Wondering how much to offer? -ftb

lypsey

VJH
Firstly , I NEVER EVER judge anyone

look at this
http://business.timesonline.co.uk/tol/business/economics/article2737191.ece

It says "Members of the BBA recorded 52,685 approvals for house purchase in September, down from 61,051 the previous month and 27 per cent lower than a year ago"

This is a massive reduction and this indiacates where prices will be heading in about 2 months as there is always a lag in time. Prices will start to fall heavily. we cannot have a market with prices neither going up nor down. It is an impossibility

VJH,just to explain why I try to dissaude you is this. I bought in 1990 just as the last crash was starting. I bought a flat for 51k (a lot of money back then, for me anyway) and within 3 years it was worth 35k. It took me another 6 years to get out of negative equity. Back then the banks would not help when you had negative equity I was desparate to buy a house and couldn't.
I don't know how old you are on anything about you, what happens if you have a baby ,need to move jobs , worse still- lose your job. Negative equity makes life very difficult. This IS ADVICE , not judgement

lypsey

Sorry should also have mentioned BTL now makes up 11% of the market , the guys who got in over the last 2 years are going to get burnt BIG time. What effect do YOU think half of these people running for the exit will have on the market??

CHR15

A neighbour to me a few years back died leaving his house to his daughter.

It was up for £124,500 (the going rate in the street at the time)

A couple from Germany saw the house on Rightmove and offered (without any viewing of any kind) just £80,000

The money grabbing daughter accepted £88,000!! !!!!!!???

The average house prices in our street plummeted due to that single sale.

I am in the market looking now and that situation is always playing on my mind. Offer something ridiculous first, they can only say no! then offer something more reasonable. It saved the german couple a fortune.

What made it worse was that her Fathers ashes were sprinkled over his beloved garden!!! (now knocked down for a conservatory!!)

macaque_2

VJH1978

If the owners could sell the property at the 'full price', they would'nt be offering a discount. If it was me I would ignore all this tripe and put in an offer of £95K.

poppy10_2

Hi Vicky, I wouldn't offer anything over £105k. You'd be surprised at how low they'll be prepared to go.

bukup

get a friend to go and view the house,get them to rip it to bits....say this is wrong that isn't right blah blah.Then get them to put a silly offer in £94,500.

If it gets accepted you know you can go in at that price or lower,if it gets refused it will be fed back to the seller.

When you put a low offer in after this,it will sound so much better than the £94,500...give it a try.

It may be helpful to find out how much they purchased the property for...?

VJH1978

They purchased the house in Oct 2004 for £95,000, so doubt they would accept an offer that low. There isn't anything wrong with the house (that I can see without a survey). It needs decorating in one room as it's a child's room, and in the hall. They've done lots of work, such as putting in drive and gates so they're is room to park a few cars, if I had visitors. They've also put in a new kitchen, and double glazing throughout. It doesn't have central heating so that's a cost I may need to pay for in the future. I'm thinking that £105k may be too low, as don't want to be discounted as not serious.

poppy10_2

bukup wrote: »

get a friend to go and view the house,get them to rip it to bits....say this is wrong that isn't right blah blah.Then get them to put a silly offer in £94,500.

If it gets accepted you know you can go in at that price or lower,if it gets refused it will be fed back to the seller.

Nice tactic!

But what if the friends' offer is accepted, and they decide to go through with it as they have got a bargain! :eek:

bukup

poppy10 wrote: »

Nice tactic!

But what if the friends' offer is accepted, and they decide to go through with it as they have got a bargain! :eek:

then make sure your friend has no spare cash !

but seriously this tactic does work.

Years ago I worked in Torquay for a hotelier called Carol Smith.She currently owns The Belgrave Hotel (probably worth 6-7 million maybe more).

She started off in a newsagents in Lucias Street.Then through the tactics I mentioned she pulled off some major property hijacks !

one hotel she purchased was called hotel Nepal,situated in Croft Road.(the name has changed).

It has about 50 bedrooms,she paid £350,000 in about 1995 I think.Timing is of the essence.

Her other tactic was to threaren to pull out just before exchanging/signing contracts....she would demand heavy reductions or she would not sign.

You do need to be ruthless,but if you really want the house,remember the old saying.....

dont cut your nose to spite your face !

hope this helps