House on market for 18 months, how low can you offer?

40FTB2020

So long story short we have been accepted onto a open market homebuy scheme so will be lent 30% of house price but only on a house up to £226k. 

As we have 3 children we would like a 4 bed but obviously nothing in our area. 

There is a house on for £259k. Was first put on market April 2019 for £279 and then reduced a couple of months later to £269 and in Feb 2020 was reduced to £259. No onward chain and was last bought in 2002 for 75k but has since had a small side extension to make it 4 bed. 

Would offering £226k be too cheeky, could we get away with offering even lower? 

Also it’s not clear why on market for so long. We know the area and it’s ok, other houses in same area have sold. Isn’t a complete state. What should we be looking for that might have caused buyers to pull out? If it’s the vendors being stubborn on price then we can just walk away if don’t accept offer. 

Caz3121

40FTB2020 said:

 other houses in same area have sold. 

what prices have they sold for? do you believe the house is overpriced in comparison?

md258

There are always posts about people having viewings but not getting any offers (even low ones), so I would say it could be worth a punt.

Ask the Estate Agent whether there have been any offers.
If no, then view and put in the offer. It will either be accepted (yay!) or rejected and you can move on knowing that you couldn't afford it.
If yes, ask what happened to them. If they were rejected and higher than yours, there's a good chance your offer would be rejected too. If they were accepted but something went wrong in the sale process (a problem with the house) then that may tell you why it hasn't sold.

[Crashy_Time will be here soon to say that it hasn't sold because the market is crashing and you should only offer 67p as that is how much it is worth]

DayDreamerandGeneralWaster

They might have rejected a lower offer than they now wish they had accepted with hindsight. Something is putting people off this particular house, unless the market is slow in your area. I would put a lower offer in. 

AnotherJoe

Those are very small drops in price they've offered. There could be multiple reasons they haven't accepted, ranging from logical to illogical, and they may not be strongly motivated to move hence no more price drops, but in your place I don't see the issue, tell the agent your position where £226k is your absolute max and offer that. What have you got to lose? 

I'd be minded not to offer less than 226 because it increases the odds you'd be rejected,  and keeps it simple, and also makes it clear you have a real constraint,  but if you did, say 220, then only come back to your true max once rejected, eg you offer 220 they say "we'd accept 250" and you say "we are restricted to 226 so that's our max". Don't do what soem have reported doing here and going up in small increments because it gives them hope there's always more to come. 

Good luck, let us know what happens. 

grumiofoundation

If 226 is your absolute max, what do you lose by offering 226? 

[Deleted User]

Offer what you want up to the maximum you can afford to pay ( want to pay ) 
If its rejected then its good experience about negotiating offers 

Rambosmum

You may as well try. You are restricted to £226k, there's no going to family for a hand out here and there o coppering up what you find under the sofa cushions to up the offer any, it is what it is and is fixed and firm. Let the estate agent know that - explain WHY you absolutely cannot go higher, they will then be able to advise their client accordingly. If you don't tell them why, they may think you have set an arbitrary limit which they can push you to expand somewhat. 

ZaSa1418

Has the extension made the garden much smaller? 
When we bought our house it had been on the market for ages, reduced a few times and the estate agent said everyone who viewed it liked the house but couldn't get over how tiny the garden was. This was never a problem for us but i can see why others would not like it for that reason.

Crashy_Time

After this crisis blows through chances are this is worth well South of 200k, it is entirely up to you how much you want to overpay though. Any chance of a link?

40FTB2020

Rightmove.co.U.K./property-for-sale/property-71271361.html
wont let me post a link but above is the url

The estate agent is going to explain the situation to the vendor. She has already moved away and the house is vacant. So I suppose on one hand she doesn’t need it to move to her new house so can let it sit around for ages as it has done but on the other hand she must be paying some costs to keep it going - insurance, maintenance, council tax utilities etc