Another How Much to Offer Thread? (Sorry!)

Gambler

We'd like to move back to the village we used to live in and have been browsing for the past 18 months or so but the houses are usually too expensive, hence our reason for moving in the first place.

A property came onto the market at the beginning of August for £268K, advertised as ‘priced to sell’ and was then reduced a couple of weeks ago to 'offers around £250K' which triggered our involvement.

I originally thought the reduction was due to the stamp duty threshold but on our first viewing I realised that although the property may be ‘priced to sell’ it is certainly not finished to sell.

Old carpets, ripped in places, décor needs updating, maybe some reskimming of walls and ceilings, new skirtings etc. Looks like there may have been some water damage to a few of the rooms but we will ask for confirmation on this.

Generally the house needs some TLC, it would be hard work and costly but we think we could make it a lovely family home.

His agent said he will listen to reasonable/sensible offers and the fact we don't have a buyer for ours shouldn't deter us making an offer. Obviously if somebody in a better position came along we could lose it but it's only a £300 HIP gamble at this stage.


Big Q...........how much for the initial offer?


edit: have started at £235K

SootSoot

Offer what you think the house is worth. Everyone else on here will tell you the same thing!
Why would you be gambling a £300 HIP at this stage? Is your house not on the market? If you are seriously thinking of moving then you should ideally have your house on the market, as at the moment it is very slow.
As to the offer, start with a low offer, if it is rejected then you can go higher, but always set yourself a limit.

Gambler

When making our initial offer the agent let slip this was the first offer received on the property.

poppy10_2

Gambler wrote: »

When making our initial offer the agent let slip this was the first offer received on the property.

So it's been on the market for 4 months, and hasn't had a single offer until now. Add the fact that the property is in disrepair, the housing market is crashing and the vendors want a quick sale and you have all the ingredients to drive a hard bargain.

Offer 220k, and let them bargain you up to 230k max.

SquatNow

Knock off a minimum of 20% under... so offer £200k AT THE MOST.

And add a caveat that the offer drops by 1% each calendar day until accepted. Ensure that the agent understands that and passes it on. If they come back 2 days later and accept, explain that they knew the deal, it's now 22% under.

Gambler

Went for £235K as the initial offer. It is a sought after area and we could add plenty of value.

SquatNow

You'reoffering way too much and they'll probably still reject it.

cheekeemonkey

Gambler

Been there myself!!!


If you've started at £235k hold your nerve now in terms of increasing your offer. Only increase IF you really want the house and then go in small chunks - often "we" go for £5k or £10k at a time for some strange reason - go for a couple increase - as they say you can increase but not decrease your offer!! - whatever you feel comfortable with

Main point for me is to stress that this is subject to a satisfactory survey - if there has been water penetration then this might mean expensive roof repairs or otherwise - let the survey guide you and be clear as to your maximum - not a penny more

CM

Gambler

Took a day and a half for the rejection to filter back to us. Reason being he has already dropped it quite a bit. Well no offers in 4 months shows that it was on at the wrong price to start with.

Very tempted to wait till the new year now when he is forced to drop the price again.

Gambler

Just an update (and a rant!)

We offered £237K shortly after and the offer wasn't rejected but the vendor said he couldn't appect it as we had a property to sell.

So we put our house on the market and considering it's only been on 7 weeks (including Xmas) we received an offer yesterday for £4K under the asking price and £2K less than I had hoped. First time buyers so we are now in excellent position.

Went back to the vendor and offered £235K (due to our stronger position) and he has now turned round and said he is holding out for the asking price (£250K).

Can't tell you how annoyed I am.

selectcase

Our house was up for 250k - we did not accept any offers from people who were not stc or had not put thier house on the market as they were not in a position to proceed and we had 3 offers of 245k from people who could not proceed. Along comes a ftb and offers 235k which we accepted as he could proceed immeadiatly - its 10k less than the others but his position is much stronger. a couple od days later a developer comes along and offers more plus someone else but we said no because as far as I am concerned once you accept an offer thats it - done deal

If you want the house stick with the 235k (as its a fair offer) and i expect realisation will set in and they will accept it now that you are stc and in a position to proceed. The EA shouls really advise the vendor to accept - try talking to the vendor direct or popping a note throught the door. Our buyer popped round the other day for a cuppa and a chat about the progress of solicitors etc and its amazing the differant messages each side gets which do not help the process.