FTB offer refused, now what? tactics required!

Swafe

Hi all,

Found a house I really like, its priced at 150k, which is reasonable but maybe slightly higher than average price for the area, I thought I'd take a look anyway

Got inside and the house is deceptively spacious and very nice, I quickly decided I wanted it but tried not to give any signs away to the EA

I came away and thought the property was worth about 140k, there is a development not too far away which I think knocks it down to this value, plus other propertys in the area have recently gone for similar amounts, but maybe slightly less nicely decked out

So my options were really, go in low (130-135) and work my way up when I got declined or offer what I think its worth (140) which gives me no 'wiggle room'

I went in at 140, only on the basis that the pictures dont do it justice and with it just going on the market I feel that once people actually get in there, itll fly out of the door, probably at the asking price. I was hoping that my position (FTB, big deposit) would be enough to sway them but clearly not the EA asked me to up it and said the seller wanted 145 upwards - although as it was new to market and theyve had a fair bit of interest they want to wait for other offers (this could be a week, a month or forever tho, who knows!) sounds like they want to wait for the most they can get for it, even though I am in a good position and with a good offer

Now, what do I do? I would like the house, but dont want to pay more than its market value (I feel), I am a bit stuck and dont want to increase, is it worth reiterating my offer in a few days ? or a week later? The seller is not in a chain either so it would be a quick and easy deal, with the price of it chances are in my area it would put most people in '2nd house' territory meaning they will get themselves in a chain that could fall through, all for the sake of a couple of thousand extra, not sure how to manage the situation really, reiterating it would show them that I cant move on price, but also shows my hand that I am interested in it, how long do I wait before calling, or wait for them? And what do I say to push them along? Put the offer on the table for a few days and then say Im looking elsewhere? This would tempt them into accepting it if they have no better offers (none better when I offered at least) as they are keen for a quick deal, but it seems they have the flexibility to wait for what they want if the right offer doesnt come along

Thanks

MysteryMe

You have said yourself that you think the house will achieve close to asking price so it's no surprise that the vendors want to see if they get better offers on a newly listed property.

If you don't want to up your offer let the agent know that and then start looking elsewhere, hopefully another house will come on the market that is priced at a level you are comfortable with.

Jenniefour

Market value is actually what someone is willing to pay. You could leave your offer on the table, increase it or walk away as MysteryMe has said.

What strikes me most about your post is that some of the points you are considering apply to falling or stagnant markets - are you in such an area or are sales picking up? If sales are picking up then it might be useful to to put less time and energy into wondering what strategy might convince the vendors to accept your offer and consider other your options - like offering to meet them halfway - if you really want this house.

Swafe

I think it will achieve closer to asking if people view it, but from the pictures its not marketed very well so achieving the asking will only be based on the people who view, not see it on rightmove, and then this depends whether they get the right people in for the viewing who are browsing or in a position to buy immediately, like myself

I should have gone in lower and offered to meet in the middle, but that ships sailed now and I am where I am, I feel my offer is there about my limit, but very fair for the house, especially considering my situation (and theirs) I feel if no better offers come in within the next month they will come back to me and ask if my offer is still there, but Im not willing to wait that long as if I were to do a deal, I want to do it as soon as possible

Dan-Dan

how has that ship sailed? , the house is up for 150k and 145k would be the half way point?

to be fair , if i was selling now , i would be very reluctant to accept under AP for a good few weeks

gazfocus

Swafe wrote: »

I think it will achieve closer to asking if people view it, but from the pictures its not marketed very well so achieving the asking will only be based on the people who view, not see it on rightmove, and then this depends whether they get the right people in for the viewing who are browsing or in a position to buy immediately, like myself

I should have gone in lower and offered to meet in the middle, but that ships sailed now and I am where I am, I feel my offer is there about my limit, but very fair for the house, especially considering my situation (and theirs) I feel if no better offers come in within the next month they will come back to me and ask if my offer is still there, but Im not willing to wait that long as if I were to do a deal, I want to do it as soon as possible

If you really don't want to go any higher, I would phone the EA back and say something along the lines of "After much consideration, I am unable to increase my offer further. I have seen another property I am considering offering on but I will leave my offer for this property on the table til end of tomorrow. If I hear nothing back, I will assume the offer is not acceptable and therefore please consider the offer withdrawn"

8-of-us

Just a quick question... have you only viewed it once?

Swafe

Yes, only viewed it once

ess0two

Snooze you lose,offer 145k and leave it there.

Dan-Dan

Swafe wrote: »

Yes, only viewed it once

You have given them the impression you love it , no wonder they are hanging out for more

yorkshire_terrier_owner

It sounds to me like this house will achieve on or near the AP.

Interest generates interest and this property now has an offer on it. When I sold my house, I thought nothing of telling viewers that I was in receipt of offers, although I refused to tell them what the offers were. It meant I got the best possible price for my house.

When I sold my parents house, we had a low offer within days of it being on the market. We had other viewings booked, so no way were we going to accept the first offer. That buyer kept coming back telling us his offer was still on the table, to which we said thanks, but no thanks.

FYI he was a first time buyer. We sold to a couple who were not. Just because you are a FTB doesn't necessarily mean you are favourable. I know lots of people who refuse to sell to FTBs because they are inexperienced. You might be in a Good position, but you also don't know the position of other buyers who may be in an even better position than you are.

When I purchased my current property, I was up against a FTB. Even though I was in a chain, I was financially in a much better position than the FTB.

I am no expert and neither can I see into the future, but I suspect if you are not willing to up your offer, you will lose out on this property.