was that she was looking to be closer to 164995 but wouldn't commit to a figure.

She asked if she wanted her to call us later to discuss raising our offer us later but we declined.

We will raise our offer on the house up to a max of around 152000-153000

Does any body have any advice on where we should go from here, we are reluctant to raise our offer first with out getting a counter offer from the vendor.

Cheers

becominganobsessivesaver

What have other houses sold for. Were they the same style. Put your second offer based on that, maybe specifying thar any valuation would consider recent sold prices, so you won't go any higher, and then just leave it on the table.

Ciderarmy1987

The next door house has sold for 164,000 but has a bathroom upstairs as opposed to down stairs, and an en-suite in the main bedroom and is an end terrace rather than a mid.

Otherwise they have pretty much the same floor space and in similar condition.

Cheers

Dave

Excited13

How long ago did next door sell? If it's fairly recent and the house hasn't been on the market took long the vendors may be inclined to sit it out. Also do you know if there is much interest?

grifferz

Ciderarmy1987 wrote: »

The next door house has sold for 164,000 but has a bathroom upstairs as opposed to down stairs, and an en-suite in the main bedroom and is an end terrace rather than a mid.

Otherwise they have pretty much the same floor space and in similar condition.

So if you feel that the difference between the houses brings your max down to "£152k-£153k" maybe you should offer £150k next and then if they reject that say your final offer is £153k?

Or is it that you feel that the downstairs bathroom, lack of en suite and mid-terrace make it worth less than £150k?

Whatever the case I would agree with becominganobsessivesaver who advised you to base your next offer upon the sold prices of similar properties and your feeling of what the place is worth, as opposed to any notions of what they are expecting or what you think they will suggest to you next.

Then again I am a prospective FTB myself so you have more experience than me. That's just what feels right to me!

Ciderarmy1987

The house next door sold at the beginning of 2012, this house has been on the market for just over 6 months, with 2 different agents. I think that there have been viewings but the agent has told us there haven't been any bids on the house in the last 3-4 months.

Ciderarmy1987

Also we are no sure how long to wait until we make a second offer

moneyistooshorttomention

Regarding waiting for the vendor to come back with a counter-offer - you could be waiting a long time for that.......

As someone about to "go on the market" I will have 3 possible responses to offers:

- You must be joking

- No (offer more)

- Yes

I wouldnt dream of coming back with "Dont like that offer - now if you were to offer £x on the other hand....". I would imagine a fair few vendors wouldnt "make like a Turkish bazaar" and come back with a counter offer.

Ciderarmy1987

If you are not willing to enter into negotiations when the market is so strongly in favor of the buyer at the moment your house is probably going to sit on the market for a long time.

moneyistooshorttomention

I don't think so.

I would just expect that a buyer will make an offer and, if I reject it, they'll come back with a bit more. If I reject that as well - they'll come back with a bit more again.

At some point they will have either reached a reasonable offer and I will accept it or I'll think "Havent heard from Mr/Miss X for a few days - obviously their last offer I received is the last one I am going to get from them" and wait for another offer to come in from whoever is next to make an offer.

Fingers crossed that the majority of offers I receive will be reasonable to start with - but I am aware present economic climate might mean several offers in a row from a hopeful would-be buyer before I can manage to get them up to a reasonable level OR maybe never hearing from them again...

ACG

I would go in at 147k, then say final offer is 150k if they still decline it then say 152k is your final final offer, you cant get any more funds than that.