Chain-free cash buyer. Thinking of offering 20% lower than asking price - Too low? Or reasonable?

newsgroupmonkey_

HotPantsCruiser said:

comeandgo said:

HotPantsCruiser said:

Slithery said:

HotPantsCruiser said:

Would 10 or 15% not be more reasonable at the moment?

10%-15% over?

Yes, probably a more reasonable offer at the moment.

Doesn`t that often mean a "down valuation" though when the lender does their survey/valuation?

No, you need to have the extra money ready to bridge the gap between mortgage value and purchase price which is why first time buyers are not having much luck just now, they don’t have the extra needed.

Having the money ready won`t prevent a "down-valuation" though, and when people see a  bank saying something is worth less they are then less inclined to make up the difference with their own cash leading to a vicious circle for the seller as they are now seen as over-priced?

Until inevitably someone ponies up the difference. Which is basically what's happening at the moment.

lookstraightahead

Slinky said:

Oh well, we'll never know if the OP offering 20% below was successful as the poster is now a 'Deleted User'.

Well here on MSE we all know the answers to everything 🤣🤣

HotPantsCruiser

newsgroupmonkey_ said:

HotPantsCruiser said:

comeandgo said:

HotPantsCruiser said:

Slithery said:

HotPantsCruiser said:

Would 10 or 15% not be more reasonable at the moment?

10%-15% over?

Yes, probably a more reasonable offer at the moment.

Doesn`t that often mean a "down valuation" though when the lender does their survey/valuation?

No, you need to have the extra money ready to bridge the gap between mortgage value and purchase price which is why first time buyers are not having much luck just now, they don’t have the extra needed.

Having the money ready won`t prevent a "down-valuation" though, and when people see a  bank saying something is worth less they are then less inclined to make up the difference with their own cash leading to a vicious circle for the seller as they are now seen as over-priced?

Until inevitably someone ponies up the difference. Which is basically what's happening at the moment.

I read that sales are falling though, maybe because most buyers are relying on a lender?

propertyhunter

Or that there's no stock on the market for people to even buy? 

HotPantsCruiser

propertyhunter said:

Or that there's no stock on the market for people to even buy? 

Looks like that could be changing?

https://www.mortgagestrategy.co.uk/news/housing-supply-starting-to-rise-propertymark/

jimbog

HotPantsCruiser said:

propertyhunter said:

Or that there's no stock on the market for people to even buy? 

Looks like that could be changing?

https://www.mortgagestrategy.co.uk/news/housing-supply-starting-to-rise-propertymark/

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

newsgroupmonkey_

jimbog said:

HotPantsCruiser said:

propertyhunter said:

Or that there's no stock on the market for people to even buy? 

Looks like that could be changing?

https://www.mortgagestrategy.co.uk/news/housing-supply-starting-to-rise-propertymark/

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

That's not true though. Everyone on here says that it's LIES when people offer above. No-one can afford to offer above and apparently the mortgages aren't being given. (and yes, this is tongue in cheek).

lookstraightahead

jimbog said:

HotPantsCruiser said:

propertyhunter said:

Or that there's no stock on the market for people to even buy? 

Looks like that could be changing?

https://www.mortgagestrategy.co.uk/news/housing-supply-starting-to-rise-propertymark/

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

jimbog said:

HotPantsCruiser said:

propertyhunter said:

Or that there's no stock on the market for people to even buy? 

Looks like that could be changing?

https://www.mortgagestrategy.co.uk/news/housing-supply-starting-to-rise-propertymark/

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

18% sold above asking. Same as in 2016. The other percentage (19%) to get to your 37% sold at asking price. Not sure of your point with this information. It appears to me most sold at under? 

MobileSaver

lookstraightahead said:

jimbog said:

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

18% sold above asking. Same as in 2016. The other percentage (19%) to get to your 37% sold at asking price. Not sure of your point with this information. It appears to me most sold at under? 

You mean most people set their initial asking price higher than what they really thought they'd get? Well who'd have thunk it?

No doubt when you come to sell you will set your asking price less than what you think it's worth?

lookstraightahead

MobileSaver said:

lookstraightahead said:

jimbog said:

Yes, it does. But I wonder why that in spite of that  37% of properties still sold above the asking price?

18% sold above asking. Same as in 2016. The other percentage (19%) to get to your 37% sold at asking price. Not sure of your point with this information. It appears to me most sold at under? 

You mean most people set their initial asking price higher than what they really thought they'd get? Well who'd have thunk it?

No doubt when you come to sell you will set your asking price less than what you think it's worth?

Please explain. If you're saying that most people overvalue their properties then yes I agree. I've just bought for 10% under remember 👍.