Can we reduce our house price offer?

thesaint

chelseablue wrote: »

As above, if you really want the house and its a long term home (at least 5 years) I wouldn't be that bothered about 5 grand

Is this site still called Money Saving Expert?

If the OP is paying cash, then they are "only" paying 5 grand. If they are getting a mortgage, then they will be paying considerably more than "only" 5 grand.

Hoploz

If you think you're paying too much then it's fair to pull out as soon as possible.

And yes I mean pull out.

They are not going to accept a lower offer as quickly and will remarket it.

The point I would make is that you need to consider whether you will find another house that you will want to buy for a cheaper price. If there are many similar houses available at a similar price then that's fine, you'll go for another one. But if this one is better for you than others on the market, or there is nothing similar available, then you could be waiting a while for another one to come along by which time prices could have risen by the 5k anyway and you could find the next house is still 5k more but not as nice.

SevenOfNine

Be careful. We accepted an offer for a house we're selling (about 5k less than we would have liked but cash buyers & hopefully quick sale).

I've made it crystal clear to our EA that I won't tolerate 'gazundering' & won't entertain the idea of 'gazumping' either. Today the buyer asked if they could have another look in the property, as our contracts have been signed but not yet dated for exchange this could be for any number of reasons, measuring up, dropping offer, anything.

Lets assume they are doing what you plan to do & lower their offer. In which case as far as I'm concerned they'll be told in no uncertain terms to DO ONE!

Make sure you're happy to lose this property altogether.

iantojones40

thesaint wrote: »

Is this site still called Money Saving Expert?

If the OP is paying cash, then they are "only" paying 5 grand. If they are getting a mortgage, then they will be paying considerably more than "only" 5 grand.

It amazes me that a site that is supposed to be aimed being sensible and cautious with money seems to attract so many debt junkies encouraging people to buy, buy, BUY AT ANY COST.

I think a lot of this irresponsible advice just comes from people trying to reassure themselves that they haven't made a huge mistake by getting themselves into a life time of debt by buying at the peak of a bubble with a massive mortgage that's only just affordable thanks to current record low "emergency" interest rates.

DRP

iantojones40 wrote: »

It amazes me that a site that is supposed to be aimed being sensible and cautious with money seems to attract so many debt junkies encouraging people to buy, buy, BUY AT ANY COST.

I think a lot of this irresponsible advice just comes from people trying to reassure themselves that they haven't made a huge mistake by getting themselves into a life time of debt by buying at the peak of a bubble with a massive mortgage that's only just affordable thanks to current record low "emergency" interest rates.

ON the other hand, 'money saving' is not just about the number of zeros.

As others have also posted, if the OP 'saves' 5 grand by reducing their offer, they may lose the whole deal by losing trust with the buyer. Then where will they be?

It is a big risk.

nubbins

"I think a lot of this irresponsible advice just comes from people trying to reassure themselves that they haven't made a huge mistake by getting themselves into a life time of debt by buying at the peak of a bubble with a massive mortgage"

I am sure I remember people saying similar in to me in the mid 90's when I bought my 1st flat and similar mutterings in 2008. You are right prices will never ever be higher than they are now, even in 25 years. Much much better to live with ma and pa for the rest of your life or better still rent and pay someone else's mortgage off.

chelseablue

nubbins wrote: »

"I think a lot of this irresponsible advice just comes from people trying to reassure themselves that they haven't made a huge mistake by getting themselves into a life time of debt by buying at the peak of a bubble with a massive mortgage"

I am sure I remember people saying similar in to me in the mid 90's when I bought my 1st flat and similar mutterings in 2008. You are right prices will never ever be higher than they are now, even in 25 years. Much much better to live with ma and pa for the rest of your life or better still rent and pay someone else's mortgage off.

Thank you for posting this.


I decided to buy because the cost per month is cheaper than renting the same place.
My mortgage is currently £722, to rent the same sort of house would be about £1,400 a month


Also I like the fact that with a mortgage there is an end to it at some point, albeit a long time away for me!

Hoploz

If you read my point, I said accept the 5k now (which may or may not be more than the valuation) in order to save having to make do with a less good house for the same money later, or pay more for an equivalent one. Both of which would end up costing more.

MobileSaver

iantojones40 wrote: »

people trying to reassure themselves that they haven't made a huge mistake by getting themselves into a life time of debt by buying at the peak of a bubble

Some nutters have been saying this for well over 10 years now, they all congregate on a special web site for special people, I'm sure you know the one I mean. :rotfl:

In that time normal sane people have got on with their lives, lived in their lovely houses and seen the value increase on average by 58%. That is not what most people would call a "huge mistake."

iantojones40

Anyone who is a single property owner occupier, mortgaged or even mortgage free should be extremely depressed looking at that graph, unless of course they're planning on selling up and going living in a tent at some point in the future.