Would you accept the first offer ?

loanranger_4

We've had our property on the market for a couple of weeks, we've had a lot of interest, and now we've received our first 'sensible' offer over the stamp duty threshold, it's at 93% of the asking price. We will be rejecting the offer.

However the agent is saying that it is a very good offer (proceedable buyer), and that we may not get another offer for a year ! (somehow I don't believe him).

Anyway would you accept the first offer on a property if it was at a similar level or hold out for more ?

Thanks

dougk_2

No, not unless it was the asking price - As far as I can see everyone offers less than what they are willing to pay.
I would reject it and say a figure around the 96 or 97% mark and see... you can always change your mind and say after speaking to my xxx we have had a rethink.

zzzLazyDaisy

I wouldn't reject it outright. I'd go back with a counter-offer and see if I could get them up a bit. But it is a buyer's market - you only have to look in estate agent's windows to see how sluggish things are, so few buyers are willing to go to the asking price these days.

Murtle

I'd go back with a counter offer!! something that you would be happy to accept, although not the asking price. I think alot of buyers think that that the asking price is more then is realistically wanted!! I did when i bought mine, and they agreed to a lower price then offered, but not as low as the previous offer to mine was!!!

deemy2004

Yeh, reject it the 90% of buyers will put in a second offer.

And most maybe a third offer, so you do have some room for movement.......

You can also guage how much the buyer wants the house if they come back with a higher offer straightaway or after a few days. if its after a few days then you probably have less room for movement than if its straightaway.

ITtim

the way i see it, people will generaly only make an offer on a place they want. If they aren't prepared to negotiate and put in a reasonable offer then they aren't that serious about buying it and will pull out (like my buyer did last week) I dont think many people are going to get asking prices right now but if you make the buyer belive they have negotiated and got a good price they will be happy.

Pottymouth_2

I made an offer on a place and backed it up with why I had offered a reduced price - whole house needed re-wiring, asbestos in flue, lead water pipes, corroded window sills, no double galzing and a whole lot more etc...

I made what I think was a reasonable offer under the circumstances. The sellers turned me down and made a ridiculous counter offer (knocking £1k off).

I told them thanks and goodbye.

This was July 04 and the property is currently unsold.

I can''t advise you of your situation with a level of strength, but its not as simple as some people have said above. Think long and hard and hold out for a "fair" price. If you're potential purchasers have offered a fair price - I'd suggest going for it. Or perhaps ask them to back up their reduced offer - i.e. why are they offering less (through the estate agent).

Good luck.

Potty.

loanranger_4

Thank you people!

The buyer ended up making three offers and we settled on a sum halfway between their initial offer and the asking price.

As mentioned how you respond to the first offer can determine whether the negotiation has any legs.

After all a house is worth what someone will pay for it !

NewEnglandYank

Here's what happened in my recent home buying experience. A house sat on the market for over a year and a half. It had 2 offers in the beginning. One couldn't get financing in the end and the other offered 93% of the asking price. The seller rejected this offer. Now, over a year later, it has gotten no more offers. The seller reduced the price 3 times! My wife and I being 1st time home buyers with not a lot of money made a very low offer. In fact, our offer was $10,000 less than the first offer! We were quite surprised when the seller accepted immediately. The seller was tired of his house sitting vacant for so long and feared having to pay the property tax again since year 2 was approaching.

azkaban420

You've responded to a thread from 2005

Az

NewEnglandYank

azkaban420 wrote: »

You've responded to a thread from 2005

Az

I know. But people can still use information...:)