time limit on offer

unbeareableLightness

I'm an FTB who just made my first offer and would like your advice on tactics. I made a really strong offer: asking price, very large deposit (over a third of the price of the property), no chain, full flexibility on time. But I'm buying in London and I know this property had a lot of interest. Each of the two times I went to see it there were multiple other viewers there at the same time.

I don't want to put this strong offer on the table and have the vendor sit on it, waiting for other offers to come in so they can play us off each other. I also want a quick sale and want to test if the vendor is really committed to make it happen as well. So I put a timeline on my best and final offer of 24 hours.

The 24 hours pass and I hear nothing at all from the EA. I call up today and they say, the vendor has had a lot of interest they want to wait for all offers to come in before making any decisions. This is precisely not what I want to happen and I withdrew my offer.

Now I'm thinking though I've taken myself out of the running, maybe unnecessarily? Should I just have hung in there and see what happens? What do you think and have you used time limits before?

In any case, I think I had to stick to my word as I don't want the EA to think my limits mean nothing and I can always be pushed to do what they want.

hazyjo

No - I wouldn't use one. Absoutely pointless to put pressure on the vendor. Why should they take the first offer when they think they'll get higher? I'd probably tell someone giving me 24 hours where to stick it

As you've found out, you're only cutting your nose off to spite your face as seeing as you've made the threat, you're having to go through with it and lose a house you may have got!

Don't think in this case it's the EA - the vendor are probably doing exactly what the EA said. Waiting to see what other offers come in.

Jx

pawsies

You are buying in London where it is manic atm. Of course they are not going to accept someone who puts a deadline on their offer. They probably have had cash offers too which puts them in a stronger position. Wherever you try to buy right now in London will be the same, in other parts of the country a deadline would be ok but not in London right now.

ging84

you have shot yourself in the foot haven't you

telling someone they have 24hours to make a major life decision is unreasonable

tumbledowngirl

I've only sold twice, but from that very limited experience I can say that if a buyer started off by being very demanding, I wouldn't be keen to sell - I think you have to remember that house selling/buying is a 2 way street; both vendor and buyer need each other.

harrys_dad

Seems to me that the only way to get someone to accept an offer quickly in London is to offer your first born child. What madness.

googler

ging84 wrote: »

telling someone they have 24hours to make a major life decision is unreasonable

Yet it happens in Scotland every day. Second condition on p3 of a standard offer letter -

http://www.lawscot.org.uk/media/418745/csc%20third%20edition.pdf

Jenniefour

24 hour deadlines on first offers are not usually helpful in any market. Sadly, you were in a very good position - big deposit, no chain and flexibility - and it's not always the highest offer that gets accepted.

You can try going back, saying you've had a rethink and you're really interested but I'm not sure the vendor would have any reason now to trust that you would be a committed buyer.

My suggestion, if you're now out of the running on this property, is next time stick in there after you've made your offer, think about whether you would be willing to increase and, if so, to what limit. Unfortunately, the London market is crazy at the moment and the fact is that if you don't stay with the process to give yourself a chance then you are going to be effectively priced out of the part of the market you are aiming for now.

ging84

googler wrote: »

Yet it happens in Scotland every day. Second condition on p3 of a standard offer letter -

http://www.lawscot.org.uk/media/418745/csc%20third%20edition.pdf

I would be very very surprised if the practice is to send in a formal binding offer in writing without first negotiating an agreed price or the vendor asking for final offers

googler

ging84 wrote: »

I would be very very surprised if the practice is to send in a formal binding offer in writing without first negotiating an agreed price or the vendor asking for final offers

Prepare to be surprised. It's not 'practice' in all cases, but I'd expect it's happening somewhere in Scotland every weekday, as well as 'negotiating an agreed price or the vendor asking for final offers'.

unbeareableLightness

But the vendor can mess the buyers about too - they can keep waiting for more offers or decide not to sell. I want to move soon and want to see if they are committed to actually selling. As you say, the London market is manic and the prices are rising all the time. What does everyone think about making multiple offers and taking whichever one comes in first?