Offers In Excess Of

mrstemperton

Where do you even start with this? There's a property we're viewing tonight that hasn't started being advertised yet but is going up for OIEO £140k. So if I wanted this house, how the hell do I know what to offer? £141k? £1million? I just feel like, if I found a property I liked on day 1 it went on the market and was happy to pay full asking, then it'd be taken off the market straight away. OIEO feels like it's just gonna be bidding wars which I just find so annoying! What are people usually expecting when advertising as OIEO?

hounsehunterftb

Technically, that they want the minimum of £140,001. Then you could just offer what you find is the right price and wait for it to get accepted or rejected.

Its really up to you what you want to offer. You could even offer £139,000 but 99% be prepared for it to get rejected.

3mph

The flat we bought was Offers in excess of £490K and we offered £470K and finally agreed and bought it at £485K.

It all depends upon the local market and the property. This had been on the market for £520K for 8 months and then went to another EA for the £490K offers over.

We got it for a very good price but I was happy to risk it since I knew there was not much competition.
We were cash buyers so were in a fairly good position and I reckoned the worst that could happen was they said no.

They were not going to say we have been so insulted by your offer that we refuse to deal with you ever again.

[Deleted User]

mrstemperton wrote: »

Where do you even start with this? There's a property we're viewing tonight that hasn't started being advertised yet but is going up for OIEO £140k. So if I wanted this house, how the hell do I know what to offer? £141k? £1million?

I wouldn't offer £1 million.

nicmyles

I'd just ignore it, to be honest, and treat it simply as the asking price. I mean, doesn't every asking price mean "this is the minimum amount we want for the property"?

If OIEO means anything, it just means "no, we really mean this is the asking price".

But it's no different to any asking price, in that you should offer what you're prepared to pay for it, based on the local market and your own budget.

gettingtheresometime

Son saw a property with this blurb attached.


Turns out the sellers want a minimum of the OIEO figure plus £2K.


Son offered £2k less than the OIEO figure before the price changed (previously it had been on the market for about £5k more than this figure) but got rejected.

ReadingTim

I guess it means the minimum price which they'll accept: like the reserve price at an auction. I'd be fairly sure that offers under that figure would be rejected, unless the property's been on the market for a number of months.

In terms of offering more generally, offer only up to what you're willing and able to pay, based on similar properties in the same area. How does this place compare to others on at £140k near you?

Rambosmum

It entirely depends on how much you like the house and how much you think it is worth. We've had offers accepted on properties advertised at OIEO that were lower then the price, but the property wasn't as popular as they anticipated and the needed a sale. Similarly, we recently had an offer turned down on a property with was on for a traditional £xxx (e.g. not advertised as OIEO) that was £27k above the asking price (8%) the winning 'bid' was 11% above the asking price. But the house was incredibly popular and had 10 offers on it.

Go, look and see how it compares to others you have seen/ are available in the area.

ProDave

Are you in Scotland? OIEO is common up here.

In the present market (i.e slow) you can offer what you like. If it's rejected, try a bit more. If it is Scotland, it will have a Home report, what does that say about the valuation?

PasturesNew

The agent valued it at £140k, but wasn't sure which way the market's moved (down). The owner thinks it's worth £155-160k, but will begrudgingly take £152-154k in the first month.

To get the business and signature on the contract the agent's gone down the easy route of OIEO.

So there you have it.... a weak agent and a starry-eyed owner.

What's it worth? It's worth what it's worth to you.

Tiners

In my area I've yet to see a property come on at OIEO and actually achieve a successful sale... they always hang around for usually quite a long time and end up selling for less than the original OIEO figure