House just come on market which i like @ £240k, whats my first offer?

PokerPlayer111

Just come on market, what should be my first offer? i'd like to get the property for $231k final offer. but i dont want to annoy sellers with anything under 220k as a first offer, yet to get it for $231k etc i might need to offer lower to start?

Im a first time cash buyer so obv no chain and entire money sat ready to go and can complete at sellers convenience, i also wont bother with survey as its a newer build.

The property market is a little slow where i am + time of year makes market even slower but its only just come on market.

getmore4less

What have the other re sales gone for?

JoJo1978

£220k is only 8% off asking, I don't see an issue with this. Apart from that the property is only just on the market. So it wouldn't be surprising if the vendors rejected and held out until they had a higher offer.

Your position as a cash buyer with nothing to sell will also put you in a good position and should be communicated clearly to the vendor. However, if the market is slow you may just end up in a bidding war with yourself: you offer, they reject, you raise, they reject, you raise.

A better strategy to avoid this, given your position and your keenness on the house, may be to go in with your best and final offer and state that you will not be bid up. The vendors may still reject or not accept but you can leave it on the table and hold your nerve.

I would strongly advise that you have a survey especially as you won't be getting a mortgage valuation. This will provide you with a valuation from which you can negotiate an offer more strongly. And will provide you with information on some of the issues you'll face when this asset is entirely yours. How do you know it doesn't contain a major issue not visible to a lay person?

enjoyyourshoes

Another option to add to JoJo's good suggestion is to wait for a while, both as its a slow time and that the area you are looking at is defined as a little slow.

Have a contact with agent to identify potential offers on the table and number viewing, haver cup of tea and wait till March ?
Could save more of the deposit or money for refurb etc?

getmore4less

Read a few threads on the problems people have with new builds.

if lucky the first owner will have snagged them but maybe they are fed up with the problems and hope some buyer will go "its nearly new won't bother with a survey".

PokerPlayer111

JoJo1978 wrote: »

£220k is only 8% off asking, I don't see an issue with this. Apart from that the property is only just on the market. So it wouldn't be surprising if the vendors rejected and held out until they had a higher offer.

Your position as a cash buyer with nothing to sell will also put you in a good position and should be communicated clearly to the vendor. However, if the market is slow you may just end up in a bidding war with yourself: you offer, they reject, you raise, they reject, you raise.

A better strategy to avoid this, given your position and your keenness on the house, may be to go in with your best and final offer and state that you will not be bid up. The vendors may still reject or not accept but you can leave it on the table and hold your nerve.

I would strongly advise that you have a survey especially as you won't be getting a mortgage valuation. This will provide you with a valuation from which you can negotiate an offer more strongly. And will provide you with information on some of the issues you'll face when this asset is entirely yours. How do you know it doesn't contain a major issue not visible to a lay person?

If you went with low offer strategy first to work way up what is your first offer please? and 2nd, 3rd 4th etc etc. What gap are you putting time wise inbetween these offers?

As regards survey my biggest concerns are health so i worry about damp or asbestos as #1 priority. Its modern build so no asbestos possible. I have a damp testing wall spikey thing i take with me on viewings, gives me a great ideas of damp. So on a modernish build should i really need to be that concerned with anything else? id be interested in survey for negotiating price down sure but dont want to put the seller off.

going on viewing pretty soon, dam not got my strategy ready lol

PokerPlayer111

getmore4less wrote: »

Read a few threads on the problems people have with new builds.

if lucky the first owner will have snagged them but maybe they are fed up with the problems and hope some buyer will go "its nearly new won't bother with a survey".

Dam really? its about 15 years old, maybe i need to look into this more. I just didnt want to slow things down with survey, how much do they cost? i have to pay for a survey even if i dont buy the house right? Whats the worse case realistic scenario if i dont do survey and just buy, i guess roof messed up 40k fix etc.

And yeah im looking into whats sold near by.

getmore4less

Poking a damp meter into walls your potential vendors going to love that.

So on a modernish build should i really need to be that concerned with anything else?

Recent thread, buyer did not have a survey and it looks like the drains are not connected to anything.

PokerPlayer111

getmore4less wrote: »

Poking a damp meter into walls your potential vendors going to love that.

So on a modernish build should i really need to be that concerned with anything else?

Recent thread, buyer did not have a survey and it looks like the drains are not connected to anything.

Its fine you can just rest the damp testing spikes against the wall, dont need to push it in, i've tested it out on about 4-5 properties and its picked out damp spots with incredible accuracy actually, not 1 mistake infact even with my own rented palce and my mums house it reads the known areas of damp perfectly i have found. Cost me £10 from ebay.

JoJo1978

Well you could do: 215, 220, 225, best and final 230. Now, Jan, Feb, Mar as enjoy suggested.

How new is it? Ask if it's still under NHBC warranty and if any guarantees under that have been exercised.

Other aspects to be concerned about: do electrics meet regs, gas safety, likely fire risks from building materials, likelihood of leaking from guttering (future damp), soundness of roof covering (heating bills).

Most sellers will expect a survey to be done, you won't offend and they are quick to arrange and carry out.

JoJo1978

About 15 or actually 15 or less? As far as I understand asbestos regs changed 1999 so a house only 18 years old may just have it.

Our survey on our purchase cost c £700. A drop in the ocean if you're prepared to hand over £230 k cash!