Offer Rejected on house, now what

Ftb2019_3

eve824 said:

If I was the vendor I would think you were a dreamer and dismiss your interest. The offer would have been insulting to me. I would be much more likely to take another offer, even if it was lower, from people who were reasonable and serious about it from the get go. I really think you've shot yourself in the foot here. Why go in so lowball if you are happy to pay close to asking?!?!

What are you talking about? Why would you take a lower offer than an offer that 'insulted' you? How would them be more serious that the op was?

Its been up for over a year, its simply overpriced, clearly. That's why proprrty hasn't sold.

eidand

I wouldn't feel insulted at lower offers, I had several, I just said no and didn't pay any more attention to them.
One of them kept coming back with low increments ( 1k ) and I asked the EA to not accept accept any more offers from them unless they offered the number we were after. They offered that and are now in the process of buying. So no, one should not get offended, you never know.
It doesn't take that long to say thanks, but no thanks.

eve824

Ftb2019_3 said:

eve824 said:

If I was the vendor I would think you were a dreamer and dismiss your interest. The offer would have been insulting to me. I would be much more likely to take another offer, even if it was lower, from people who were reasonable and serious about it from the get go. I really think you've shot yourself in the foot here. Why go in so lowball if you are happy to pay close to asking?!?!

What are you talking about? Why would you take a lower offer than an offer that 'insulted' you? How would them be more serious that the op was?

Its been up for over a year, its simply overpriced, clearly. That's why proprrty hasn't sold.

Because, I would have serious doubts about how genuine / serious a buyer was if they started with such a lowball offer and then went up to near asking. And a real fear of them gazundering. So much so I would take a slightly lower offer (within reason) from someone who was genuine and realistic from the start. That's assuming there was another offer of course.

Based on bitter experience I am afraid to say.

AdrianC

eve824 said:

Ftb2019_3 said:

eve824 said:

If I was the vendor I would think you were a dreamer and dismiss your interest. The offer would have been insulting to me. I would be much more likely to take another offer, even if it was lower, from people who were reasonable and serious about it from the get go. I really think you've shot yourself in the foot here. Why go in so lowball if you are happy to pay close to asking?!?!

What are you talking about? Why would you take a lower offer than an offer that 'insulted' you? How would them be more serious that the op was?

Its been up for over a year, its simply overpriced, clearly. That's why proprrty hasn't sold.

Because, I would have serious doubts about how genuine / serious a buyer was if they started with such a lowball offer and then went up to near asking. And a real fear of them gazundering. So much so I would take a slightly lower offer (within reason) from someone who was genuine and realistic from the start. That's assuming there was another offer of course.

Based on bitter experience I am afraid to say.

I can see both sides of this.

Yes, they clearly REALLY want the property... so are heavily invested in the deal.
OTOH, they may well be stretching themselves to afford it... perhaps too far, and will look at chiselling back at the slightest pretext.

They may also be the kind of buyer who's simply thinking far too hard, especially if they're an FTB, and likely to wobble very easily - insisting on every i dotting and t crossing, no matter how relevant they may be.

zeusofwar

Ftb2019_3 said:

Comments on here are ridiculous. Its been on the market for a year. 10% isn't too ridiculous. A property near me was on the market for over a year at 270k. Just came up on land registry for 235k.

Good luck selling the house for close to asking in a few months time when you haven't for the past 12.

Glad I'm not the only one who thinks this! It's like there is no such thing as a greedy seller. £625k and hasn't sold for 12 months.. maybe a prime example

theoretica

wls52 said:

I could do with a bit of advice. We offered £565k on a house which is on the market for £625k. The house has been on the market for over a year, but it's in a very popular location and it's really nicely done on the inside. We've done quite a bit of research on sold houses in the area and it looks like it's worth closer to £575k. 

The major missing information seems to be how many other offers have been turned down in the last year.  If there have been loads of offers but all turned down they probably won't accept your offer for £575  (for a nice house in a popular area you won't be the only buyer who thinks it worth an offer below asking).  Though I would rather expect the estate agent to say the owner is prepared to wait for the right offer - rather than mess around with negotiations in price ranges unlikely to be accepted.

Perhaps let the agent know you would definitely like to be kept informed of the result of this second viewing.

Marvel1

Offer what you think it's worth and you max, no point messing around.

tim_london

1st offer being rejected is expected.  You did the right thing going in low, even if you went in at advertised price they could have rejected it to see if they can squeeze more.  Ignore the timing and 2nd viewing - that's mind games.  

Go back in with an increase, £5/10k, but this time explain how serious you are and what you have lined up to secure the deal (solicitor ready?/MA ready?/no chain?).  Then say, "I'm happy to negotiate a reasonable market price, but I am only willing to do so if you are prepared to come back with a counter offer".  This eliminates any games the seller may want to play like someone else offered above asking price etc.

If the seller is so stubborn that they refuse to come back with a counter, then walk away.  You either have a seller that doesn't really want to sell, or you have a situation where you would overpay for a property which can lead to further complication like mortgage valuation being rejected and/or negative equity.

wls52

Wow, lots of comments on here. So our thoughts were that the property has been on the market since June last year, one agent that we spoke to told us specifically that the asking price was "ambitious". Another house that we just missed out on was at £550k in the same area and was bigger. Our budget allows to pay their asking price, but we don't want to be overpaying for something. We're also chain free and we gave them proof of funding when we submitted the offer, so yes, we are serious buyers.

We put in a new offer closer to £600k today after everyone's advice, but the vendor quickly rejected that and firmly wants £600+ so we are walking away. 

OldMusicGuy

You did the right thing. We offered 470K on a 500K house in March this year. We were cash buyers, COVID was looming and the house had been on the market for nearly two years, so thought we were a great prospect for the seller. The EA didn't bother getting back to us, when we chased them the EA said someone else was interested who was prepared to pay close to asking and the seller was holding out for asking. We liked the house but didn't feel it was worth 500K so walked away. The house sold shortly after.  

We're glad we walked away because we found a better house for 480K soon after that. We both felt we would have wasted 30K if we had upped our offer.