Offers and Vendor Putting Back on Market

Kdclee

We looked at a property which had been taken off the market so the vendors could furnish and style it. We made a low offer, and the agent came back suggesting if we offered X (a higher amount), they would consider not putting it back on the market. We offered that amount. It's still going to market.

I assume the vendors think they can get more for it now it's been furnished so we are in the dark a bit. Do we offer more or wait til we see if they get any more offers? It's a new build by a small developer so I assume they don't want to sit on it forever. We have tried asking if they have a number in mind but are just being told it's going to market again. Just a bit strange to be told if we made the last offer that we might have been in the ballpark enough for them not to do so....?

warby68

Surely it has an asking price? How close are you?

New home developers tend to prefer to offer incentives rather than a pricd reduction. Furnishing a new build usually means they plan to use as a show home. They get sold at the end often and often higher due to the extra fittings.

A small developer might be a bit different of course.

Perhaps there was a change of plan going on when you offered from 'get it sold fast' to 'lets use as showhome'

AnotherJoe

The other issue potentially is that your bid is very convenient for them, as it underpins the price they can ask.
You could consider making your offer conditional, eg accept within a week or we are withdrawing it , otherwise it would seem they have little to lose and you could at best end up bidding against others

Doozergirl

If they have committed to the expenditure on the furnishing, then it probably makes sense to them to offer it to a wider audience for a short while. Your option is to either up the offer or leave it on the table.

I think suggestions of withdrawing an offer after a week are silly and shortsighted. Firstly, you potentially cut your own nose off to spite your face - it costs nothing to leave an offer on the table. Secondly, I wouldn't even take the offer seriously in the first place if a 'buyer' is going to act like a petulant child from the off. It never bodes well.

You either want a house (at a price limit) or you don't.

PasturesNew

Kdclee wrote: »

I assume the vendors think they can get more for it now it's been furnished

Every house is different, but sellers will have been selling last year believing their house was worth more than others. They didn't sell it at the price because nobody wanted it at that price. They were then lead to believe they should "splash a bit of paint around" and that can add £10-20k to its value... and "there will be hoardes of desperate buyers in January".

So they've probably only followed what they saw as "advice" given to them. The agent, to keep them on his books (for it to go to a competitor is a sales fail and could have them lose their job if they're under-performing), would've fed them all this stuff.

They are now opportunistically expecting a desperate rush for their tarted up house, at full asking (probably a bit more than it was on for before).

All you can do is wait and see, or meet their price, or get closer to it. Their house, their agent, their decision, their perception, their choice.

Kdclee

For context, small developers, converted a large property into 4 units. The others have all sold (and were furnished). This was on for about a month before taking it off to furnish.

pinkteapot

You increased your offer - they know you're interested. They think that you'll increase again, or that someone else will offer more than you.

It's a negotiation. You just need to decide whether you want to increase your offer or leave it at its current level. If you lost out on the house at the price you offered, how disappointed would you be?

Offer an amount where you wouldn't have regrets if it went for more to someone else. That all boils down to how 'right' this property is for you.

kirtondm

I think furnishing a house does make a big difference. A lot of people struggle to visualize empty rooms and not many buy on floor area. If it didn't why would new build developers go to the cost of presenting them furnished?
I bought an unfurnished house in a fairly flat market for well under market rate and sold it furnished 2 years later for significantly more with minimal work ( new flooring + carpets <5k )
Bought for 151k sold for 205k