Advice when buying by informal tender

Russ0601

My partner and I have just found a property we like but it's for sale by informal tender.

I had a look around earlier today and it needs total modernisation, there is no central heating and I expect it will need rewiring too. Despite this with a bit of cash and some hard work it would make a lovely home.

I know that informal tender means sealed bids, but what I don't know is what other information should we include when making an offer to put us in the best position possible?

The offers must be in by the 31st of October, should we get a mortgage in principle and a solicitor before this or should we wait to see if we actually get the property first?

eddddy

It's the same as making an offer on any property really - the more credible / serious / proceedable you sound, the better.

But if I was to be very, very cynical, it might help your cause more to say to the EA something like:

"If my bid is successful, do you have a mortgage advisor I could talk to, and can you recommend a solicitor?"

An unscrupulous EA might push the vendor harder to accept your bid, because of all the extra fees the EA would earn.

(But then perhaps change your mind and use your own advisor/solicitor instead.)

anselld

Make sue you check what "introduction fee" is due to be paid if you win .... and deduct from the amount would otherwise bid for a normal sale.

stator

Yep, make sure you account for the fees.

Get an AIP if you can and include that. Tell them anything that would help, ie if you are FTB, ready to move within X weeks etc

whalster

Put severe bids in from family at different addresses if you have an offer accepted and y have a few lower bids in spin the wheel and gamble on telling them you no like Niger want it and wait for the next phone call .believe me it does work but you always have the possibility that there is someone in between .



Good luck

Russ0601

Thanks for the advice. I was unaware of the introduction fees and will ask the estate agent when i go and view it again with my partner on saturday.

I think we are in quite a good position. First time buyers, live with parents so can complete when the vendor wants. It's all down to money. The property has a guide price of £160k but no property has sold in that road since 2009 so not much to go by. The max we can go to is £175k assuming we dont have to pay the introduction fee.

stator

Just offer what it's worth to you and good luck