How Much Should I Offer...

Squouse

I want to make an offer on a house on Revelon Road in Brockley (I am not allowed to post a link because this is my first thread, but it is the only house listed on this road on Rightmove.)

If you find the house on Rightmove there is a recent sale on the same road (June 2015), for £493,752 (but without a floor plan it's difficult to compare the properties).

I looked at another house that Kallars are also selling one road over (Arica Road) which just had a sale fall through (because the buying couldn't get the money together, apparently) at £485,000

So.... how much should I offer?



Many thanks

G_M

I'd go in at £492,761

alfred64

£485,000 does not seem overpriced, for the area.

phatbear

G_M wrote: »

I'd go in at £492,761

Get ol'money bags here id go in at £492718!

tlc678910

Your house has gone up by over 200K in 5 years that suggest a sellers market to me. Other houses have gone up similarly so I don't think this means it is overpriced. The house states that it was listed on rightmove 22 Oct!

I think your strategy should be to secure the house rather than how to get it cheaper (I don't think you will). If you think the price is fair after having been looking in that market and you really want the house I would suggest an unconventional route of indicating that you love the house but it pushes your budget and you need to revisit your broker to check sums etc. Emphasise all of this - ask them not to accept an offer till you can get back to them. Leave it a couple of days (they might chase you keep telling them you have your appointment with your broker and will get back to them asap. Then after a few days phone them and tell them you love the house you have managed to get your numbers recrunched and you are able to offer the asking price. Your aim is to flatter the vendor that you like their home and to give a strong impression that you cannot afford more. When asked for your agreement in principle this should only be for the asking price but with our purchase we got this based on the house offer we had made (don't know if this is usual).

Don't know if everyone will think this is nuts advice and should be ignored but to my mind we could follow the conventional route "slag off the house a bit, mention everything that needs doing, then offer £175K", the seller thinks "my house has been on the market a matter of days I'm not dropping 10 grand" (which is actually quite a small as % of the house price anyway). Someone else offers them the asking price, they accept. You wanted the house even at asking price so you state you will also offer the asking and are a cash buyer, super keen etc or offer more. The seller either says sorry I have accepted the offer (and thinks I'd rather sell my house to someone who actually likes it) or accepts more money and you actually pay over the asking price.

I only justify this unconventional advice as it is a new house you have sat up and took notice of in what appears to be a sellers market.

Good luck with whatever you do
Tlc

alchemist.1

If you like the place offer the asking price. If you really want the place dont be surprised at going above the asking price.

Don't waste your time with games. No one is going hold out waiting for you to make an offer in this type of market. It is London and the EA agents will have seen it all before.

tlc678910

alchemist.1 wrote: »

If you like the place offer the asking price. If you really want the place dont be surprised at going above the asking price.

Don't waste your time with games. No one is going hold out waiting for you to make an offer in this type of market. It is London and the EA agents will have seen it all before.

Probably true! and straightforward and honest to boot!

Andrew_Ryan_89

Is there a general rule of thumb when it comes to bidding? When my fiance and I were looking for properties in the Chadwell Heath / East London way, we came across plenty of houses, with gardens for the £250k mark. We would put in the offer and it would never be successful. Always outbid and one estate agent told me one went almost £50k above the asking price.

So, we saw a property going for 260k-270k. We really like it so put in 285k. I'm just curious what the next highest bid would be

cashbackproblems

Iv had two offers in london now at the asking price rejected and i did not have the chance to bid higher as all offers were considered together and then best one along with buyer in the best circumstances was chosen

In London the market is like no other, if its close to a station and a place you like, offer above asking 5-10%, move QUICK and make it known to the ea you have your mortgage ready and can move quick. Messing around offering below asking or waiting a few days will only get you rejected

ReadingTim

One miiiiiiiiiiiiiilion pounds. But only if you have a high backed swivel chair and a long haired white cat.

Only joking.

The most accurate answer is twelvety five and a half thousand pounds, a collection of Euro coins from your last holiday, a half complete stamp album from your childhood and a night with your wife. Anything else is just insulting.

somethingcorporate

Offer what it's worth to you.