Offers over? New trend?

Choccygirl123

I regularly recieve emails from local agents with new listings. Over the last two weeks every house , that 3 local have listed are offers over. Has anyone else found this with their agents? Just think random that all agents changed an it's happened on all listings.

It makes the local town look interesting, Do you think they agents have got their heads together?

lookstraightahead

I wouldn't even look at a house with OIEO and if I did I wouldn't offer the asking price either.

It's a marketing technique that makes me run a mile personally. It's like saying "we think it's worth this, and you either will offer more than that or you're wasting your time". I can't be bothered with such arrogance.

hazyjo

IMO it usually only works in a frantic market or very popular location.


Say something is up for £500k. If there's a bidding war and they end up at £550k, they'll be thinking they got carried away, over-offered, and are paying more than it's worth. If they sell it as OIEO and presume the same scenario, the buyer will think they paid what it eventually proved to be worth.


Not sure why so many are using it in a slow market. Perhaps a take on that, in that they're slightly underpricing asking for OIEO to stop the constant 'I'll offer 20% below asking price because of brexit, and there's no other buyers around". Perhaps it's getting them slightly lower offers that are much nearer to the asking price than they were getting before?

ACG

I put my house on the market 2 years ago with an asking price. There were no offers.

I then reduced the price by £10k with "offers over" and got 2 offers for the amount it was on for. It is nothing new, it can just be a way of getting a little bit more for it than you hoped.

Sachs

I recently sold my house. It was worth about 130-135 and I had two estate agents over. One said put it on for 145 other suggested offers over 130. I went with the second guy cos I'm not an idiot and I wanted to sell my house. Got 134 about 2 weeks later, was very happy.

Problem with house buying and selling is people don't do their own research and get in to weird emotional game playing around asking/offering rather than just establishing what it's worth.

You see it all the time on this forum. 'ive just had offer X rejected, what next?' They never actually mentioned what the house is worth and why.

lvm

Pretty much 90-95% of Scotland is "Offers over" with the others being fixed prices. In most cases, offering the "offers over" price or less will be almost laughed at. Saying that, after a year or 2 of crazy prices (usually 8-15+% above values), things are quietening and a bit of stock is being reduced or going to fixed prices if not sold after around 2 months.

davidmcn

lvm wrote: »

In most cases, offering the "offers over" price or less will be almost laughed at. Saying that, after a year or 2 of crazy prices (usually 8-15+% above values), things are quietening and a bit of stock is being reduced or going to fixed prices if not sold after around 2 months.

There are many different markets, and while the hotspots may be regularly going above Home Report valuations, elsewhere I would have said it's long been pretty commonplace for offers to be below HR value (and often below asking price).

Choccygirl123

Thank you for the replies, interesting reads. I thought it was lazy agents guessing pricing but at the sand tins they're trying to drive the area's price up. The prices has risen in this area hugely and guess demand is to blame.

eddddy

Choccygirl123 wrote: »

Thank you for the replies, interesting reads. I thought it was lazy agents guessing pricing but at the sand tins they're trying to drive the area's price up. The prices has risen in this area hugely and guess demand is to blame.

There are a number of reasons for stating "offers over".

One reason I've seen frequently is the EA trying to 'manipulate' the seller. For example:

• EA wants to set asking price at £130k.
• Seller wants to set asking price at £140k
• EA suggests compromise of "Offers over £130k" (and EA is 'sure' that offers will reach around £140k)
• But when an offer of £125k is made, EA pushes seller hard to accept it

MysteryMe

Offers over or offers in region of has been around for years. No one is being forced to offer more than they wish to. Why some people get all offended and precious about such things is beyond me.

lookstraightahead

MysteryMe wrote: »

Offers over or offers in region of has been around for years. No one is being forced to offer more than they wish to. Why some people get all offended and precious about such things is beyond me.

Well I suppose it doesn't matter why they get offended, but if it puts viewers off, the only loser is the vendor.