How to offer on a property without feeling like we're pulling a number out of the air

Markneath

My thoughts are offer what you feel its worth, the mortgage valuation would tell you if your way out before you part with big money anyway. 

warby68

Not sure its much help with few comparables but this is a bit of a 'disproportionate' property - it was originally a 3 bed so still has the downstairs 3 bed footprint and the extra floor does not have a bathroom or even a toilet. Also no toilet downstairs.  

This might shade the price a little compared to other purpose built 5 bed property. Generally properties without the 'on average' preferred proportions can go for a bit less or can be in a niche with a smaller pool of buyers.

Location and garden could of course offset these although I suspect there are equally as many people who want not too big a garden. Plus market conditions. If its a very hot sellers' market prices go a bit silly.

That plucking a figure out of the air is not actually too wrong - there is some research you can do but the ultimate number is one you 'feel' happy with and hope the vendor might feel happy with too.

If £485k is your max I'd probably start a little lower than £480k though or just go in once and stick to it. Only a further £5k on the original bid is not a lot if negotiations start. Its not science though again, its just how it feels.

getmore4less

greensalad said:

getmore4less said:

The research put those feelings in some sort of perspective and context using other examples of what's sold what's under offer and for sale.
There is another one on at £500k nearer town is this one better or worse(for you).
 I don't think that one's sold do it for everything around your price point SSTC and sold through.
It can also help prioritise your wants.

Might have to do wider search to get good sample.

If you mean the big 4 storey townhouse one, we've seen it but have discounted it based on being right on the main road (a road we know well) and also the garden is a tad on the small size for us. (I'm aware asking for a large garden is a big ask, but we've been looking at more rural properties as well because we know that will help us get a larger garden).

That's the idea give the properties a pecking order on value to you,
That one is still not sold went on July 2020, no price change which hints at overpriced&inflexible vendor.

so try it with a few more .
if you go to the sold prices from the link in the listing of the one you are looking at.
https://www.rightmove.co.uk/house-prices/ct1-3xw.html
you can filter a few out of there I usually filter to 2 years then add distance, and then sort on price.
page 5 starts at £530 and by page 6 down to 460 that's 50 places to have a look at 
someone paid £480 for this Feb 21

on the SSTC pick out those that get close and watch for the sale going onto land reg.
eg this one same side of the city on at 500k SSTC not for you but is what people are offering on at that price point.

looking further out there was this with 1/3acre plot

handy portal to do planning searched by map(can also give a indication of boundaries)
https://pa.canterbury.gov.uk/online-applications/spatialDisplay.do?action=display&searchType=Application
You do realise that there are 400 houses going in on the fam land to the west

CA//17/00519 | Outline application for a mixed use development comprising up to 400 dwellings in a mix of sizes, types and tenures including affordable housing, up to 3,716 sqm of commercial space (use class B1), a community building or leisure centre (Use classes D1-D2) of up to 200 sqm, new highway infrastructure including spine road with accesses onto Milton Manor Road and Cockering Road and a network of internal roads, footpaths and cycle route, provision of no less than 18 hectares of open space, associated landscaping, utilities infrastructure, sustainable drainage system and earthworks. All matters reserved. | Land At And Adjacent To Cockering Farm Thanington Without

This is a snip from the master plan that was submitted.


Then there are the 750 house to the south and a golf course

might want to reassess this 
as it's basically a 5 minute walk to rural, beautiful countryside

Scotbot

greensalad said:

moneysavinghero said:

If you feel like you are pulling a number out of the air, what makes you so certain that the asking price is overpriced?

Again, feelings. That's sort of the point of this thread. It seems that getting the right number for a house is really, mostly based on "feelings" and I'm finding that hard to accept I guess. It seems like it should be more based on data and facts but it seems to always come down to what "feels" right and I don't think I have enough experience to say that the "feeling" of prices is correct.

Ultimately, I know that if I offered asking price on this house I wouldn't "feel" right about it and that's all there is to go on.

In the property shows where buyers are asked to guess the price they always underestimate if they don't like it and overestimate if they do. 
Bear in mind if you plan to be there long term 15k on a 500k house is neither here nor there. I felt, and still do, that I overpaid by 20 k on my house. I bought in 2017, it is now worth 50 to 60k more than I paid for it

Crashy_Time

Scotbot said:

greensalad said:

moneysavinghero said:

If you feel like you are pulling a number out of the air, what makes you so certain that the asking price is overpriced?

Again, feelings. That's sort of the point of this thread. It seems that getting the right number for a house is really, mostly based on "feelings" and I'm finding that hard to accept I guess. It seems like it should be more based on data and facts but it seems to always come down to what "feels" right and I don't think I have enough experience to say that the "feeling" of prices is correct.

Ultimately, I know that if I offered asking price on this house I wouldn't "feel" right about it and that's all there is to go on.

In the property shows where buyers are asked to guess the price they always underestimate if they don't like it and overestimate if they do. 
Bear in mind if you plan to be there long term 15k on a 500k house is neither here nor there. I felt, and still do, that I overpaid by 20 k on my house. I bought in 2017, it is now worth 50 to 60k more than I paid for it

Do you think people who overpaid for their house also tend to overestimate it`s value, whether they still like it or not?