URGENT : offer advice

dannyjebb

Hi all

Viewed a house this morning for the second time and it is pretty much just what we are looking for. An identical house 2 doors down was sold in Oct 2015 for 171k this is currently on the market for 185k, Is there any online resources to look at price rises over the last year? 7.5% rise seems quite a lot to me especially with all the uncertainty with leaving the EU. The seller says they had an offer accepted a few weeks ago but the buyer gave them an unacceptable timescale for them moving out so they pulled out. We arent in a rush to move in, we have our own to sell but confident that should sell quickly, but we could even live with parents for a few months if absolutely necessary. Our current apartment was a new build so all this negotiating on price is new to us. We have a DIP up to 200k so could afford the full asking price if required but worried about offering, then the mortgage company valuing it at a lower price.

Any advice gratefully received.

Danny

Grenage

percentages are meaningless, especially without a lot of context. You need to look at the prices of similar properties in the immediate area.

If you want relevant advice, you'll need to post a rightmove link.

dannyjebb

http://www.rightmove.co.uk/property-for-sale/property-56060809.html

That's the house and on the market info under sold is the top one which is 2 houses away and sold for 171k last October, Bother are identical apart from one is the centre of 3 houses and the one we are looking at is an end of the 3.

Many thanks

Surrey_EA

Natiowide have a house price calculator, which may be worth a look:

http://www.nationwide.co.uk/about/house-price-index/house-price-calculator

Although, computer modelling is never a perfect measure where house prices are concerned. It will not take in to account the precise circumstances of the person who sold the property last year, nor the person who bought it.

Also bear in mind that many vendors will not consider an offer from a buyer that has not yet found a buyer for their existing property. Please do not take this the wrong way, but is incredibly rare for for a prospective seller not to be confident about selling their own property.

Thanetia

dannyjebb wrote: »

We arent in a rush to move in, we have our own to sell but confident that should sell quickly, but we could even live with parents for a few months if absolutely necessary.

You're not really in a position to make any meaningful offer if you're not procedable, so get busy on that and do your research on local prices in the meantime. Best of luck.

dannyjebb

Surrey_EA wrote: »

Natiowide have a house price calculator, which may be worth a look:

http://www.nationwide.co.uk/about/house-price-index/house-price-calculator

Although, computer modelling is never a perfect measure where house prices are concerned. It will not take in to account the precise circumstances of the person who sold the property last year, nor the person who bought it.

Also bear in mind that many vendors will not consider an offer from a buyer that has not yet found a buyer for their existing property. Please do not take this the wrong way, but is incredibly rare for for a prospective seller not to be confident about selling their own property.

Thanks, we will have a look on that,

Our confidence comes from 2 other apartments in our block (shared ownership) selling within a few weeks of going on the market and the housing association says they have more on their waiting list. So fingers crossed, I know what you mean though.

The seller showed us round today and we were talking about our current situation and he seemed happy for us to put an offer in. Just waiting for the EA to ring back and will chat with them.

Thanks

dannyjebb

Thanetia wrote: »

You're not really in a position to make any meaningful offer if you're not procedable, so get busy on that and do your research on local prices in the meantime. Best of luck.

Thanks for your reply, after chatting with the seller today, they are still looking for a house to move to and were saying they aren't in a rush to move. We explained our situation and they didn't seem concerned that we hadn't sold as they are still looking. We will see what happens anyway.

Danny

Surrey_EA

dannyjebb wrote: »

Thanks for your reply, after chatting with the seller today, they are still looking for a house to move to and were saying they aren't in a rush to move. We explained our situation and they didn't seem concerned that we hadn't sold as they are still looking. We will see what happens anyway.

Danny

That's good news, gives you time to get your own sale underway.

However, if they find somewhere to buy this weekend I guarantee you will find that all of a sudden they are in a rush!

dannyjebb

Just spoke to the EA who say they won't give the seller an offer from us until ours is sold STC?? Is this right? surely the seller should be given the option? Wont this slow things down at their end? if they have to wait for a buyer to sell before accepting an offer, then they have to find a house but cant offer before selling theirs and so on? Seems a little strange.

Danny

Surrey_EA

dannyjebb wrote: »

Just spoke to the EA who say they won't give the seller an offer from us until ours is sold STC?? Is this right? surely the seller should be given the option? Wont this slow things down at their end? if they have to wait for a buyer to sell before accepting an offer, then they have to find a house but cant offer before selling theirs and so on? Seems a little strange.

Danny

An EA is legally obliged to pass on any offer to the seller, regardless of a buyer's position, the only exception to this is if the offer is below the level the seller has previously informed the EA (in writing) they are not willing to consider. Therefore, it is not really down to the EA to choose whether or not they pass your offer to the owner, they have to.

However, you are not negotiating from a strong position if you do not have a buyer for your own property. You do not know exactly what you will sell for. If you find you sell for less than you expect will this affect the price you are able to pay?

It would be unusual for a seller to accept any offer until such time as a buyer has a complete chain behind them. So even if you agree a price the property is likely to stay on the market.

The only benefit is that you get an idea of what price the owner is likely to accept.

Grenage

Most sellers will not consider accepting an offer until the buyer has a buyer (or has no house to sell).