Making an offer on a house - what is cheeky?

Slovell3003

A little bit of a quick background. I have a lovely property and have no desire to move. However, I have two horses and have seen some properties with land come up locally with all the facilities I would need and there is the option of having one livery on the property so bringing a little extra money in there.

I have seen one property up and made enquiries online as to how much I could mortgage for. There's two farms for sale side by side. One a two bed (one I'm interested in) and one four bed with more land that's way out my budget.

I can get a mortgage plus equity in my property to afford £205-210,000. I am however going to see the bank to see if I can secure more as I can prove I can afford more in repayments as I can prove mortgage plus livery payments without one missed payment for five years, debt free etc. However if they stick to their online agreement in principle the above figure is my max.

Now this property was originally up in about April for £260,000. Then dropped to £249,000 Oiro a few months back. Being heavily advertised by the owner on Facebook every few days. Would going and looking round and then offering my max (if bank doesn't budge) of £205,000 be an insult?

HappyMJ

Not if that's all the property is worth. Offer what you think it's worth you never know the vendor might accept your offer. I would offer a bit less first and then make a second offer, a final offer, which is your budget.

Slovell3003

Thanks, just don't want to go and view and waste time (as I'm not looking for a property, just popped up on Facebook a number of times and it's always been a dream to have horses at home).

Just as it's not shifting I wondered whether being £44,000 below asking is a bit of an insult?

HappyMJ

Slovell3003 wrote: »

Thanks, just don't want to go and view and waste time (as I'm not looking for a property, just popped up on Facebook a number of times and it's always been a dream to have horses at home).

Just as it's not shifting I wondered whether being £44,000 below asking is a bit of an insult?

Maybe it is but who are you going to offend? It doesn't matter the offer can only be refused and you're in exactly the same situation. They aren't going to come round and insult you back in retaliation are they....and who cares if they did.

Davesnave

The price level sounds like it might be Wales, in which case you may need to wait a longish time before the vendor aligns their expectations with the realities of the market.

I have related several times on here how we offered sensible money for stupidly priced properties with land in Wales....and got nowhere. The properties didn't sell for a very considerable time and neither exceeded our offers. In some vendor's eyes, having a piece of land attatched to a property seems to confer a status on it which others cannot comprehend, especially when it's low grade.

Having an equestrian interest, you will probably know that the land has to be suitable. Anything with suspect drainage and poor fencing, or fencing of the wrong type, will cost an arm and a leg to sort out. This is money you won't have.

In the light of the above, go look and offer, if you feel it's a propostion. Then wait!

lawriejones1

Offer what you can afford to pay, but be aware that the seller will consider all offers and make a decision about how serious you are based on all of your interactions.

We offered 10% under asking price and settled on 5% off. At all times I was totally honest and would have gone through with whatever deal we agreed.

We considered going lower but were told the seller (who was going through a messy divorce) was sick of being messed around.

Slovell3003

Thanks for all your replies. The property seems to be overpriced for what it is IMO as only has two acres attached and an arena. You can get another 8 acres and 2 beds at the end farm for an additional £25,000 (but that is well over my budget).

I think the point about drainage is a very good one, as is fencing and I planned to have a good inspection of all of these. But yes, if it's not right it will cost a fortune to sort. I'm guessing I'm in the unique position I'm happy with my house and livery yard and in no real need of moving, just if I can get a property with an affordable mortgage which will be less than my combined livery and mortgage it is worth the investment.

Nobbie1967

Are they going to take any offer seriously when you haven't sold your own house yet. In their position, a cheeky offer from a buyer who has an offer on their house might be worth pursuing, whereas an offer from someone who hasn't sold may not be worth considering as it could drop if you don't get what you expect for your house.

slowpoke_rodriguez

If you don't feel embarrassed by your first offer, it's too high...
etc...

Slovell3003

The estate agent they are selling through are able to buy your house and I've had a valuation on that so I know how much they will offer me.

Davesnave

Slovell3003 wrote: »

The estate agent they are selling through are able to buy your house and I've had a valuation on that so I know how much they will offer me.

....Which won't be the full market value, or where would their profit come from?

It's common knowledge that easy routes to selling, like this, result in sellers receiving considerably less than they would by putting the house on the open market. A favourite ploy is for the agreed price to be reduced just before exchange, when the seller is well-committed.

It's not Springbok, is it?