Renegotiating purchase price after survey

bumblebee1986

I am a FTB in the process of buying a 2 bed flat in London for around 600K. The flat needs a complete modernisation. As it is an old building, I paid for a comprehensive survey. I am yet to receive the report but the surveyor has sent me an initial email explaining that, although the price is reasonable, it is at the much higher end in comparison to similar properties in the area in a similar condition. 

My question is - would it be reasonable to try to renegotiate the purchase price with the seller? I had to offer the asking price as the seller refused to accept any offer below the asking price. 

I am just a bit worried that I might be overpaying on the property. Just to also add that the seller wants a quick sale. I first viewed the property early last month and exchange and completion are scheduled for within the next 2 to 3 weeks. Happy to share a link to the property if it helps.

Thanks for taking the time to read my question. 

greatcrested

You'll have to wait for the report.

But unless it highlights significant problems that were not visible initially, the answer is no.

You knew the property "needs a complete modernisation" and offered the price you did, knowing that.

bumblebee1986

Thank you for your feedback, Greatcrested. Much appreciated. 

AdrianC

bumblebee1986 said:

...but the surveyor has sent me an initial email explaining that ... the price is reasonable...

My question is - would it be reasonable to try to renegotiate the purchase price with the seller? I had to offer the asking price as the seller refused to accept any offer below the asking price. 

You can ask. But you know the answer already.

Mutton_Geoff

Everything in life is always negotiable. If the survey reveals things you couldn't have reasonably known/expected when making your offer, by all means use it as a negotiating tool. Offers should be made "subject to survey" anyhow.

Until you exchange, everything is negotiable.

newbridge

Negotiate by all means....as Mutton_Geoff mentioned, everything is negotiable until you exchange or you can even pull out if you think would be a bad deal.

diggingdude

If it suggests high end and people start coughing in London it may be worth trying to get a discount. Doesn't mean they have to comply though

bumblebee1986

Thanks, everyone! 

yksi

As others said, if surprises have been uncovered, you have bargaining power to reduce your offer (they will be a problem for the next buyer after you, if you were to pull out). But you have ALREADY offered more than you wanted to pay and the seller already refused a close offer, which means they are greedy/unrealistic or they think it's better than it is. There's no such thing as an accurate value, because every individual has different reasons for thinking a property is worth more or worth less. John might pay more because it's near his son's school. Tammy might not pay as much because she hates the pink bathroom.

The question for you is not "is it worth that much compared with properties of similar size, age, condition and location". The question is far more simple than that. It's, "Knowing everything I know, do I want to pay this amount?"

Stop comparing and simply ask if you want to spend that much. That makes it a simple question.

Darkslider

I'd wait and see what value the surveyor placed on the property and go from there. If it's significantly lower than the amount you've offered you've got solid ground for renegotiating, which is what we did with our first house. It looked like the seller was going to argue the toss initially, but we shared the report with them in its entirety and once they realised we weren't trying to fleece them at the 11th hour they accepted our revised offer.