Keep getting outbid any advice

getmore4less

Another strategy is to go back over the properties that have no sold going up a price bracket.

Se if there is anything that you can compromise on or that can be fixed  that makes them suitable.


If they have been sitting past the initial flurry, vendor may be open to offers. 

Angela_D_3

getmore4less said:

Another strategy is to go back over the properties that have no sold going up a price bracket.

Se if there is anything that you can compromise on or that can be fixed  that makes them suitable.


If they have been sitting past the initial flurry, vendor may be open to offers. 

Theres nothing,  i realise people are trying to be helpful but I honestly don’t think they under the gravity of the situation.  

lookstraightahead

Redwino222 said:

lookstraightahead said:

Market appraisal. House goes on market. Bidding war. Vendor gets well greedy. Buyers offer ridiculous amounts. Vendor accepts a high offer and rubs hands. House gets 'undervalued' by lender. Buyer has to pull out. Vendor still thinks house is worth £X. Vendor now feels uneasy selling for less as has mentally spent that money on "dream home". Vendor stays put, less houses available. Then happens again with another buyer and vendor.

Doesn't always happen like this, but I don't ever offer over asking. It's all a bit like watch with mother. 

Why is the vendor painted as the villain?  Is it greedy to accept highest offer?  

Yes there are unscrupulous people selling house, people are behaving poorly.  But that is happening at all levels in the market.  

Maybe I have painted the seller as the villain, perhaps they are more the victim. If you dangle 'more' in front of anyone then yes it's natural to go for more. But it's all made up because as soon as the lender won't lend money it's back to square one. I think accepting the highest offer without looking at all the other things - low LTV, bottom of chain, cash buyer etc it's likely to lead to disappointment 

Redwino222

Well yes - I recently accepted an offer that wasn’t the highest because of what I have been told about the deposit the buyer has.

There has to be some responsibility on both sides here though.  I had first time buyers pulling out even before the valuation had been done.  It happened twice!  I lost about three weeks waiting for these people who got cold feet.

I don’t think I was greedy, should I have turned down their offer because they might regret it?  Or should they have been more controlled in their bidding, set themselves a limit and stick to it? 

My estate agent says this is happening more regularly - people are bidding on multiple houses at the same time - so are inflating prices with no intention of buying.

as I said, bad practices just not on the side of sellers.

eidand

lookstraightahead said:

Redwino222 said:

lookstraightahead said:

Market appraisal. House goes on market. Bidding war. Vendor gets well greedy. Buyers offer ridiculous amounts. Vendor accepts a high offer and rubs hands. House gets 'undervalued' by lender. Buyer has to pull out. Vendor still thinks house is worth £X. Vendor now feels uneasy selling for less as has mentally spent that money on "dream home". Vendor stays put, less houses available. Then happens again with another buyer and vendor.

Doesn't always happen like this, but I don't ever offer over asking. It's all a bit like watch with mother. 

Why is the vendor painted as the villain?  Is it greedy to accept highest offer?  

Yes there are unscrupulous people selling house, people are behaving poorly.  But that is happening at all levels in the market.  

Maybe I have painted the seller as the villain, perhaps they are more the victim. If you dangle 'more' in front of anyone then yes it's natural to go for more. But it's all made up because as soon as the lender won't lend money it's back to square one. I think accepting the highest offer without looking at all the other things - low LTV, bottom of chain, cash buyer etc it's likely to lead to disappointment 

it's not the job of the vendor to do the numbers for the buyer. That's the buyers job.

Vendors rightly expect the buyers to have the big boy pants on. If you offer 15k over the asking price then you'd better be prepared to cover that 15k from your own pocket and not be shocked when the valuation comes back 15k lower, like someone here did in a recent discussion.

It's common sense really. 

paul82uk

theoretica said:

paul82uk said:

over the past 9 months I’ve been viewing houses and have put 6 offers

Sounds like you are being fairly discriminating about which houses you put an offer in on, and unfortunately other people share your taste and you are picking popular houses.  A pain that.

Perhaps have a look out for properties which seem in the same value range but you feel the initial asking price is high - you may find they are less popular, but the end selling price is the same. 

Due to personal circumstances and individual needs/requirements I am limited to certain properties so reduces the pool of properties.  If I could I would love to be able to look at everything and anything but unfortunately cannot.

in my area the number of properties on the market has massively shrunk since covid so think people are playing safe or not moving because there is nothing on the market they would like to move to.

paul82uk

brownbagsFTB said:

Redwino222 said:

But you aren’t being used?  You are bidding on a house and someone is prepared to bid higher.  If you were the highest bidder you would get the house. 

It actually isn’t that simple anymore. I’ve been the highest bidder (marginally) on a couple of houses, going around 15K over asking but they’ve gone to the bidders with the highest deposits as there is a big trend of down-valuations at the moment. For every house I’m looking at there are around 40 viewings and 10-20 offers. It’s mental.

The only advice I can give is to claw together as big a cash deposit as possible (it matters) and go through the motions with the EA’s on-site broker in terms of financing the mortgage. I’ve been told several times that the EA will promote the buyers who go through them for finance over the buyers who use their own brokers, it’s really unscrupulous but I’m prepared to do anything if it helps in this competitive market! Good luck  

Yep that’s why I’ve worked hard to claw together 20-35% deposit to give that flexibility.

Most EA are protecting their clients by asking for proof of AIP at point of offer to manage expectations and avoid that step. I agree with this and it makes life simple.

no villains people are doing what is right for them just unsure how they are being successful feels as though am missing something as paint all the positives you would want in a seller maybe some have something more attractive then me would like to have a crystal ball to j ow what