First Time Buyer in London Asking vs Selling Price

MGCP

By the time prices are available through the land registry you could be looking at a price that was agreed more than half a year ago. Unfortunately in parts of London that price will be ancient history, the market has moved on since then.

I hopelessly underestimated what a couple of properties would sell for based on Rightmove's sold figures. It was an important but rather depressing lesson!

rxp

Agree with MGCP - SecondTimeBuyer, I don't know if your purchase 12 months ago was in London, but things have changed a awful lot since then. We've been looking in SE London and thinsg are consistently going for 10 - 15% over the asking price. This is for properties at £400 - 450k.

To get back to the initial question, I agree going in at asking price makes sense for the first offer. I think that is enough to be taken seriously, and in this market you would have to offer an awful lot more if you are hoping to avoid a best & final bids situation.

bouicca21

Secondtimebuyer, a year ago it was a buyer's market. Now it is a seller's one. You bought at just the right time. Wish I'd been able to.

zarf2007

SecondTimeBuyer wrote: »

I can't believe the bad advice on this thread! I bought 12 months ago and bought it at 7% under asking price. I would strongly suggest you should never over bid on an a property unless it has been completely under valued by the estate agent. You are also at a high risk of getting declined for a mortgage by the surveyor or entering negative equaty when interest rates rise.

Please undertake the following steps and make sure that you are not over paying for the property:
1. Hold off from appointing a solicitor or applying for a mortgage until you have completed step 2.
2. Check Zoopla, Mouseprice, and RightMove for actual sold prices for similar properties on your road, and adjacent roads. Ensure you are paying within the same price bracket.
3. If you are over paying withdraw your offer (you can withdraw or negotiate your offer up until exchange of contracts) and look to renegotiate.

Good luck!

yes follow the above advice, and be prepared to lose the property you want!

wake up !!!!!!, the prices have moved on in the last 3 months let alone when you bought a year ago....in London you either roll with it or it will roll over you.....anyone offering below asking price will be laughed at....it may not be nice but its fact!