Vendor Raising Price

toddler9

I was due to view a property on saturday- it has been on the market for around a month and needs a lot of work (boiler, plastering, kitchen bathroom etc) it is priced at £115k which I think is slightly high given the level of work and others which are more "done" selling in the same vicinity. But definitely worth a view.

Today the EA called me to say that the price has now gone up to £120k due to lots of interest. I asked if an offer has been accepted? No she said but there have been "lots of offers over the asking price" so the vendor wants more. She asked me if I still want to view the house but I declined. You wouldn't see a return on your money at that price (seller will now only accept £120k) and the work it needs.

I wished the seller good luck and hope he gets what he wants for it. I can't help thinking he is being a tad greedy. Anyway I just thought it was a very strange scenario. Or maybe not?

jjlandlord

I once viewed a house and made an offer.

The agent called me and told me that they had received 2 offers 20k above mine and if I wanted to increase my offer.
I declined and replied that they should go with those offers.

One week later the agent called again to tell me that these 2 offers had fallen through and if I wanted to increase my offer a bit...

I declined again and the house then stayed 6 months on the market before the seller pulled it.

My point is that this is all a poker game. You should stick to what you are happy to pay.

ReadingTim

Maybe the owner raised the price to deter those unwilling or unable to make an offer which will match what the owner thinks it's worth - it's worked on you!

HouseBuyer77

I think if a vendor gets multiple asking price offers it's normal for there to be a second best & final round of offers. The vendor in this case has decided to put a guide price on these best & final offers, you can feel free to ignore it and put in a lower offer anyway.

If they've got unrealistic expectations then there's not much you can do. Or maybe you've misread the market as it'll happily go for 120?

toddler9

HouseBuyer77 wrote: »

I think if a vendor gets multiple asking price offers it's normal for there to be a second best & final round of offers. The vendor in this case has decided to put a guide price on these best & final offers, you can feel free to ignore it and put in a lower offer anyway.

If they've got unrealistic expectations then there's not much you can do. Or maybe you've misread the market as it'll happily go for 120?

This actually crossed my mind- perhaps I'm missing a trick and it rally is worth that. I actually live 2 roads away and bought my house in exactly the same state as that one (same layout downstairs exactly) except this one has 3 beds and mine has 2. I paid £95k 3 years ago, and mine is in a slightly nicer location (think cars up on bricks in the house opposite that one). So I guess I can't really justify £25k more for a box bedroom difference.

Although maybe I am wrong, the times have changed the market is in the up. I'll see - if be VERY surprised though if it went did £120k. I'll keep you posted!

toddler9

ReadingTim wrote: »

Maybe the owner raised the price to deter those unwilling or unable to make an offer which will match what the owner thinks it's worth - it's worked on you!

I guess. But the owners expectations and what people are willing to pay are two different things. It will be intersting to see what happens, and a real sign of the times round here in terms of property. (Also I am a bit desperate for a bigger house so I hope I'm not shooting myself in the foot! Ha!)

G_M

Nothing strange here.

If I was selling and several people made offers /expressed interest at/above my asking price, I'd explore upwards to see what I could get.

The EA has been very kind to let you know so you don't waste your time viewing a property that might now be above your limit or above your expectations.

stator

Assuming the other offers actually exist

HouseBuyer77

People often say EAs make up offers but for them a quicker sale is more valuable than a slight increase in the price. So I can't see them doing it if they're just going to scare off an actual bidder.

Annie1960

Nothing strange here. I've just sold my house (completed Wednesday) for £10k over the asking price.

DRP

I'd say it was a weird way of doing things. The 'selling price' is obviously just an arbitrary value anyway.

If people are already bidding above the existing asking price, then let them bid. The house will find its value.

The vendor isn't selling a mars bar in a shop, there is no retail price, only what the selling process achieves.